Interim stay requires prima facie entitlement and balance of convenience; suppressed facts and limited exemption certificate defeated relief.

Interim stay of assessment proceedings will be granted only where the applicant shows a prima facie case and the balance of convenience favours intervention. The exemption claim under the Rajasthan sales tax regime had not been placed before the District Level Screening Committee, and the eligibility certificate was confined to exemption under the Central Sales Tax Act. The stay application also omitted that the assessing authority had already rejected the claim. On those facts, no prima facie entitlement was shown and the balance of convenience did not justify interference; the request for stay was rejected.

---

---

Issues: Whether stay of the assessment proceedings pending before the assessing authority should be granted.

Analysis: Interim stay could be granted only on showing a prima facie case and balance of convenience in favour of the applicant. The application for tax exemption under the Rajasthan sales tax regime had not been placed before the District Level Screening Committee, while the eligibility certificate granted was confined to exemption under the Central Sales Tax Act. The application before the Tribunal also suppressed the fact that the assessing authority had already rejected the claim. In these circumstances, no prima facie entitlement to stay was made out, and the balance of convenience did not support interference with the assessment proceedings.

Conclusion: The request for stay of the assessment proceedings was rejected.

---