Delhi High Court - Orders
L.S. Cable And System Ltd vs Union Of India & Ors on 25 November, 2020
Author: Manmohan
Bench: Manmohan, Sanjeev Narula
$~Suppl.-4
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P. (C) 8355/2020 & CM APPL. 27138/2020
L.S. CABLE AND SYSTEM LTD. ..... Petitioner
Through: Mr. Raghavendra Pratap Singh and
Mr. Sanjeev Kumar Singh Advocates.
versus
UNION OF INDIA & ORS. ...... Respondents
Through: Mr.Raghvendra Singh, Sr. Standing
Counsel with Ms. Easha Kadian, Jr.
Standing Counsel , Advocates.
CORAM:
HON'BLE MR. JUSTICE MANMOHAN
HON'BLE MR. JUSTICE SANJEEV NARULA
ORDER
% 25.11.2020 The petition has been heard by way of video conferencing. On the last date of hearing i.e. 22nd October, 2020, this Court had passed the following order:
"The petition has been listed before this Bench by the Registry in view of the urgency expressed therein. The same has been heard by way of video conferencing.
Present writ petition has been filed seeking directions to respondent no. 2 to release the income tax refund of Rs.1,97,27,981/- for the Assessment Year 2018-2019 to the petitioner.
Learned counsel for petitioner submits that the Centralized Processing Center (CPC), Bangalore has already processed the income tax refund of the petitioner under Section 143(1) of the Income Tax Act, 1961 (hereinafter referred to as the „Act‟) and admitted the total refund liability of Rs.1,97,27,981/- . He further states that though a scrutiny notice has been issued, however respondent no.2 has neither passed a final assessment order under Section 143(3) nor has it passed an order withholding the refund under Section 241-A of the Act. He relies upon the judgments in Ericsson India Pvt. Ltd. v. ACIT, Special Range-3 & Anr, W.P.(C) 10373/2019 wherein while placing the reliance on Maple Logistics Pvt. Ltd. & Anr. v. Principal Chief Commissioner of Income Tax & Ors (Maple Case), this Court has observed that the Assessing Officer cannot withhold refund without passing a speaking order under Section 241A of the Act.
Issue notice.
Mr.Raghvendra Singh, Advocate accepts notice on behalf of the respondents. He prays for and is permitted to file counter-affidavit within two weeks. Rejoinder-affidavit, if any, be filed within one week thereafter.
List on 25th November, 2020.
The order be uploaded on the website forthwith. Copy of the order be also forwarded to the learned counsel through e-mail."
In pursuance to the said order, respondent No.2 has filed a short affidavit in which it is stated that the petitioner's refund has been withheld under Section 241A of the Income Tax Act, 1961 (hereinafter referred to as 'Act') after observance of due process of law.
At this stage, learned counsel for petitioner wishes to withdraw the present writ petition to challenge the action under Section 241A of the Act.
With the aforesaid liberty, the present writ petition and pending application stand disposed of. All the rights and contentions of the parties are left open. It is made clear that this court has not expressed any opinion on the merits of the controversy.
The order be uploaded on the website forthwith. Copy of the order be also forwarded to the learned counsel through e-mail.
MANMOHAN, J SANJEEV NARULA, J NOVEMBER 25, 2020/TS