Delhi High Court
Agilent Technologies India Pvt. ... vs Assistant Commissioner Of Income ... on 6 November, 2020
3
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* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P.(C) 8062/2020 & CM APPL.26231/2020
AGILENT TECHNOLOGIES INDIA PVT. LTD. ..... Petitioner
Through: Mr. Rohit Tiwari and Mr. Saurabh D.
Karan Singh, Advocates.
versus
ASSISTANT COMMISSIONER OF INCOME TAX,
CIRCLE 1(2), NEW DELHI & ANR. ..... Respondents
Through: Mr.Raghvendra Singh, Advocate.
% Date of Decision: 06th November, 2020
CORAM:
HON'BLE MR. JUSTICE MANMOHAN
HON'BLE MR. JUSTICE SANJEEV NARULA
JUDGMENT
MANMOHAN, J (Oral):
1. The petition has been heard by way of video conferencing.
2. Present writ petition has been filed seeking directions to the
respondents to grant a refund of Rs.5.19 Crores (Rupees Five Crores
Nineteen Lacs only) (approx.) for the Assessment Year 2011-12 along with
interest under Section 244A of the Income Tax Act, 1961 (hereinafter
referred to as 'Act') as well as to pass a rectification order on the application
of the petitioner dated 19th August, 2020 within a period of fifteen days.
3. On 16th October, 2020, the respondents had requested time to obtain
instructions. Today, also the learned counsel for the respondents prays for
further time to obtain instructions on the ground that there is a new
incumbent in office as well as there has been re-arrangement of jurisdiction.
4. A perusal of the file reveals that an addition of Rs.10,76,09,517/-
(Rupees Ten Crores Seventy Six Lacs Nine Thousand Five Hundred
Seventeen only) was made by the Assessing Officer and the assessed total
income was computed at Rs.19,33,25,320/- (Rupees Nineteen Crores Thirty
Three Lacs Twenty Five Thousand Three Hundred Twenty only) while
passing the final assessment order under Section 143(3) of the Act.
5. Upon the matter being carried forward in appeal, the Income Tax
Appellate Tribunal (for short 'ITAT') stayed the demand subject to payment
of partial outstanding tax demand. Accordingly, the petitioner deposited
Rs.3,00,97,380/- (Rupees Three Crores Ninety Seven Lacs Three Hundred
Eighty only). A further sum of Rs.2,18,00,000/- (Rupees Two Crores
Eighteen Lacs only) (approx.) was adjusted against the outstanding refunds.
6. In pursuance to the remand order passed by the ITAT, the Transfer
Pricing Officer, vide order dated 09th July, 2019, recomputed the petitioner's
total income at Rs.14,00,83,935/- (Fourteen Crores Eighty Three Thousand
Nine Hundred Thirty Five only).
7. Thereafter, upon the petitioner filing an application under Section 154
of the Act, the Transfer Pricing Officer reduced the additional income to Nil
vide order dated 19th February, 2020.
8. However, as the order dated 19th February, 2020 was not given effect
to and the refund was not issued, petitioner filed the present writ petition.
9. Having perused the paper book, this Court is of the view that it is
strange that the Appeal Effect Order was not passed for around eight
months.
10. The fact that an assessee after succeeding in a protracted litigation has
to file another legal proceeding i.e. a writ petition to implement and execute
the said order, does not reflect well on the functioning of the Tax
Department.
11. Consequently, this Court is of the view that the respondents should
have given effect to the Appeal Effect Order as well as issued the refund
immediately and there should have been no occasion for the petitioner to file
the present writ petition.
12. Keeping in view of the aforesaid facts, the request for adjournment,
once again, is declined and the respondents are directed to pass the Appeal
Effect Order in pursuance to Transfer Pricing Officer's order dated 19th
February, 2020 and to grant refund along with interest under Section 244A
of the Act as well as to pass rectification orders on the petitioner's
application dated 19th August, 2020 within four weeks in accordance with
law.
13. With the aforesaid directions, the present writ petition and application
stand disposed of.
14. The order be uploaded on the website forthwith. Copy of the order be
also forwarded to the learned counsel through e-mail.
MANMOHAN, J
SANJEEV NARULA, J
NOVEMBER 06, 2020
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