Recovery of tax: Stay of recovery: A. Ys. 2007-08 and 2008-09: Tribunal rejected the stay application only on the ground that the assessee had not made out a case of irreparable loss without considering the other issues raised by the assessee:

When the appeal for the A. Ys. 2007-08 and 2008-09 were pending before the Tribunal, the Assessing Officer rejected the stay application made by the assessee without considering the issues raised by the assessee. The Tribunal also rejected the stay application only on the ground that the assessee had not made out a case of irreparable loss which could not be compensated in terms of money in case the stay was not granted, without considering the issues raised by the assessee.

The Bombay High Court allowed the writ petition filed by the assessee and held as under:

“i) I n an application for stay, though the Assessing Officer is not expected to analyse the entire evidence there must be some consideration of the facts and an indication thereof in the order. The Assessing Officer did not advert to any of the factors indicated in the order of the Special Bench in the case of L. G. Electronics India P. Ltd.
ii) T he Appellate Tribunal also in its order did not address itself to the relevant facts and issues. It merely rejected the application on the ground that the assesee had not made out a case of irreparable loss which could not be compensated in terms of money in case the stay was not granted.
iii) T he question of irreparable loss is not the only consideration while dealing with an application for stay. The assessee had serious issues to urge, some of which had so far not been dealt with either in the assessment order or in the orders on the stay application. The orders in question are liable to be quashed.
Iv) The rule is made absolute in terms of prayers (a) and (b).”