Vikram Kapahi Vs ACIT (Delhi High Court)
The Delhi High Court allowed the writ petition after finding that the issues and challenge raised in the petition stood concluded in light of its judgment in Twylight Infrastructure (P) Ltd. v. CIT [2024 SCC OnLine Del 330]. Following the reasons assigned in that judgment, the Court quashed the impugned notice and orders dated 29 June 2021, 21 May 2022 and 26 July 2022.
The relief was made subject to the liberty reserved in paragraphs 28 to 30 of Twylight Infrastructure. Those paragraphs recorded that the Revenue sought liberty to commence reassessment proceedings afresh if the impugned orders and notices were set aside. The Court in Twylight Infrastructure had accordingly quashed the impugned notices and orders on the ground that there was no approval of the specified authority as indicated in Section 151(ii) of the Income Tax Act, while reserving liberty to the Revenue to take steps, if deemed necessary, albeit as per law. The rights and contentions of both sides were also kept open if the Revenue initiated reassessment proceedings.
The writ petition was consequently disposed of.
Issues and Judicial Outcome
The challenge raised in the writ petition was held to be covered by the Delhi High Court’s judgment in Twylight Infrastructure (P) Ltd. v. CIT [2024 SCC OnLine Del 330]. The Court therefore followed the reasons assigned in that judgment and allowed the writ petition.
