The petitioner challenges Ext.P3, a conditional order passed by the Deputy Commissioner (Appeals)-II, Ernakulam in two separate appeals filed by the petitioner with respect to assessment orders in relation to works contract for 2010-'11 and 2011-'12. The petitioner is imposed with a tax liability of `25,73,478/- with respect to assessment year 2010-'11 and `25,98,330/- with respect to assessment year 2011-'12 as evident from Exts.P1A and P1B.
2. Learned counsel for the petitioner submits that the direction to pay 30% of the outstanding demand as a condition for stay and to furnish adequate security for the balance amount is absolutely illegal and unjustifiable.
W.P.(C). No.26304 of 2014 -: 2 :-
Though contentions have been urged on behalf of the petitioner on the merits of the case. I am not inclined to go into the merits of such contentions at this stage. The appellate court has considered the merits and demerits of the contentions raised on behalf of the petitioner and has directed payment of 30% of the outstanding demand. Learned counsel for the petitioner has further submitted that the tax had been imposed at 12.5% though the petitioner is a works contractor who had exercised the option of compounding and liable to pay tax only at the rate of 3%.
3. Heard the learned Government Pleader, who opposes the prayer made by the learned counsel for the petitioner and supports the order passed by the appellate authority.
4. However, having regard to the respective contentions raised by both parties, I am of the view that W.P.(C). No.26304 of 2014 -: 3 :-
little more leniency can be shown to the petitioner to comply with Ext.P3 order. Hence, the petitioner is permitted to pay `8,00,000/- (Rupees Eight Lakhs only) in respect of the entire tax demanded with respect to assessment year 2010-'11 and 2011-'12 in lieu of 30% as directed in Ext.P3. If the said amount is paid within a period of three weeks from today and security is furnished, the petitioner will be entitled for the stay as directed in Ext.P3.
This Writ Petition is disposed of as above.
Sd/-
A.M. SHAFFIQUE, JUDGE.
Jvt