Delhi High Court
Nortel Networks India ... vs Assistant Director Of Income Tax ... on 28 October, 2021
$~68
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P.(C) 12236/2021 & CM APPL. 38299-38300/2021
NORTEL NETWORKS INDIA INTERNATIONAL INC
..... Petitioner
Through Mr. Kamal Sawhney, with
Mr. Prashant Meharchandani,and
Mr.Arun Singh Bhadauria,,
Advocates.
versus
ASSISTANT DIRECTOR OF INCOME TAX CPC & ORS.
..... Respondents
Through Mr. Zoheb Hossain with
Mr. Vipul Agarwal, Advocates for
Revenue.
% Date of Decision: 28th October, 2021
CORAM:
HON'BLE MR. JUSTICE MANMOHAN
HON'BLE MR. JUSTICE NAVIN CHAWLA
JUDGMENT
MANMOHAN, J: (Oral)
The hearing has been done by way of a video conferencing.
1. By way of the present writ petition, Petitioner seeks directions to the
Respondent No. 2 to dispose of within four weeks, Petitioner's Rectification
Application dated 14th May, 2020 granting the consequential TDS credit of
Rs.5,51,15,908 due to the petitioner and deleting the incorrect demand of
Rs.6,97,16,942 which only arises due to non-grant of the said TDS credit.
Signature Not Verified
By:KRISHNA BHOJ
Signing Date:29.10.2021
22:27:43
2. Learned Counsel for the Petitioner states that the Respondents No.2
has failed to dispose of Petitioner's Rectification Application dated 14th
May, 2020 for the Assessment Year 2018-19 within the period of limitation
provided in Section 154(8) of the Income Tax Act, 1961 (which lapsed on
31st March, 2021). He states that as a result of the inaction of the
Respondent No.2, TDS credit of Rs.5,51,15,908 remains disallowed to the
Petitioner and a patently incorrect demand of Rs.6,97,16,942
(Rs. 5,51,15,908 plus interest of Rs.1,46,01,034) stands raised. He also relies
on the CBDT Circular No.14/2001 read with the CBDT Instruction No.
1/2016 which mandates Respondent No.2 to strictly comply with the
statutory limitation provided in Section 154(8) of the Act in disposing of the
Petitioner's Rectification Application.
3. In support of his contention, learned counsel for the Petitioner relies
on the decision of this Court in LS Cable and System Ltd. V. UOI, W.P.
(C) 5154/2020 wherein in similar facts, this Court directed the Assessing
Officer to dispose of the assessee's rectification application under Section
154 within six weeks from the date of the Court's Order.
4. Issue notice. Mr. Zoheb Hossain, learned counsel for Revenue accepts
notice. On instructions, he undertakes to this Court that Petitioner's
rectification application dated 14th May, 2020 shall definitely by disposed of
within six weeks. The undertaking given by Mr. Zoheb Hossain, learned
counsel for Revenue is accepted by this Court and respondents are held
bound by the same.
5. In view thereof, the present writ petition along with application stands
disposed of.
6. List the matter for compliance on 12th January, 2022.
Signature Not Verified
By:KRISHNA BHOJ
Signing Date:29.10.2021
22:27:43
7. The order be uploaded on the website forthwith. Copy of the order be
also forwarded to the learned counsel through e-mail.
MANMOHAN, J
NAVIN CHAWLA, J
OCTOBER 28, 2021
AS
Signature Not Verified
By:KRISHNA BHOJ
Signing Date:29.10.2021
22:27:43
