Income Tax Officer Personally apologizes to Court for Failure to follow Binding Judgment: Delhi HC deletes Addition [Read Order]

In a petition filed by Deccan Holdings B V, the Delhi High Court has deleted the addition as the income tax officer personally appeared before Court for his mistake in not following the binding precedent of the High Court.

Mr. Shashi Bhushan Sharma, the Income Tax Officer, had passed the impugned order in contravention of the decision in Steria (India) Ltd. Vs. CIT, EPCOS Electric Components S.A. Vs. Union of India, and M/s Concentrix Services Netherlands B.V.

Before the bench of Justice Manmohan Justice Manmeet Pritam Singh Arora the officer admitted that the observations/findings in the impugned order that the judgments passed by the court in the above judgments ‘are not acceptable to him’ are untenable in law. He further admitted that principle of judicial discipline mandates that the lower authorities are bound to follow the orders passed by the higher authorities.

“He expresses his unconditional apology and regret for the aforesaid observations/findings and prays that the said observations in the impugned order be expunged/deleted,” the bench said.

“The unconditionally apology offered by Mr. Shashi Bhushan Sharma is accepted by this court and the observations/findings referred to hereinabove in the impugned order are deleted/expunged. Personal appearance of Mr. Shashi Bhushan Sharma is dispensed with,” the Court concluded.

To Read the full text of the Order CLICK HERE

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