THE COMMISSIONER OF INCOME TAX (INTERNATIONAL TAXATION)-1, NEW DELHI vs ERNST AND YOUNG U.S. LLP

Judgment text excerpt

* IN THE HIGH COURT OF DELHI AT NEW DELHI % Judgment reserved in ITA 423-424/2025 on: 27.11.2025 Judgment reserved in ITA 715/2025 on: 12.12.2025 Judgment reserved in ITA 753/2025 on: 17.12.2025 Judgment reserved in ITA 760/2025 on: 18.12.2025 Judgment delivered on: 18.06.2026 Judgment uploaded on: As per Digital Signature~ + ITA 423/2025 + ITA 424/2025 + ITA 715/2025 + ITA 753/2025 + ITA 760/2025 THE COMMISSIONER OF INCOME TAX (INTERNATIONAL TAXATION)-1, NEW DELHI .....Appellant versus ERNST AND YOUNG U.S. LLP .....Respondent Advocates who appeared in this case For the Appellant : Mr. Puneet Rai, SSC with Mr. Ashvini Kr., Mr. Rishabh Nangia, Mr. Gibran, JSC. For the Respondent : Mr. S. Ganesh, Sr. Advocate with Ms. Ananya Kapoor, Advocate. CORAM: HON'BLE MR. JUSTICE V. KAMESWAR RAO HON'BLE MR. JUSTICE VINOD KUMAR JUDGMENT V. KAMESWAR RAO, J. CM APPL No.75760/2025(condonation of delay) in ITA 715/2025 1. For the reasons stated in the application, the delay of 21 days in filing Signature Not Verified Signed By:PRADEEP ITA 423, 424, 715, 753 & 760 of 2025 Page 1 of 80 SHARMA Signing Date:18.06.2026 12:35:37 the appeal stands condoned. 2. The application stands disposed of. ITA 423/2025; ITA 424/2025; ITA 715/2025; ITA 753/2025; & ITA 760/2025 3. These appeals filed by the Revenue under Section 260A of the Income Tax Act, 1961 (the Act) relate to different Assessment Years (AY) from 2018-19 upto 2022-23. 4. We must state here that these appeals involve identical questions of law however they diverge on facts. ITA 424/2025 pertains to AY 2021-22 wherein the assessee filed its return of income on 22.12.2021 declaring a total income of Rs.67,74,750/- and claimed the refund of TDS amount of Rs.3,01,41,850/- as exempt income and offered its income to tax as per Section 115A of