Hitachi Digital Services India Private Limited vs. The Assistant Commissioner of Income Tax

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WP/35399/2026HC TelanganaHBHC01071916202616 October 2026Author: P.SAM KOSHY,SUDDALA CHALAPATHI RAO6 pages
AI SummaryRemanded

What did the High Court hold?

The High Court disposed of the writ petition with a direction to Respondent No. 2 (Deputy Commissioner of Income Tax) to verify if the petitioner's application filed under Section 154 of the Income-tax Act, 1961, for the assessment year 2017-18, and the representation dated July 26, 2024, were pending. If they were found to be pending, a decision was to be taken within a period of forty-five (45) days from the date of receipt of a copy of the Court's order. This decision was to be made after affording a reasonable opportunity to the petitioner. The Court did not delve into the merits of the rectification application itself but focused on directing the authority to consider and decide it within a stipulated timeframe. No issue was left undecided; the Court granted the primary relief sought by the petitioner, which was a direction for disposal of their pending applications.

What were the facts?

The petitioner, Hitachi Digital Services India Private Limited, filed a writ petition before the High Court of Telangana at Hyderabad. The petition was directed against the Assistant Commissioner of Income Tax and other revenue authorities. The petitioner sought a writ of mandamus to direct the Deputy Commissioner of Income Tax to consider and dispose of their rectification application dated August 17, 2023, filed under Section 154 of the Income-tax Act, 1961, concerning Assessment Year 2017-18. They also sought consideration of a further representation dated July 26, 2024, and consequential relief including refunds and interest. The petitioner's counsel made a limited prayer for a direction to the respondent to decide the pending applications.

What were the issues?

1. Whether the High Court, in its writ jurisdiction under Article 226 of the Constitution of India, should direct the Income Tax Department to consider and dispose of a rectification application filed under Section 154 of the Income-tax Act, 1961, and a subsequent representation. (Question of procedure and administrative action) Assessee's Contention: The petitioner argued that their rectification application dated August 17, 2023, and their representation dated July 26, 2024, were pending and sought a direction for their disposal by the respondent authorities, along with consequential relief. They relied on the principle of ensuring timely disposal of statutory applications. Revenue's Contention: The learned Senior Standing Counsel for the Income Tax Department submitted that subject to verification and if the applications were still pending, appropriate steps would be taken for their expeditious decision.

Which sections of the Income-tax Act were involved?

Section 154,Section 244A

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances
[ 3523 ] IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) FRIDAY, THE SIXTEENTH DAY OF OCTOBER TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE THE ACTING CHIEF JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE SUDDALA CHALAPATH! RAO WRIT PETITION NO: 35399 OF 2026 Between: Hitachi Digital Services lndia Private Limited, (formerly known as Hitachi Vantara Software Services lndia Private Limited and Hitachi Consulting Software Services lndia Private Limited), having its office at Plot No. 9, Survey No. '1 15, TSIIC lT/ITES SEZ, Nanakramguda Village, Serilingampally Municipality, Ranga Reddy District, Hyderabad, Telangana - 500019, PAN AACCS8350A, represented by its Director, Sri Mahendra Kumar Nabaria, S/o. Sri Sushil Kumar Nabaria, aged about 37 years, Rio. B 13-7214, Plot C 1, Raghavendra Colony Shivarampally, Opp National Police Academy Hyderabad, Ranga Reddy, Telangana 500052. .....PETITIONER AND 1. The Assistant Commissioner of lncome Tax, Circle 2(2), Hyderabad, earlier situated at Signature Towers, Sy. No. 6(P) of Kondapur, Sy. No. 37(P) of Kothaguda, Opp. Botanical Gardens, Serilingampally (M), RR District, Hyderabad, Telangana- 500084 (Currently situated at 8th Floor, Block- 88, lncome Tax Towers, 10-2-3, A C Guards, Masab Tank, Hyderabad, Telangana - 500004) 2. The Deputy Commissioner of lncome Tax, Circle 2(1), Hyderabad, earlier situated at Room No 514, 5th Floor, Signature Towers, Sy.No.6(P) of Kondapur, Sy. 37(P) of Kothaguda, Opp. Botanical Gardens, Serilingampally (M), R. R. District, Hyderabad, Telangana, 500084 (Currently situated at 6th Floor, Block - 6D, lncome Tax Towers, 10-2-3, A C Guards, Masab Tank, Hyderabad, Telangana -500004) 3. The Centralised Processing Centre, lncome Tax Department, Bengaluru, Karnataka, represented by its Competent Authority. 4. Union of tndia, represented by its Secretary, Ministry of Finance, Department of Revenue, North Block, New Delhi -1 10001 . .....RESPONDENTS Petition Under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue an appropriate Writ, Order or Direction, more particularly one in the nature of Writ of Mandamus, directing Respondent No. 2 (a).to take up, consider and dispose of the Petitioner's rectification application dated 17.08.2023 filed under Section .1 54 of the lncome-tax Act, 1961 pertaining to Assessment Year 2017-18 by passing a reasoned and speaking order in accordance with law and process the refund due within a time bound manner of four weeks and (b).direct the Respondents to complete the aforesaid exercise within a period of four weeks or such other time as this Hon'ble Courl may deem fit, from the date of receipt of a copy of the order of this Hon'ble Court (c).direct Respondent No.2 to consider Petitioner's further representation dated ,26.07.2024 along with the rectification application dated 17.08.2023 and all documents already furnished by the Petitioner direct that, in the event the rectification application results in red uction/deletion of the demand or refund becoming due, the Respondents shall give consequential effect thereto, including applicable interest under Section 244A of the Act, in accordance with law. Counsel for the Petitioner : Ms. K.PRABHABATI Gounsel for the Respondent Nos.1 to 3:Ms. J.SUNITHA (SR SC FOR INCOME TAX) Counsel for the Respondent No.4 : SRI N.BHUJANGA RAO, DEpUTy SOLICITOR GENERAL OF INDIA

The Court made the following ORDER

t--- IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD THE HON'BLE THE ACTING CHIEF JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE SUDDALA CHALAPATHI RAO WRIT PETITION No.35399 OF 2026 (CNR No.HBHC010'7 191 62026) Dated: 16.10.2026 Between: Hitachi Digital Services India Private Limited Petitioner AND The Assistant Commissioner of Income Tax and 3 others Respondents OR.DER: (pcr the Hon'ble the Acting ChiefJustice P.Sam Koshy) Heard Ms. K. Prabhabati, learned counsel appearing for the petitioner and Ms. J. Sunitha, learned Senior Standing Counsel appearing for the respondent-Income Tax Depaftment

2.

This Writ Petition is filed under Article 226 of the Constitution of India seeking the following relief: "... to issue an appropriate Writ, Order or Directlon, more particularly one in the nature of Writ of Mandamus, directing Respondent No 2: (a). to take up, consider and dispose of the Petition 's rectification application dated 17.08.2023 filed under Section 154 ofthe Income-tax Act, 1961 pertairdng to Assessment Year 2017-18 by passing a reasoned and speaktng order in IE ) accordance \.\'tth larv and process the retund due within a time bound manner of lo ur weeks: and (b). direct the Respondents to complere the aforesaid exercise within a period of lour weeks or such other time as this Hon'ble Court may deem fit, ftom the date of receipt of a cop1, of the order of lhis IIon'ble Court; (c). direct,Respondent No.2 to constder Petitioner's further representation dated 26 07.2024 along with the rectification applicarion dated 17.08.2023 and all documents alr;adv lumished by the Petitioner; (d). direct that. in the event the recttfication application results in reduction/deletion of the demand or relund becoming due, the Respondents shali give consequi:ntial el'fcct thereto. includrng applicable interest under Section 244A. of the r\ct. rn accordance with law; and pass such other order or orders as this Hon'ble C'ourt may.deeur fit and proper in the circumstanccs of the case and process lhe reluncl rlue within a trme bound marmer of four weeks."

3.

Learned counsel for the petitioner at the outset makes a limited prayer for a rlirection to respondent No.2 for considering and deciding the application dateci 17.08.2023 hled by the petitioner under Section 154 of the Income l'ax Act, I 961 seeking rectification of the order, dated 30.11.2019, fbr the assessment year 2017-18, and the representation dated 26.07.2024

4.

Leamerl Senior Standing Counsel for Income Tax Department submits that subjr.ct to verification and if the application under Section 154 of the Income lax Act and the representation are still pending, appropriate steps shall be taken 1br an expeditious decision on the said applications

5.

In vier.l' of the same, we do not intend to keep the Writ petition pending and the liame is disposed of directing respondent No.2 to verify \4'hether the petitioner's application filed under Section 154 of the lncome

3 Tax Act, 1961, against the order dated 30.11.2019 for the assessment year 2Ol7-18 and the representation, dated26.07 .2024, are pending or not and if the same are pending, let a decision be taken within a period of forty f,rve (45) days after affording a reasonable opportunity to the petitioner.

6.

With the above direction, the Writ Petition is disposed of. There shall be no order as to costs. Miscellaneous applications, if any pending, shall stand closed. K. BHAVANI SWAMY //II ASSISTANT REGISTFTAR tv To sEcTtoN OFFTCER l The Assistant commissibner of rncome Tax, circre 2(2), Hyderabad, earrier situated at Signature ]owerg, -Sy No 6(p) of Kondapijr, 6v. N". jz-O;i""t Kothaguda, Opp. Botanical Girdens, berilingampa[y (M), RR District, Hyderabad, Terangarra- .5^0qo^84 (currenfly situated at 8th Froor, Brock- 8B, lncome Tax Towers, 10_2_3, A C Guardi, Masab Tank, 'HVO.irUrO, Telangana - 500004)

2.

The Deputy Commissioner of lncome Tax, Circle 2(1), Hyderabad, earlier situated at Room No. .?11, 5th Ftoor, Srgnature i";";,- St.N;'UfA"'"f [g.nd:py, Sy. 37(p) of Kothaguda, Opp. Bjanicat Gardens, S"',tiin!"r[rrry g), R^l District, HyderaOaO, fetangana, SOOO8+ (Currentty.id;dJ;Gih Floor, Block - 6D, lncom^e^ Tax Towe-rs, 10_2_3, A C Guards, Masab Tank, ^ Hyderabad, Telangana _5OO0O4)

3.

The Competent Authority, Centralised processing Centre, lncome Tax Department, Bengaluru, Karnataka.

4.

The Secretary, Union 9f . t1_01q, Ministry of Finance, Department of Revenue, North Block, New Delhi -1 10001

5.

One CC to Ms K PRABHABAT|, Advocate [OPUC]

6.

One CC to Ms. J.SUN|THA (SR SC FOR INCOM iAX) Advocate IOPUCI 7 ONE CC tO SRI N.BHUJANGA RAO, DEPUTV SO[ICITOR Cir.rCNNL Or tNDtA (OPUC)

8.

Two CD Copies SA MS

HIGH COURT DATED: 1611012026 ORDER WP.No.35399 of 2026 DISPOSING OF THE W.P WITHOUT COSTS. /i /6 /]: o C.' 0 4 \li, 2025 sPAJCtt\''---- itt tt " ..' \ * K,*) \-' j\

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