Coperion GmbH V. Commissioner of Income Tax (International Taxation) -1 New Delhi & ANR.

W.P.(C)/17400/2024

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Coperion GmbH filed a petition against the Commissioner of Income Tax (International Taxation) -1, New Delhi, challenging an order that granted them a lower withholding tax rate of 13% on revenues amounting to \\u20b9 2,57,45,280, instead of the \\u20b9 23,00,00,000 they had requested. The petitioner argued that their submissions and relevant materials were not adequately considered by the Assessing Officer. The Revenue acknowledged that some submissions might not have been considered, leading to the decision to remand the case for a fresh determination.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 808006 (HC-DELHI)
• Appeal Type: Others
• Pronouncement Date: 17-12-2024
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: HIGH COURT
• Department Lawyers: PUNEET RAI; ASHVINI KUMAR; RISHABH; NIKHIL JAIN; SRISHTI SHARMA
• Assessee Lawyers: PIYUSH KAUSHIK; TANVEER ZAQI
• Keywords: Assessing Officer; Remand; Withholding Tax; Work Orders; Lower rate
• Section: 197

Judgement Text

"$~78 * IN THE HIGH COURT OF DELHI AT NEW DELHI + W.P.(C) 17400/2024, CM APPL. 74064/2024 & CM APPL. 74065/2024 COPERION GMBH .....Petitioner Through: Mr. Piyush Kaushik and Mr. Tanveer Zaqi, Advocates. versus COMMISSIONER OF INCOME TAX (INTERNATIONAL TAXATION) -1 NEW DELHI & ANR. .....Respondents Through: Mr. Puneet Rai, Sr. Standing Counsel alongwith Mr. Ashvini Kumar, Mr. Rishabh, JSCs, Mr. Nikhil Jain and Ms. Srishti Sharma, Advocates. CORAM: HON'BLE THE ACTING CHIEF JUSTICE HON'BLE MR. JUSTICE TUSHAR RAO GEDELA O R D E R % 17.12.2024 W.P.(C) 17400/2024 & CM APPL. 74064/2024 1. Issue notice. 2. Learned counsel appearing for the respondents accepts notice. 3. The petitioner has filed the present petition impugning an order dated 21.11.2024 passed under Section 197 of the Income Tax Act, 1961 (hereafter the Act) whereby the petitioner has been granted benefits of a lower withholding tax (@ 13% excluding surcharge and educational cess) in respect of revenues of ₹.2,57,45,280/-. 4. It is the petitioner’s case that it had requested for lower rate of withholding tax in respect of projected revenues of ₹ 23,00,00,000/- (Twenty-three Crores) which it claimed to have received from Technimont SPA India Project Office (hereafter Technimont). The petitioner had also submitted two work orders issued by Technimont as well as the estimated This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 23/12/2024 at 12:14:43 quantum of work that would be executed pursuant to the said two work orders. 5. The petitioner is not aggrieved by the rate of withholding tax, which has been determined (@ 13% excluding surcharge and educational cess); its grievance stems from confining the said withholding tax to an amount of ₹.2,57,45,280/-. According to the petitioner, the said amount is possibly covered under a single work order. 6. Petitioner contends that it had furnished its submissions alongwith relevant material, which has not been considered by the Assessing Officer (AO). 7. Mr. Rai, learned counsel appearing for the Revenue fairly states that the matter may be remanded to the AO for determining afresh in the light of the submissions made by the petitioner in its writ petition as well as the submissions filed before the AO, as is apparent that some of the submissions have not been considered. 8. In view of the above, we set aside the impugned order and remand the matter to the AO for consideration afresh, in the light of the averments made in the present petition as well as the submissions filed by the petitioner. 9. We request the AO to pass a final order within a period of four weeks from date. 10. The petition is disposed of in the aforesaid terms. 11. Pending applications also stand disposed of. VIBHU BAKHRU, ACJ TUSHAR RAO GEDELA, J DECEMBER 17, 2024/kct Click here to check corrigendum, if any This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 23/12/2024 at 12:14:43 "