"IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH : BANGALORE BEFORE SHRI WASEEM AHMED, ACCOUNTANT MEMBER AND SHRI SOUNDARARAJAN K., JUDICIAL MEMBER S.P. Nos. 33 & 34/Bang/2026 (in ITA Nos. 2664 & 2665/Bang/2025) Assessment Years : 2017-18 & 2018-19 M/s. Udaya Souharda Co-operative Society Ltd., No. 29/11, 1st Main Rod, Mount Joy Road, Hanumanthanagar, Bangalore – 560 019. PAN: AAAAU0472H Vs. The Income Tax Officer, Ward – 5(1)(1), Bangalore. APPELLANT RESPONDENT Assessee by : Shri Ravishankar, Advocate Revenue by : Shri Subramanian S., JCIT-DR Date of Hearing : 06-03-2026 Date of Pronouncement : 06-03-2026 ORDER PER SOUNDARARAJAN K., JUDICIAL MEMBER These are the stay applications filed by the assessee in respect of the outstanding dues for the A.Ys. 2017-18 and 2018-19. 2. In respect of the A.Y. 2017-18, it was mentioned that the total outstanding tax amount is Rs. 2,52,66,725/- out of which a sum of Rs. 50,53,345/- was already paid to the department and the balance tax outstanding as on today is Rs. 2,02,13,380/-. Printed from counselvise.com Page 2 of 3 S.P. Nos. 33 & 34/Bang/2026 (in ITA Nos. 2664 & 2665/Bang/2025) 3. Similarly, in respect of A.Y. 2018-19, it was mentioned that the total outstanding tax amount is Rs. 1,50,91,767/- out of which a sum of Rs. 7,41,790/- was already paid to the department and the balance tax outstanding as on today is Rs. 1,43,49,977/-. 4. At the time of hearing, the Ld.AR filed a statement and from the said statement, after the order giving effect has been passed by the AO for the various years, the assessee is entitled for a refund of Rs. 1,41,49,977/-. The Ld.AR further submitted that the AO without refunding the said dues had insisted for the payment of the outstanding dues of Rs. 2,02,13,380/- and Rs. 1,43,49,977/-. The Ld AR, therefore, prayed that the absolute stay may be granted for both the years. 5. The Ld.DR submitted that the refund available with the department could not be a reason for not paying the outstanding dues to the department when the assessment orders were made as early as 2019 and 2021. 6. We have heard the arguments of both sides and perused the materials available on record. 7. As seen from the statements filed by the assessee, the assessee is entitled for a refund of Rs. 1,41,49,977/-. The said refunds relates to the A.Ys. 2011-12 to 2016-17. Admittedly, there is a heavy demand to be paid by the assessee for the disputed assessment years. Considering the said facts and also in the interest of justice, we are granting an absolute stay for the recovery of dues on condition that the assessee should pay 20% of the outstanding demands in respect of both the A.Ys. On such payment of 20% we are granting stay for the balance 80% of the dues. We also permitted the assessee to adjust the 20% of the tax dues to be paid , out of the refund due of Rs. 1,41,49,977/-. We, therefore direct the revenue to hold the amount equal to 20% of the dues out of the refund amounts available to the assessee and treat the said 20% hold by the revenue as due compliance of Printed from counselvise.com Page 3 of 3 S.P. Nos. 33 & 34/Bang/2026 (in ITA Nos. 2664 & 2665/Bang/2025) payment of 20% of the dues. Insofar as the balance 80% of the tax dues are concerned, we are granting stay for the recovery of the said dues for a period of 6 months or till the disposal of the appeal whichever is earlier. 8. The assessee shall fully cooperate in speedy disposal of appeals before this Tribunal and will not seek any unnecessary adjournments of the hearing before the bench at any point of time and the assessee shall not resort to any dilatory tactics and in such event, the stay will be automatically vacated forthwith. 9. This stay order will be in operation for 180 days from the date of this order, or till the disposal of the related appeals or till further orders of this Tribunal, whichever is earlier as the case may be. 10. In the result, both the stay petitions are allowed. Order pronounced in the open court on 06th March, 2026. Sd/- Sd/- (WASEEM AHMED) (SOUNDARARAJAN K.) Accountant Member Judicial Member Bangalore, Dated, the 06th March, 2026. /MS / Copy to: 1. Appellant 2. Respondent 3. CIT 4. DR, ITAT, Bangalore 5. Guard file 6. CIT(A) By order Assistant Registrar, ITAT, Bangalore Printed from counselvise.com "