Facts of the Case

  1. The Revenue filed three appeals before the Delhi High Court against a common order of the Income Tax Appellate Tribunal.
  2. The Tribunal’s order related to multiple assessment years involving the respondent-assessee, Inter Globe Technology Quotient Pvt. Ltd.
  3. There was a procedural delay of 38 days in re-filing the appeals, for which condonation was sought.
  4. The Court condoned the delay after considering the reasons mentioned in the applications.
  5. The substantive tax issue involved in these appeals had already been decided by the Delhi High Court in an earlier judgment dated 22 May 2017 in ITA No. 330/2017 involving the same parties.

Issues Involved

  1. Whether the Revenue could successfully challenge the ITAT’s common order when the same legal issue had already been decided by the High Court in an earlier connected matter?
  2. Whether any substantial question of law survived for consideration under Section 260A of the Income-tax Act?

Petitioner’s (Revenue’s) Arguments

  • The Revenue challenged the correctness of the ITAT’s common order for the relevant assessment years.
  • It sought reversal of the Tribunal’s findings by invoking appellate jurisdiction of the High Court.
  • The Revenue contended that the issue required reconsideration by the High Court.

Respondent’s Arguments

  • The assessee relied upon the earlier judgment of the Delhi High Court dated 22 May 2017 involving the same issue and the same parties.
  • It was contended that the controversy stood conclusively settled and no fresh adjudication was necessary.
  • The assessee argued that the appeals were liable to be dismissed on the basis of judicial precedent.

Court Findings / Observations

  • The Delhi High Court noted that the question raised by the Revenue was no longer res integra.
  • The Court observed that the identical question had already been decided against the Revenue in the earlier judgment dated 22 May 2017.
  • Since the issue stood covered by the previous decision, the Court found no merit in the Revenue’s appeals.

Court Order / Final Decision

  • Delay in re-filing the appeals was condoned.
  • The appeals filed by the Revenue were dismissed.
  • The Court affirmed the application of the earlier precedent and decided the matter in favour of the assessee.

Important Clarification

This judgment reinforces the principle of judicial consistency and confirms that where an identical issue involving the same assessee has already been decided by the High Court, subsequent appeals on the same issue may be dismissed by following the earlier binding precedent unless distinguishable facts or legal grounds are shown.

Sections Involved

  • Section 260A, Income-tax Act, 1961 (Appeal before High Court)
  • Appellate proceedings arising from orders of the Income Tax Appellate Tribunal (ITAT)

Link to download the order -https://delhihighcourt.nic.in/app/case_number_pdf/2017:DHC:8763-DB/SMD30052017ITA3462017_165516.pdf

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