Rrpr Holdings Private Limited v. Deputy Commissioner Of Income Tax, Circle-18(1)
$~54 * IN THE HIGH COURT OF DELHI AT NEW DELHI + W.P.(C) 1663/2016 RRPR HOLDINGS PRIVATE LIMITED .....Petitioner Through:
Mr. Sachit Jolly, Mr. Rishabh Malhotra, Ms. Disha Jham, Ms.
Soumya Singh & Mr. Devansh Jain, Advs.
versus DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE18(1) .....Respondent Through:
Mr. N.P. Sahni, Spl. Counsel along with Mr. Indruj Singh, SSC, Mr. Sanjeev Menon, Mr.
Rahul Singh, JSCs and Mr.
Anmol Jagga, Adv.
CORAM:
HON'BLE MR. JUSTICE YASHWANT VARMA HON'BLE MR. JUSTICE RAVINDER DUDEJA
O R D E R
% 10.09.2024 1.
The instant writ petition has assailed the initiation of reassessment action under Section 148 of the Income Tax Act, 1961 ['Act'] in terms of a notice dated 08 August 2014. The solitary allegation which was made in that notice was with respect to certain interest free loans which had been advanced.
2.
We note from the order of assessment dated 30 December 2011 that the entire addition made in that respect by the Assessing Officer ['AO'] itself was based upon Section 14A.
3.
However, the Income Tax Appellate Tribunal ['Tribunal'] in terms of its final judgment rendered on 18 August 2021 had held that The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 03/07/2025 at 20:25:39
since no exempt income had been earned in that year, the provisions of Section 14A could not have been invoked. This issue has been independently examined and answered by us in Principal Commissioner of Income Tax (Central) - 3 vs. Alchemist Ltd. [2024:DHC:6439-DB]. The aforesaid decision of the Tribunal, though subsequent to the impugned notice under Section 148, would clearly bind parties. On this short ground alone, we find ourselves unable to sustain the impugned action.
4.
The writ petition is accordingly allowed. The impugned notice dated 08 August 2014 is hereby quashed and set aside. YASHWANT VARMA, J RAVINDER DUDEJA, J SEPTEMBER 10, 2024/RW The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 03/07/2025 at 20:25:39