EXPEDITORS INTERNATIONAL (INDIA) PRIVATE LIMITED,NEW DELHI V. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 7(1), CR BUILDING, IP ESTATE, NEW DELHI, 110002, INDIA, NEW DELHI

SA 106/DEL/2026

AI Insights

The case involves Expeditors International (India) P. Ltd., the applicant, who sought a stay on the recovery of an outstanding demand of Rs.26.96 crores for the assessment year 2022-23. The demand arose from adjustments made by the Transfer Pricing Officer (TPO) concerning royalty payments and global accounts manager expenses. The applicant argued that the refunds from previous years, which exceed 20% of the outstanding amount, justify the stay. The Department proposed a stay conditional on the payment of 20% of the demand. The Tribunal's decision favored the applicant, allowing the stay under the specified conditions.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 841337 (ITAT-DELHI)
• Duration Of Justice: 8 day(s)
• Appeal Type: Stay Application
• Pronouncement Date: 27-02-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: H
• Assessment Year: 2022-2023
• Appeal Filed On: 19-02-2026
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIKRAM SINGH SHARMA
• Keywords: Transfer pricing; Reasonable cause; Application of stay
• Section: 2

Judgement Text

" आयकर अपीलीय अधिकरण धिल्ली पीठ “एच”, धिल्ली श्री धिकास अिस्थी, न्याधयक सिस्य एिं श्री एम. बालागणेश, लेखाकार सिस्य क े समक्ष IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “H”, DELHI BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER & SHRI M. BALAGANESH, ACCOUNTANT MEMBER SA No. 106/Del/2026 (Arising out of IT(TP)A No. 77/Del/2026, A.Y 2022-23) Expeditors International (India) P. Ltd. R. No. 7B, First Floor Import Building No. 3, International Cargo Terminal, IGI Airport, New Delhi 110037 PAN: AAACE-1795-K ...... आवेदक/Applicant बनाम Vs. Deputy Commissioner of Income Tax, Circle 7(1), CR Building, IP Estate, New Delhi 110002 ..... प्रधििािी/Respondent आवेदक/Applicant by : S/Shri Deepak Chopra, Rohan Khare & Priyam Bhatnagar, Advocates प्रधििािीद्वारा/Respondent by : Shri Vikram Singh Sharma, SR. DR सुनिाई की धिधि/ Date of hearing : 27/02/2026 घोषणा की धिधि/ Date of pronouncement : 27/02/2026 आिेश/ORDER PER VIKAS AWASTHY, JM: This application has been filed by the assessee seeking stay on recovery of outstanding demand of Rs.26.96 crores for AY 2022-23. 2. The ld. Counsel for the assessee submits that the assessee is engaged in providing logistic services in India and is also providing captive software development services. The Transfer Pricing Officer (TPO) made adjustments on two counts:- (i) Royalty paid Rs.67,31,66,177/-; & Printed from counselvise.com 2 SA No.106/DEL/2026 (ii) Global accounts manager expenses paid Rs.9,54,79,472/- The assessee in appeal has assailed above adjustments made by the Assessing Officer. Further, the ld. Counsel furnished a chart giving details of refund of the previous assessment years due from the Department, since AY 2001-02 onwards. He submits that the refunds from the Department are much more than 20% of the outstanding amount for the impugned assessment year. 3. Per contra, Shri Vikram Singh Sharma representing the department submits that stay may be granted subject to payment of 20% of the outstanding demand. 4. Both sides heard. Considering entire facts of the case, we are of considered view that the benefit of stay can be allowed to the assessee subject to payment of 20% of the outstanding demand for AY 2022-23. As per the table furnished by the assessee, total outstanding refunds due to the assessee starting from AY 2001-02 to AY 2014-15 aggregates to Rs.8,56,62,899/-. The aforesaid amount of refunds due to the assessee is not disputed by the ld. DR. The Department is at liberty to take recourse of adjusting 20% of the outstanding demand for the impugned assessment year from refunds of preceding assessment years due to the assessee. The recovery of remaining outstanding demand for AY 2022-23 is stayed for period of 180 days from the date of this order or till the disposal of appeal, whichever is earlier. 5. The Registry is directed to list the appeal for hearing on 20.04.2026. Since, the date of hearing of appeal has been announced in the open court in presence of both sides, issuance of separate notice of hearing to the parties is dispensed with. 6. The assessee shall furnish paper book, if any on or before the date of hearing of appeal, with an advance copy to the opposite sides in accordance with ITAT Rules. Printed from counselvise.com 3 SA No.106/DEL/2026 7. The assessee shall not seek adjournment on the date fixed for hearing, without their being any reasonable cause. 8. In the result, Stay Application of the assessee is allowed in the terms aforesaid. Order pronounced in the open court on Friday the 27th day of February, 2026. Sd/- Sd/- (M. BALAGANESH) (VIKAS AWASTHY) लेखाकार सदस्य/ACCOUNTANT MEMBER न्यायिक सदस्य/JUDICIAL MEMBER धिल्ली / Delhi, धिनांक/Dated 27/02/2026 NV/- प्रतिलिपि अग्रेपििCopy of the Order forwarded to : 1. अपीलािी/The Appellant , 2. प्रधििािी/ The Respondent. 3. The PCIT/CIT(A) 4. धिभागीय प्रधिधनधि, आय.अपी.अधि., यदल्ली /DR, ITAT, धिल्ली 5. गार्ड फाइल/Guard file. BY ORDER, //True Copy// (Dy./Asstt. Registrar) ITAT, DELHI Printed from counselvise.com "