Court Orders Petitioner to Deposit Funds for Tax Appeal; Emphasizes Expedited Appeal Process

The court directed the petitioner to deposit a specific amount by a specified date, in addition to any previous deposits, for a demand order challenge under the Income Tax Act, 1961. The petitioner was allowed to seek expedited appeal disposal from the First Appellate Authority upon making the deposit, considering financial constraints. The court emphasized the appellate authority's duty to address the request for early appeal disposal and made the decision without imposing costs on either party.

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Issues:
Challenge to demand order under Income Tax Act, 1961 for assessment year 2015-2016. Petitioner's financial constraints affecting payment. Request for interim protection. Previous order directing deposit for early appeal disposal. Consent for disposal based on previous order.

Analysis:
The petitioner challenged a demand order arising from an Assessment under Section 143 [3] and Section 154 of the Income Tax Act, 1961, for the assessment year 2015-2016. The order required the petitioner to pay 10% of the disputed demand before a specified date in three installments pending appeal disposal. The petitioner, represented by Senior Counsel, cited financial difficulties hindering compliance and sought interim protection. A reference was made to a prior case involving the same assessee, where a similar issue was addressed. In that case, the court directed a deposit towards the demand and reserved liberty for early appeal hearing upon deposit. The Revenue's counsel had no objection to disposing of the current petition in line with the previous order.

The court, considering the previous decision in the same assessee's case, directed the petitioner to deposit a specific amount in addition to any previous deposits by a specified date. The petitioner was granted liberty to approach the First Appellate Authority for expedited appeal disposal upon making the deposit. The court emphasized that the appellate authority should consider the petitioner's request for early appeal disposal. The decision was made without imposing any costs on either party.

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