Virtusa Consulting Services (P) Ltd. v. DCIT

442 ITR 385High Court2022#12807 most cited

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2022 to 2026.

Sections most often in play

Section 263 Section 143(3)Section 144B Section 147 Section 114(f)Section 119 Section 133(6)Section 139

Issues it is cited on

section 263of inadequate enquiry revision under section 263 section 263(1)lack of enquiry malabar industrial erroneous and prejudicial non-application of mind section 119 complete scrutiny chief commissioner section 263

Judgments citing Virtusa Consulting Services (P) Ltd. v. DCIT

M/S. Hyundai Motor India Ltd., Kanchipuram vs. PCIT-4, Chennai

In the result, the appeal of the assessee is allowed

ITA 434/CHNY/2025[2012-13]Status: DisposedITAT Chennai11 Feb 2026AY 2012-13

Bench: Shri Manu Kumar Giri & Shri S. R. Raghunatha

For Appellant: Shri. Sriram Seshadri, C.AFor Respondent: Ms. E. Pavuna Sundari, C.I.T

Section 143(3)Section 254Section 263Section 43(1)

…not justified in invoking the provisions of section 263 of the Act: :-8-: ITA. No:434/Chny/2025 Page No. in Name of the Case Forum Citation case law compilation Kwality Steel Suppliers SC 395 ITR 1 6 Complex Virtusa Consulting Services (P.) 35 HC – Madras 442 ITR 385 Ltd. 332 ITR 167 67 Sunbeam Auto Ltd. HC-Delhi Clix Finance India (P.) Ltd HC – Delhi 298 Taxman 217 78 Spectra Shares & Scrips (P) Ltd. HC-Andra Pradesh 354 ITR 35 89 113 Chemsworth (P.) Ltd. HC – Karnataka 119 taxmann.com 358 133 Shriram Properties Limited ITAT – Chennai 2023 (4) TMI 375 124 Thanthi Trust ITAT – Chennai 171 taxmann.com 470 154…

M/S.Mahogany Logistics Services Pvt. Ltd., Madurai vs. PCIT, Madurai-1

In the result, the appeal filed by the assessee is dismissed

ITA 1631/CHNY/2024[2018-19]Status: DisposedITAT Chennai28 Jul 2025AY 2018-19

Bench: Shri S.S. Viswanethra Ravi & Shri S.R. Raghunathaआयकर अपील सं./I.T.A. No.1631/Chny/2024 िनधा"रण वष"/Assessment Year: 2018-19 M/S. Mahogany Logistics Services Vs. The Principal Commissioner Of Private Limited, Income Tax-1, 10, Jawahar Road, Chokkikulam, Madurai. Madurai 625 002. [Pan:Aafcd8781R] (अपीलाथ"/Appellant) (""थ"/Respondent) अपीलाथ" की ओर से / Appellant By : Shri N.V. Balaji, Advocate ""थ" की ओर से/Respondent By : Shri S. Senthil Kumaran, Cit सुनवाई की तारीख/ Date Of Hearing : 30.04.2025 घोषणा की तारीख /Date Of Pronouncement : 28.07.2025 आदेश /O R D E R Per S.S. Viswanethra Ravi: This Appeal Filed By The Assessee Is Directed Against The Order Dated 30.03.2024 Passed By The Ld. Principal Commissioner Of Income Tax 1, Madurai Under Section 263 Of The Income Tax Act, 1961 [“Act” In Short] For The Assessment Year 2018-19. 2. Brief Facts Of The Case Are That The Assessee Company [Earlier Known As M/S. Drsr Logistics Services Private Limited] Filed Its Return Of Income For The Ay 2018-19 Claiming Loss Of ₹.31,28,98,436/- Under 2

For Appellant: Shri N.V. Balaji, AdvocateFor Respondent: Shri S. Senthil Kumaran, CIT

Section 139(9)Section 143(3)Section 201Section 263Section 36Section 37Section 40

…ute as ‘change of opinion’ and the same cannot be basis for initiating proceedings under section 263 of the Act and relied on the decision of the jurisdictional High Court in the case of Virtusa Consulting Services (P.) Ltd. v. DCIT in T.C.A. No. 997 of 2018 [442 ITR 385 (Mad). He submits that the view of the ld. PCIT, that the Assessing Officer has not made any enquiry is absolutely vague and referred to page 29 of the appeal memo, being assessment order passed by the Assessing Officer after conducting enquiries/called for details, details were produced and assessment was completed and therefore, the findings of…

Ct. Ramanathan (HUF), Pudukkottai vs. PCIT 1, Madurai

Appeal of the assessee is allowed

ITA 761/CHNY/2025[2020-21]Status: DisposedITAT Chennai25 Jun 2025AY 2020-21

Bench: Hon’Ble Shri Manu Kumar Giri & Hon’Ble Shri S.R. Raghunathaआयकर अपील सं./Ita No.761/Chny/2025 Assessment Years: 2020-21 C.T.Ramanathan(Huf), Income Tax Officer, No.7/45, Ct.Rm.S.House, M.St.S. Street Ward-1, Kulipirai, Pudukottai Dist, Pudukottai. Tamil Nadu-622 402. [Pan: Aaahc0701L] (प्रत्यर्थी/Respondent) (अपीलार्थी/Appellant) अपीलार्थी की ओर से/ Assessee By : Mr.V.Subbarayan, Dcit(Retd.) प्रत्यर्थी की ओर से /Revenue By : Mr.M.K.Biju, Cir Dr By Virtual. सुनवाई की तारीख/Date Of Hearing : 03.06.2025 घोषणा की तारीख /Date Of Pronouncement : 25.06.2025 आदेश / O R D E R

For Appellant: Mr.V.Subbarayan, DCIT(Retd.)For Respondent: Mr.M.K.Biju, CIR DR by virtual

Section 143(3)Section 263Section 3

…nquiry that such a Page - 15 - of 26 ITA No.761 /Chny/2025 course of action under section 263 would be open. In this regard, we may refer the following judicial precedents: - Kwality Steel Suppliers SC 395 ITR 1 Complex Virtusa Consulting Services HC-Madras 442 ITR 385 (P.) Ltd. Globus Infocom Ltd. HC-Delhi 369 ITR 14 Sunbeam Auto Ltd. HC-Delhi 332 ITR 167 Mohak Real Estate (P.) Ltd HC-Delhi 161 taxmann.com 388 Clix Finance India (P.) Ltd HC-Delhi 298 Taxman 217 Spectra Shares & Scrips (P) HC-Andra 354 ITR 35 Ltd. Pradesh Chemsworth (P.) Ltd. HC-Karnataka 119 taxmann.com 358 Shriram Properties Limited ITAT-Che…

Madurai Power Corporation Private Limited, Chennai vs. PCIT, Corp Circle 4(1), Chennai

In the result, appeal filed by the assessee is allowed

ITA 1396/CHNY/2024[2014-15]Status: DisposedITAT Chennai04 Dec 2024AY 2014-15

Bench: Shri Aby T. Varkey & Shri Jagadish

For Appellant: Mr. N.V.Balaji, AdvocateFor Respondent: Mr. Nilay Baran Som, CIT

Section 143(3)Section 147Section 148Section 151Section 263Section 801ASection 80I

…this issue was unsustainable in law as held by the Hon’ble Supreme Court in the case of Malabar Industries Ltd., (supra). We also note that the Hon’ble jurisdictional High Court in the case of Virtusa Consulting Services (P) Ltd. v. DCIT reported in [2022] 442 ITR 385 (Madras), has also taken such a view, which is reproduced as under: M/s. Madurai Power Corporation Pvt. Ltd. :: 10 :: 27. In Kumar Rajaram v. ITO [2019] 110 taxmann.com 109/267 Taxman 65/[2020] 426 ITR. 185 (Mad.), the Court considered the scope of section 263 of the Act and after noting the decision in CIT v. Gabriel India Ltd. [1993] 71 Taxman…

Faiveley Transport Technologies India Pvt. Ltd., Hosur vs. ACIT, Corporate Circle-1(1), Chennai

In the result, appeal filed by the assessee is allowed

ITA 1598/CHNY/2024[2018-19]Status: DisposedITAT Chennai18 Oct 2024AY 2018-19

Bench: SHRI MANU KUMAR GIRI (Judicial Member), SHRI S.R. RAGHUNATHA (Accountant Member)

For Appellant: Shri. Ashik Shah, C.AFor Respondent: Shri Nilay Baran Som, IRS, CIT

Section 143(3)Section 263Section 80

…It is only in cases of lack of inquiry that such a course of action under section 263 would be open. In this regard, assessee relied on the following judicial precedents:- Kwality Steel Suppliers Complex SC 395 ITR 1 Virtusa Consulting Services (P.) HC-Madras 442 ITR 385 Ltd. Globus Infocom Ltd. HC-Delhi 369 ITR 14 Sunbeam Auto Ltd. HC-Delhi 332 ITR 167 Mohak Real Estate (P.) Ltd HC-Delhi 161 taxmann.com 388 Clix Finance India (P.) Ltd HC-Delhi 298 Taxman 217 Spectra Shares & Scrips (P) Ltd. HC-Andra 354 ITR 35 Pradesh Chemsworth (P.) Ltd. HC-Karnataka 119 taxmann.com 358 ITA No.1598 /Chny/2024 Shriram Propert…

Keller (M) Sdn Bhd, Chennai vs. DCIT Intl Tax 1(2), Chennai

In the result, the appeal of the assessee stands allowed

ITA 1319/CHNY/2023[2018-19]Status: DisposedITAT Chennai28 Aug 2024AY 2018-19

Bench: Hon’Ble Shri Manoj Kumar Aggarwal, Am & Hon’Ble Shri Manu Kumar Giri, Jm आयकरअपील सं./ Ita No.1319/Chny/2023 (िनधा"रणवष" / Assessment Year: 2018-2019) Vs. The Deputy Commissioner Of Keller (M) Sdn Bhd, Income Tax, 7Th Floor, Centennial Square, International Taxation 1(2) No.6A, Dr. Ambedkar Road, Chennai. Kodambakkam, Chennai 600 024. [Pan: Aagck 8014M] (अपीलाथ"/Appellant) (""यथ"/Respondent) अपीलाथ" क" ओर से/ Appellant By : Shri. Ashik Shah, C.A. ""यथ" क" ओर से /Respondent By : Shri. Nilay Baran Som, Irs, Cit.

For Appellant: Shri. Ashik Shah, C.AFor Respondent: Shri. Nilay Baran Som, IRS, CIT

Section 133(6)Section 139Section 143(3)Section 147Section 154Section 239Section 263

…ion under Section 263 of the Act:- Sl.No Name of the case Forum Citation Page No. 1 Max India Ltd. Supreme Court 295 ITR 282 3 Max India Ltd. HC-P&H 268 ITR 128 5 3 Malabar Industries Co. Ltd. Supreme Court 243 ITR 83 7 4 Virtusa Consulting Services HC-Madras 442 ITR 385 12 (P.) Ltd. 5 Sunbeam Auto Ltd. HC-Delhi 332 ITR 167 22 6 Spectra Shares & Scrips HC-Andhra 354 ITR 35 33 (P.) Ltd. Pradesh 7 Saravana Developers HC-Karnataka 387 ITR 239 57 8 Chemsworth (P.) Ltd. HC-Karnataka 119 taxmann.com 65 358 9 Hari Iron Trading Co HC-Punjab & 263 ITR 437 69 Haryana 10 Shriram Properties Limited ITAT-Chennai 2023 (4) TMI…

Kaustubh Gupta, Meerut vs. Pr. CIT, Ghaziabad

In the result, appeal is allowed

ITA 1125/DEL/2022[2017-18]Status: DisposedITAT Delhi07 Dec 2023AY 2017-18

Bench: Shri Saktijit Dey, Vice- & Shri M. Balaganeshassessment Year: 2017-18 Kaustubh Gupta, 412/3, Versus Pr. C.I.T., Mangal Pandey Nagar, Ghaziabad. Meerut. Pan: Aabcs3651B (Appellant) (Respondent) Assessee By: Sh. Sanjeev Sapra, C.A. Revenue By: Sh. Waseem Arshad, Cit/Dr Date Of Hearing : 28.11.2023 Date Of Pronouncement: 07.12.2023 Order Per Saktijit Dey, Vice-

For Appellant: Sh. Sanjeev Sapra, C.AFor Respondent: Sh. Waseem Arshad, CIT/DR

Section 142(1)Section 143(3)Section 263

…s unsustainable. In support of such contention, learned counsel relied upon the following decisions : (i). CIT vs. Anil Kumar Sharma, 335 ITR 83 (Del). (ii). CIT vs. Sunbeam Auto Ltd., 332 ITR 167 (Del.) (iii). Virtusa Consulting Services Pvt. Ltd. vs. DCIT, 442 ITR 385 (Mad). (iv). CIT vs. Neerav Modi, 390 ITR 292 (Bom) (v). ITO vs. DG Housing Projects Ltd., 343 ITR 329 (Del) (vi) Eicher Motor Ltd. vs. CIT, 125 taxmann.com 432 (ITAT Delhi) (vii). CIT vs. Honda Siel Power Products Ltd., 333 ITR 547 (Del). (viii). Meerut Roller flour Mills Pvt. Ltd. vs. CIT, 420 ITR 216 (All) (ix). CIT vs. Smt. D. Valliammal, 230…

Golden Fashions (India) P Ltd, Erode vs. ACIT, C-2, Erode

In the result, the appeal filed by the assessee is allowed

ITA 360/CHNY/2021[2015-16]Status: DisposedITAT Chennai22 Jun 2022AY 2015-16

Bench: Shri Mahavir Singhand Shri Manoj Kumar Aggarwal

For Appellant: Shri G. Baskar, AdvocateFor Respondent: Shri M. Rajan, CIT

Section 143(3)Section 263

…s of dyeing charges, fabric finishing expenses, weaving charges, sizing charges and processing charges. The ld.counsel stated that this issue is deliberated by the Hon’ble Madras High Court in the case of Virtusa Consulting Services (P) Ltd., vs. DCIT, [2022] 442 ITR 385, wherein the Hon’ble High Court has considered a similar issue in para 20 & 21 as under:- 20. On a perusal of the order passed by the PCIT, we find there is no discussion and finding with regard to the exercise of jurisdiction under Section 263, which according to the assessee was without jurisdiction. Secondly, the issue whether it is mandatory…