Case Details: Shangri-La International Hotel Management Pte. Ltd. vs. Commissioner of Income-tax (International Tax) - [2025] 180 taxmann.com 835 (Delhi)
Judiciary and Counsel Details
- V. Kameswar Rao & Vinod Kumar, JJ.
-
Manuj Sabharwal, Devvrat Tiwari & Drona Negi, Advs. for the Petitioner.
-
Siddhartha Sinha, SSC for the Respondent.
Facts of the Case
The petitioner sought revision of the intimation dated 28-04-2022 issued under section 143(1) for AY 2021-22 by filing an application under section 264, along with a request for a consequential refund and interest under section 244A.
The Revenue agreed that the revision petition was maintainable in light of the Delhi High Court’s rulings in Vijay Gupta v. CIT and EPCOS Electronic Components S.A. v. Union of India. However, it declined to grant relief solely because the jurisdictional High Court’s decision in CIT v. Sheraton International Inc. was still pending before the Supreme Court.
High Court Held
The Delhi High Court held that the Commissioner was not justified in refusing relief. A binding precedent of the jurisdictional High Court cannot be ignored merely because a special leave petition is pending before the Supreme Court. Since the issue had already been conclusively decided in favour of the assessee in Sheraton International and reaffirmed in subsequent judgments, including the assessee’s own earlier cases, the Court set aside the Commissioner’s order.
Accordingly, the assessee’s revision application under section 264 was allowed, and the Commissioner was directed to grant the consequential relief in accordance with law.
List of Cases Reviewed
- CIT v. Sheraton International Inc. [2009] 178 Taxmann 84 (Del)
- CIT v. Sheraton International Inc. [decided by this court on ITA 271 of 2023, dated 11-5-2023]
- CIT v. Starwood Hotels & Resorts Worldwide Inc. 2022:DHC:004730
- Commissioner of Income Tax – International Taxation v. Shangri-LA International Hotel Management Pte Ltd. [ITAs 532 & 535 of 2023. dated 18-09-2023] (para 6) followed
List of Cases Referred to
- EPCOS Electronic Components S.A v. Union of India [2019] 107 taxmann.com 227/[2019] 266 Taxman 23 (Delhi) (para 4)
- Vijay Gupta v. CIT [2016] 68 taxmann.com 131/[2016] 238 Taxman 505/[2016] 386 ITR 643 (Delhi) (para 4)
- DIT v. Sheraton International Inc. [2009] 313 ITR 267/178 Taxman 84 (Delhi) (para 4)
- CIT v. Starwood Hotels & Resorts Worldwide Inc. 2022:DHC:004730 (para 6)
- CIT– International Taxation-3 v. Shangri-LA International Hotel Management Pte Ltd. [IT Appeal No. 532 of 2023, dated 18-9-2023] (para 6)
- CIT v. Sheraton International Inc. [ITAppeal No. 271 of 2023, dated 11-5-2023] (para 6).
The post Commissioner Cannot Deny Section 264 Relief by Citing SC Pendency | HC appeared first on Taxmann Blog.
