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Genpact India Private Limited vs Deputy Commissioner Of Income Tax, ... on 9 November, 2022

Author: Manmohan

Bench: Manmohan, Manmeet Pritam Singh Arora

                              $~79
                              *      IN THE HIGH COURT OF DELHI AT NEW DELHI
                              +      W.P.(C) 15296/2022
                                     GENPACT INDIA PRIVATE LIMITED                           ..... Petitioner
                                                        Through:     Mr.Sachit Jolly with Mr.Rohit Garg
                                                                     and Ms.Soumya Singh, Advocates.


                                                        versus

                                     DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 10(1),
                                     NEW DELHI AND ORS                                    ..... Respondents
                                                        Through:     Mr.Ajit Sharma, Sr.Standing Counsel
                                                                     for the Revenue with
                                                                     Mr.A.Renganath, Advocate.


                              CORAM:
                              HON'BLE MR. JUSTICE MANMOHAN
                              HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA
                                                        ORDER

% 09.11.2022 C.M.No.47467/2022 Exemption allowed, subject to all just exceptions. Accordingly, the application stands disposed of.

Present writ petition has been filed seeking issuance of directions to the Respondents to grant additional interest under Section 244A(IA) of the Income Tax Act, 1961 ('the Act') on account of delay in giving effect to the order dated 24th May, 2019 passed by the Commissioner of Income Tax Signature Not Verified Digitally Signed By:JASWANT SINGH RAWAT Signing Date:10.11.2022 18:44:38 (Appeals) ('CIT-(A)') for the Assessment Year 2010-11 along with upto date interest.

Learned counsel for the Petitioner states that the action of the Respondents in not granting interest under Section 244A(lA) of the Act, which is statutorily and legitimately due to the Petitioner, is clearly contrary to the Act. He states that in the present case, pursuant to the order dated 24th May, 2019 passed by the CIT(A) for the Assessment Year 2010-11, the Petitioner was entitled to a refund of Rs.152,85,23,095/- to be further increased by interest under Section 244A(l) of the Act.

He further states that admittedly in the instant case, the appeal effect order and the refund arising as a consequence thereto has been passed beyond the time permitted under Section 153(5) of the Act and therefore, the Petitioner is entitled to additional interest under Section 244A(lA) of the Act on the refund arising on account of appeal effect order.

He submits that, such additional interest under Section 244A(lA) of the Act, despite being statutorily due to the Petitioner, has not yet been granted to the Petitioner and there has been inaction by the Respondents in not granting the interest under Section 244A(lA) of Act to which the Petitioner is legally entitled to, despite the Petitioner having made repeated requests in this regard, which has resulted in grave hardship to the Petitioner.

Issue notice. Mr.Ajit Sharma, learned senior standing counsel accepts notice on behalf of the Respondents-Revenue. He prays for and is permitted to file a counter affidavit within four weeks. Rejoinder affidavit, if any, be filed before the next date of hearing.

List on 17th January, 2023.

The Assessing Officer is directed to decide the Petitioner's representation dated 22nd June, 2022 attached as Annexure P-11 to the present writ petition, within two weeks.

MANMOHAN, J MANMEET PRITAM SINGH ARORA, J NOVEMBER 9, 2022 KA Signature Not Verified Digitally Signed By:JASWANT SINGH RAWAT Signing Date:10.11.2022 18:44:38