Prima facie taxability dispute over promoter-related collections led to unconditional waiver of pre-deposit and stay of recovery.

Amounts collected from flat purchasers toward expenses statutorily payable by a promoter under the Maharashtra Ownership Flats Act were examined for taxability under the category invoked in the demand. On a prima facie view, the Tribunal held that the arrangement did not clearly fall within the alleged taxable category and that the appellant had shown a strong case for interim protection. Unconditional waiver of pre-deposit was therefore granted, and recovery of the adjudged dues was stayed during pendency of the appeal.

---

---

Issues: Whether unconditional waiver from pre-deposit and stay of recovery pending appeal should be granted.

Analysis: The appellant collected amounts from flat purchasers towards expenses that were statutorily payable in the capacity of a promoter under Section 5 of the Maharashtra Ownership Flats (Regulation) Act, 1963. On a prima facie view, the Tribunal found that this arrangement did not clearly amount to the taxable category invoked in the demand and that the appellant had made out a strong case for interim protection.

Conclusion: Unconditional waiver from pre-deposit was granted and recovery of the adjudged dues was stayed during pendency of the appeal.

---