THE PR. COMMISSIONER OF INCOME TAX -CENTRAL -1 vs PVR LTD

Judgment text excerpt

$~94-97 * IN THE HIGH COURT OF DELHI AT NEW DELHI % Date of Decision : 29.04.2025 + ITA 113/2025 + ITA 115/2025 + ITA 116/2025 + ITA 117/2025 THE PR. COMMISSIONER OF INCOME TAX -CENTRAL -1 .....Appellant Through: Mr Ruchir Bhatia, SSC, Mr Anant Mann, JSC Ms Aditi Sabharwal and Mr Abhishek Anand, Advocates. versus PVR LTD .....Respondent Through: Mr Salil Kapoor, Mr Sumit Lalchandani and Ms Ananya Kapoor, Advocates. CORAM: HON'BLE MR. JUSTICE VIBHU BAKHRU HON'BLE MR. JUSTICE TEJAS KARIA VIBHU BAKHRU, J. (ORAL) 1. The Revenue has filed the present batch of four appeals under Section 260A of the Income Tax Act, 1961 [the Act] assailing a common order dated 23.10.2024 [impugned order] passed by the learned Income Tax Appellate Tribunal [ITAT] dismissing the respective appeals preferred by the Revenue and allowing the cross objections filed by the respondent [Assessee] in the said appeals. 2. The details of the appeals filed by the Revenue and cross objections in Signature Not Verified Digitally Signed ITA 113/2025 & Connected Appeals Page 1 of 8 By:TARUN RANA Signing Date:13.05.2025 16:02:29 reference to the appeals preferred by the Assessee, which were disposed of by the learned ITAT by the impugned order, are set out below: - Sr. ITA ITA No. Cross CIT(A) No. AY No. No. (ITAT) Objection No. 1 113/2025 6648/Del/2013 222/Del/2018 55/13-14 2008-09 2 115/2025 1578/Del/2014 223/Del/2018 414/11-12 2009-10 3 116/2025 1270/Del/2015 307/Del/2015 510/16-17 2010-11 4 117/2025 7948/Del/2018 69/Del/2021 134/10-11 2014-15 3. The principal question considered by the learned ITAT was whether the subsidies received by the Assessee from the State governments were in the nature of capital receipts? 4. The Assessee had received the Entertainment Tax Subsidy [ETS] from the State Governments in