THE COMMISSIONER OF INCOME TAX-CITY-IV, MUMBAI. vs RELIANCE INDUSTRIES LTD.

2025:BHC-OS:9937-DB Megha 401_itxa_505_2023_fc.docx IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION. INCOME TAX APPEAL NO.505 OF 2003 Bajaj Auto Limited ...Appellant V/s. Dy. Commissioner of Income Tax ...Respondent WITH INCOME TAX APPEAL NO.156 OF 2003 The Commissioner of Income Tax-3 ...Appellant V/s. M/s. Reliance Industries Limited ...Respondent ______________ Mr. P.J. Pardiwalla, Senior Advocate with Ms. Vasanti Patel for the Appellant in ITXA/505/2003. Mr. Suresh Kumar for the Appellant in ITXA/156/2003 and for Respondent in ITXA/505/2003. Mr. J.D. Mistri, Senior Advocate with Mr. Madhur Agarwal, Mr. Fenil Bhatt, Mr. P.C. Tripathi, Mr. Punit J. Shah, Mr. Ketan Dave and Mr. Pratik Shah i/b. M/s. A.S. Dayal and Associates for the Respondent in ITXA/156/2003. ______________ CORAM: ALOK ARADHE, CJ. & SANDEEP V. MARNE, J. Judgment reserved on: 26 JUNE 2025. Judgment pronounced on: 03 JULY 2025. Page No. 1 of 36 Megha 401_itxa_505_2023_fc.docx JUDGMENT (PER: SANDEEP V. MARNE, J.) A. THE CHALLENGE 1. These Appeals, filed under Section 260A of the Income Tax Act,1961, (the Act) raise a common question of law as to whether an incentive received in sales