Principal Commissioner of Income Tax - 4 Delhi v. Humboldt Wedag India Pvt. Ltd.
Case brief
What is this about?
Delhi High Court, ITA 215/2024; Principal Commissioner of Income Tax - 4 Delhi v Humboldt Wedag India Pvt Ltd; decided 11.02.2026 by Dinesh Mehta and Vinod Kumar. Appeal rejected on the principle of consistency: the Tribunal's identical view for assessment year 2016-17 (order dated 13.08.2021) attained finality as the Department filed no appeal; the Department conceded this on instruction; although the tax quantum exceeded the limits prescribed in the CBDT circular, acceptance of the prior-year position was treated as acceptance of the legal position; the Department cannot take two stands for different years on the same set of facts qua the same assessee.
What did the court decide?
Since the Department has accepted the factual and legal position for assessment year 2016-17, regardless of the quantum of tax involved (which exceeded the limits prescribed in the CBDT circular), it should be taken that the Department has accepted the legal position.