IDP Education India Pvt. Ltd. Vs DCIT (ITAT Delhi)
New Delhi: In a significant ruling, the Income Tax Appellate Tribunal (ITAT) Delhi Bench has reinstated an appeal filed by IDP Education Exam Services Private Limited, which was initially dismissed by the Commissioner of Income-tax (Appeals), NFAC, Delhi, on the grounds that the original assessee had ceased to exist due to amalgamation. The Tribunal held that an appeal filed by an entity before its amalgamation should be continued by the amalgamated company, especially when the fact of amalgamation is brought to the notice of the appellate authority.
The case, IDP Education India Pvt. Ltd. v. ACIT, pertains to an assessment order passed on September 23, 2022, against IDP Education Exam Services Private Limited. An appeal against this order was subsequently filed on October 21, 2022. Crucially, an order of amalgamation was passed on October 23, 2023, with retrospective effect from April 1, 2022, merging IDP Education Exam Services Private Limited into IDP Education India Pvt. Ltd.
The issue arose when, during the pendency of the appeal before the NFAC, a notice for written submissions was issued on January 2, 2024. In response, the appellant, IDP Education India Pvt. Ltd., filed a revised Form 35 and informed the NFAC about the amalgamation, also providing a copy of the amalgamation order. However, the NFAC dismissed the appeal in limine, directing the amalgamated entity to file a fresh e-appeal.
