ITAT : Imposes stay conditions similar to Google, directs Vodafone to pay further Rs. 5 cr

Bengaluru ITAT directs Vodafone Mobile Services Ltd. (‘assessee’) to pay Rs. 5 Cr on or before January 31, 2018 and retain balance of another 20% (rounded off to Rs. 10 cr.) as balance in its bank account while granting stay for 3 months for balance amount; Firstly, ITAT holds that there is no ‘prima facie’ case in favour of the assessee as the issue involved in appeal (i.e. TDS applicability on interconnect charges payment to foreign carriers) is covered against the assessee by earlier year order in assessee’s own case; Next, ITAT relies on jurisdictional HC ruling in Google India Private Ltd. wherein it was held that for granting stay, payment of 55% of disputed demand and retaining balance of another 20% of disputed demand in assessee’s bank account is just & proper condition; Further, ITAT rejects giving much importance to the rectification application filed by assessee (which according to assessee would reduce the total demand for subject AY  to Rs.34.66 cr.) as such application was filed by assessee just a day prior to filing stay application and therefore, could not be considered by AO, moreover, ITAT observes that assessee did not demonstrate any ‘financial hardship’,  cites SC ruling in Dunlop India Ltd.; Noting that on payment of Rs.5 cr., the total payment against the outstanding demand comes to 42.5% of the total disputed demand of Rs.47.05 Cr (and about 57.7% if rectification application is allowed), ITAT directs Revenue not to enforce recovery of the demand subject to assessee meeting the aforesaid twin conditions:ITAT