DCIT, CENTRAL CIRCLE-1, NEW DELHI vs. SPICEJET LIMITED, DELHI
In favour of the assessee: the Revenue's appeal was dismissed. From the AI summary of this appeal.
What did the Tribunal hold?
The Tribunal held that the issue was squarely covered by its own previous orders in the assessee's own case for multiple assessment years. Therefore, the Revenue's appeal was dismissed.
What were the facts?
The Revenue appealed against the CIT(A)'s order deleting an addition of Rs. 561,68,60,000. This addition was on account of disallowance of supplementary rent treated as royalty for which no TDS was deducted.
What were the issues?
Whether supplementary rent paid by the assessee is to be considered as royalty, and if so, whether disallowance is warranted due to non-deduction of TDS.
Which sections of the Income-tax Act were involved?
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH: ‘B’ NEW DELHI
Before: MS. MADHUMITA ROY & SH. KRINWANT SAHAY
IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: ‘B’ NEW DELHI BEFORE MS. MADHUMITA ROY, JUDICIAL MEMBER AND SH. KRINWANT SAHAY, ACCOUNTANT MEMBER
I.T.A. No.2027/DEL/2026 (A.Y 2022-23) DCIT Spicejet Limited Central Circle -1 Vs. Indira Gandhi New Delhi International Airport IGI (Appellant) Airport South West Delhi, New Delhi (Respondent) Appellant by: Sh. Om Praksh, CIT DR Respondent by : Sh. Tarandeep Singh, Advocate Sh. Sandeep Yadav, Advocate
Date of Hearing 02.07.2026 Date of Pronouncement 10.07.2026
ORDER PER KRINWANT SAHAY AM Appeal in this case has been filed by the Revenue against the order dated 09.12.2025 passed by the Ld. CIT(A)/NFAC, Delhi for the A.Y. 2022-23. Grounds of appeal are as under :-
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The order of L.d. CIT(A) is not correct in law and facts.
That on the facts and circumstances of the case, L.d. CIT(A) has erred in deleting addition of Rs. 561,68,60,000 on account of disallowance of supplementary rent being royalty u s 40(a)(i). The appellant craves leave to add, amend any all the grounds of appeal before OR during the course of hearing of the appeal.
During proceedings before us the Ld. Counsel for the assessee submitted that the issue raised by the Revenue in this appeal is squarely covered by the Tribunal’s order in assessee’s own case for financial year 2006-07 to 2021-22.
We have gone through the order passed by the coordinate Benches of the Tribunal in assessee’s own case on this issue in the last many years and we find that this issue raised by the assessee against the addition of Rs.561,68,60,000/- on account of disallowance of supplementary rent being royalty u/s.40(a)(i) of the Act. as no TDS on the same had been deducted.
Per contra the DR relied on the order of the authorities below.
Since this issue is squarely covered by the coordinate Benches order in assessee’s own case even in its latest order passed on
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18.06.2025 by Delhi ITAT in assesee’s own case for A.Y. 2020-21 and 2021-22 in ITA No.4596 and 4597/Del/2025, therefore, Revenue’s appeal on this issue is dismissed.
In the result, the appeal of the revenue is dismissed.
Order pronounced in open Court on 10 July, 2026.
.
Sd/- Sd/- (MADHUMITA ROY) (KRINWANT SAHAY) JUDICIAL MEMBER ACCOUNTANT MEMBR Dated : 10/07/2026 *Neha Sr. PS* Copy forwarded to : 1. Appellant 2. Respondent 3. CIT 4. CIT (Appeals) 5. DR: ITAT
ASSISTANT REGISTRAR ITAT NEW DELHI
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More judgments on Section 40(a)(i)
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- Eurofins Peenya Resources Private Limited… vs Deputy Commissioner of Income Tax…ITA 1116/BANG/2023[2016-17]Status: Disposed28 Sept 2026AY 2016-17
- Azure Green Tech Private Limited, Delhi vs Deputy Commissioner of Income Tax, Circle…ITA 6199/DEL/2026[2021-22]Status: Disposed21 Sept 2026AY 2021-22
- Azure Green Tech Private Limited, Delhi vs Deputy Commissioner of Income Tax, Circle…ITA 6198/DEL/2026[2020-21]Status: Disposed21 Sept 2026AY 2020-21
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