Commissioner Of Income Tax v. M/S Diwakar Engineers Ltd.

$~72 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 1118/2005 COMMISSIONER OF INCOME TAX .....Appellant Through:

Mr. Sunil Agarwal, SSC versus M/S DIWAKAR ENGINEERS LTD.

.....Respondent Through:

Appearance not given

CORAM:

HON'BLE MR. JUSTICE DINESH MEHTA HON'BLE MR. JUSTICE VINOD KUMAR

O R D E R

% 03.02.2026 1.

On perusal of the record, particularly the assessment order dated 27.12.1993, we find that the assessee had filed a return showing a loss of Rs.1,37,77,000/- and after the addition made by the Assessing Officer the loss was reduced and the income was assessed at Rs.(-)7,59,463/-. 2.

It is therefore clear that an expenditure of Rs.3,66,924.75/- and the loss of imported material of Rs.1,06,17,661/- was disallowed to be added to the income of the respondent-assessee and even thereafter, the income of the respondent-assessee remained Rs.(-)7,59,463/- a negative profit. 3.

Such being a position, there cannot be any question of Tax effect of more than Rs.2 crores in the present appeal.

4.

In light of CBDT Circular No.5/2024 dated 15.03.2024 read with Circular No. 9/2024 dated 17.09.2024, the appeal is thus, dismissed. 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 05/02/2026 at 12:17:34

5.

However, with a liberty to the appellant-department to move application for revival of the appeal in case it falls in the exceptions. DINESH MEHTA, J.

VINOD KUMAR, J.

FEBRUARY 3, 2026/sr 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 05/02/2026 at 12:17:34