THE PR. COMMISSIONER OF INCOME TAX-06 vs. M/S NEW HIND ENTERPRISES PVT. LTD.

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ITA/150/2020HC DelhiDLHC01013929202022 September 2022Bench: HON'BLE MR. JUSTICE MANMOHAN,HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA2 pages
AI SummaryRemanded

What did the High Court hold?

The High Court accepted the statement made by the learned counsel for the respondent/assessee. The assessee undertook to offer to tax any amounts returned to the company in the event it is successful in its cases against farmers and the advances made to them are recovered. The Court held the respondent bound by this statement. Consequently, the appeal was disposed of based on this undertaking. The Court explicitly noted that the question of law was left open, meaning it was not decided on its merits. No specific directions were issued by the High Court beyond accepting the assessee's statement and disposing of the appeal.

What were the facts?

This case involves an appeal by the Principal Commissioner of Income Tax-06 (Revenue) against an order of the Income Tax Appellate Tribunal (ITAT) dated 11th September, 2019. The ITAT's order concerned assessment year(s) not explicitly stated in the provided text. The Revenue sought compliance with directions issued by the ITAT in paragraph 7 of its order. The High Court had previously directed the Revenue to serve the appeal on the assessee, M/s New Hind Enterprises Pvt. Ltd., through the Assessing Officer. The Revenue confirmed service via email and informed the assessee of the hearing. Despite a passover, no one appeared for the assessee initially. Subsequently, counsel for the assessee entered appearance.

What were the issues?

1. Whether the appeal is to be decided on merits or disposed of based on a statement made by the assessee's counsel? (Mixed question of law and fact, concerning the procedure and outcome of the appeal). Assessee's Contention: The learned counsel for the respondent/assessee, on instructions, stated that in the event the assessee company is successful in its cases against farmers and the advances made to them are returned, then such amounts shall be offered to tax. This statement was made to resolve the appeal. Revenue's Contention: The learned counsel for the appellant/Revenue stated that the appellant would be satisfied if the respondent/assessee undertakes to comply with the directions given by the ITAT in paragraph 7 of the impugned order. The Revenue accepted the statement made by the assessee's counsel.

AI-generated summary — verify with the full judgment below

$~2 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 150/2020 THE PR. COMMISSIONER OF INCOME TAX-06 ..... Appellant Through: Mr. Ruchir Bhatia, Advocate with Ms.Mansie Jain, Advocate. versus M/S NEW HIND ENTERPRISES PVT. LTD. ..... Respondent Through: Mr. Divyansh Jain, Advocate CORAM: HON'BLE MR. JUSTICE MANMOHAN HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA O R D E R % 22.09.2022 On 11th March, 2022, this Court had passed the following order:- “Learned counsel for the appellant states that the appellant would be satisfied in the event the respondent/assessee undertakes to comply with the directions given by the ITAT in paragraph 7 of the impugned order dated 11th September, 2019. On the last date of hearing, this Court had directed the appellant to serve a copy of the appeal upon the respondent/assessee through the Assessing Officer. Learned counsel for the appellant states that the Assessing Officer had informed the respondent/assessee of today’s hearing. He clarifies that the paper book of the present appeal had also been served upon the respondent/assessee through email. However, none is present for the respondent/assessee despite a passover. Consequently, issue notice to the respondent/assessee by all modes, returnable on 26th May, 2022.” This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 15/06/2026 at 01:32:31

Mr. Divyansh Jain, Advocate, enters appearance on behalf of the respondent. He on instructions states that in the event the assessee company is successful in the cases filed by it against the farmers and the advances made to the farmers are returned, then the said amounts shall be offered to tax. The aforesaid statement made by the learned counsel for the respondent is accepted by this Court and respondent is held bound by the same. In view thereof, the present appeal stands disposed of. The question of law is left open. MANMOHAN, J MANMEET PRITAM SINGH ARORA, J SEPTEMBER 22, 2022 js This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 15/06/2026 at 01:32:31

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