ITAT Delhi Allows NIIT Deduction for Finance Lease Principal

NIIT Ltd. Vs DCIT (LTU) (ITAT Delhi)

Income Tax Appellate Tribunal (ITAT), Delhi Bench, has delivered a split verdict on appeals filed by NIIT Ltd. concerning its assessment for the Assessment Year 2009-10. In a significant decision regarding the treatment of finance lease payments, the Tribunal ruled in favor of the taxpayer, deleting the disallowance of over Rs. 50 lakh. However, in a separate but related appeal, the ITAT sent the matter of levied penalties back to the tax authorities for fresh consideration, citing a lack of detailed reasoning in the initial appellate order.

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