Tax Appeal Dismissed: 20% Disputed Demand Not Deposited, Refund Adjustment Upheld for Recovering Outstanding Tax Liability

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....HC held that the assessee failed to deposit 20% of the disputed demand (Rs. 69,05,933/-) as a pre-condition for staying the demand for AY 2016-17. The outstanding demand was consequently recovered from the refund due for AY 2014-15 through an appeal effect order. The court rejected the assessee's contention that the refund adjustment was contrary to the office memorandum, thereby upholding the tax authority's action of recovering the disputed amount through available refund mechanisms.....