Bombay HC Directs ₹28.55 Cr Refund After Illegal Adjustment Against Tax Demand despite stay

Piramal Finance Limited Vs DCIT (Bombay High Court) The Bombay High Court considered a writ petition challenging the adjustment of a tax refund and the subsequent order of the Income Tax Appellate Tribunal (ITAT). The petitioner challenged the action of the tax authorities in adjusting the entire refund due for Assessment Year (AY) 2005–06 against the tax demand for AY 2020–21 in excess of the limit permitted by the Tribunal’s earlier stay order, as well as the Tribunal’s order dated 09.01.2026 which declined to direct refund of the excess adjustment. A final assessment order dated 22....