IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) WEDNESDAY, THE SEVENTH DAY OF JANUARY TWO THOUSAND AND NINE PRESENT THE HON'BLE MR JUSTICE D.S.R.VARMA and THE HON'BLE MR JUSTICE V.ESWARAIAH WRIT PETITION No : 20 of 2009 Between: M/s.TATA Consultancy Services Limited, 1 Software Units Layout,Hyderabad-500081, rep by its Senior manager-Finance Mr.A.Srinivasa Murthy ..... PETITIONER AND 1 The Commercial Tax officer, Madhapur circle Hyderabad 2 The Appellate Deputy Commissioner(CT), Hyderabad Rural Division, Hyderabad .....RESPONDENTS Petition under Article 226 of the constitution of India praying that in the circumstances stated in the Affidavit filed herein the High Court will be pleased to issue a writ of mandamus or any other appropriate writ or order or direction setting aside the notice dated 22.12.2008 issued by the 1st respondent demanding payment of Rs.4,24,59,109/- as illegal, arbitrary, and contrary to law and consequently restrain the 1st respondent from taking any coercive steps for recovery of the disputes tax of Rs.4,24,59,109/- for the period April 2006 to March 2007 pending disposal of the appeal before the Sales Tax Appellate Tribunal, Hyderabad. Counsel for the Petitioner:MR.S.DWARAKANATH Counsel for the Respondent No.: GP FOR COMMERCIAL TAX The Court, at the stage of admission, made the following : O R D E R: (per Hon’ble Sri Justice D.S.R. Varma) It is the case of the petitioner that as against the orders passed by the Commercial Tax Officer, Madhapur Circle, Hyderabad on 24th January 2008 in TIN No. 28780129631 for the tax period from April 2006 to March 2007, demanding to pay the disputed tax, he filed an appeal i.e. Appeal No. R/51/2007-08/VAT, before the Appellate Authority – the Appellate Deputy Commissioner (CT), Hyderabad Rural Division. It is stated that during the pendency of the appeal, the Appellate Authority, through its order, dated 5th March 2008, refused to grant stay of collection of balance disputed tax of Rs.3,71,51,720/- out of the total disputed tax of Rs.4,24,59,109/- for the tax period from April 2006 to March 2007, pending disposal of the appeal. Aggrieved by the said order, the petitioner filed Writ Petition Nos. 5637 and 5659 of 2008 and the said writ petitions were disposed of, by an order, dated 17th March 2008, granting stay of recovery of balance disputed tax amount, pursuant to the notice dated 10th March 2008, subject to the condition of the petitioner depositing 50% of the disputed tax amount. It is stated that 50% of the disputed tax amount has been paid and thereafter, the Appellate Authority dismissed the appeal by an order, dated 27th November 2008. Against the said order, the petitioner filed an appeal before the Appellate Tribunal on 2nd January 2009. Pursuant to the order of the 2nd respondent, the 1st respondent issued notice dated 22nd December 2008 demanding payment of Rs.4,24,59,109/-. Hence, the petitioner filed the present writ petition seeking a writ of mandamus to set aside the said notice. Learned counsel for the petitioner submits that as the petitioner filed an appeal before the Appellate Tribunal and the same is pending, there cannot be any justification in demanding and collecting the said disputed tax by the impugned notice dated 22nd December 2008. As the appeal is pending, we are of the opinion that it is just and proper to grant stay of collection of half of the disputed tax. The writ petition is accordingly disposed of granting stay, pending disposal of Appeal No.R/51/2007-08/VAT dated 27.11.2008, before the Sales Tax Appellate Tribunal preferred against the orders of the second respondent subject to the condition of the petitioner depositing 50% of the original demanded tax amount, within a period of four weeks from today, after giving credit to the amounts, if any, paid towards the tax. No costs. --------------------- D.S.R. VARMA,J ------------------------ V. ESWARAIAH,J 7th January 2009 Note: Issue CC by tomorrow. ksld ..... REGISTRAR // TRUE COPY // SECTION OFFICER To 1.2CCs to 2.2CD copies Form-NIC-OGS/WP{TRK}