Mr. Surendra Kumar & Mr. A.K. Babbar, Advocates v. COMMISSIONER OF DELHI VALUE ADDED TAX & ANR.

Delhi High Court · 22 May 2017 · 2017:DHC:8143-DB
JUSTICE S.MURALIDHAR JUSTICE VINOD GOEL; 22.05.2017
WP(C)Nos.4496of20I7
2017:DHC:8143-DB
tax appeal_allowed Significant

AI Summary

The Delhi High Court held that tax authorities cannot delay refund issuance after assessment completion by continuing verification of input tax credit denial under Section 9(2)(g) of the Income Tax Act, directing immediate refund with interest.

Full Text
Translation output
$-62, 64&65 HIGH COURT OF DELHI
W.P.(C) 4496/2017
M/S JAINASONS PACKERS Petitioner . Through: Mr. Surendra Kumar & Mr. A.K.
Babbar, Advocates
VERSUS
COMMISSIONER OF DELHI VALUE ADDED TAX & ANR.
Respondents
Through: Mr. Naunidh S. Arora, Advocate
WITH
, W.Pfc) 4498/2017 M/S LAL CHAND INDUSTRIES Petitioner
Through: Mr. Surendra Kumar & Mr. A.K.
VERSUS
Through: Mr. S.K. Sethi, Advocate
WITH
W.P.(C) 4499/2017
M/S MALBRO INDUSTRIES Petitioner
Through: Mr. Surendra Kumar & Mr. A.K.
VERSUS
WP(C)Nos.4496of20I7, 4498 of2017& 4499 of2017 Page J of3
2017:DHC:8143-DB
Through: Mr. Sharat Kapoor, Advocate
CORAM: JUSTICE S.MURALIDHAR JUSTICE VINOD GOEL
22.05.2017
ORDER

1. Notice. Mr. Naunidh S. Arora, Advocate accepts notice on behalf of the Respondents in WP(C) No. 4496/2017. Mr. S.K. Sethi, Advocate accepts notice on behalf of Respondents in WP(C) No. 4498/2017 and Mr. Sharat Kapoor, Advocate accepts notice on behalf of Respondents in WP(C) NO. 4499/2017.

2. Despite the assessments having been completed, the refunds are yet to be issued.

3. Learned counsel for the Respondents states that the Respondents are still verifying if any input tax credit requires to be denied in view of Section 9(2)(g) ofthe Income Tax Act, 1961.

4. The stage of such examination has been long crossed and is legally untenable as has been explained by this Court time and again in several decisions, including the recent decision dated 19th May 2017 in WP(C) NO. 4378/2017 titled ^jc/va Sichem Pvt. Ltd. v. Commissioner ofDelhi Value Added Tax &Anr..

5. It is accordingly directed that not later than four weeks from today, the refiind orders will be issued and the refund amount, together with interest WP(C)Nos.4496 of2017, 4498 of2017 <6 4499 of2017 Page 2 of[3] thereon, will be credited directly to the Petitioners' accounts within one week thereafter. If there is any non-compliance, it would be open to the Petitioners to seek appropriate remedies in accordance with law.

6. The writ petitions are disposed of in the above terms. MAY 22, 2017 tp WPfQ Nos.4496 of2017, 4498 of2017 <S 4499 of2017 S.MURALIDHAR, J VINOP GOEL, J Page 3 of[3]