Case Law Details
Indus Towers Limited Vs ACIT (Delhi High Court)
Introduction: In a recent verdict, the Delhi High Court provided significant relief to Indus Towers Limited by quashing an Income Tax Assessment Order. The court held that the order was issued in violation of natural justice, citing discrepancies between the proposal communicated to the petitioner and the adjustments made in the final order.
Detailed Analysis: Indus Towers Limited approached the court through a writ petition (W.P.(C) 12722/2023), challenging the intimation dated 01.09.2023, which adjusted the refund due for Assessment Year 2022-23 against disputed outstanding tax demands for other assessment years.
The petitioner’s counsel, Mr. Rohit Jain, argued that the respondents deviated from the initial proposal outlined in emails dated 28.08.2023. While the proposal suggested adjustments against demands for Assessment Year (AY) 2021-22 and AY 2018-19, the final order included adjustments for AY 2017-18 as well.
Another point of contention was the brevity of response time given to the petitioner, as the impugned order was passed within four days, despite a 21-day response window mentioned in the emails.
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