IDP EDUCATION INDIA PRIVATE LTD,DELHI V. ACIT, CIRCLE 10(1), DELHI

SA 110/DEL/2026

AI Insights

The case involves IDP Education India P. Ltd., which filed an application seeking a stay on the recovery of an outstanding demand imposed by the Income Tax Department for the Assessment Year 2022-23. The demand arose from the Assessing Officer's adjustment regarding Foreign Exchange Gain, which was not treated as operating revenue. The assessee argued that such gains are indeed operating in nature, referencing the Safe Harbour Rules, which they had not opted for. The department opposed the stay, suggesting a deposit of 20% of the outstanding demand as a condition for granting the stay. The Tribunal, after considering the arguments and precedents, decided in favor of the assessee, granting the stay and scheduling a hearing for the appeal.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 839803 (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
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIKRAM SINGH SHARMA
• Keywords: 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. 110/Del/2026 (Arising out of ITTPA No. 81/Del/2026, A.Y 2022-23) IDP Education India P. Ltd., Suite No.610-616, 6th Floor, International Trade Tower, Nehru Place, Kalkaji, New Delhi 110019 PAN: AABCI-6253-M ...... आवेदक/Applicant बनाम Vs. Assessment Unit, Income Tax Department, Circle 10(1), CR Building, IP Estate New Delhi 110002 ..... प्रधििािी/Respondent आवेदक/Applicant by : S/Shri Kamal Sawhney, Arun Bhadauria Nishant Vashishta, Nikhil Agarwal & Puru Medhira 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.17,20,60,690/- for AY 2022-23. 2. The ld. Counsel for the assessee submits that the only adjustment that has been made by the Assessing Officer (AO) is in respect of Foreign Exchange Gain resulting from foreign currency fluctuations by not treating it as operating revenue. The ld. Counsel submits that now it is well settled that Foreign Exchange Gain on currency fluctuations is operating in nature. He further pointed that the TPO has invoked Safe Harbour Rules whereas, the assessee has not opted for Safe Harbour Rules. He thus, prayed for stay of recovery of outstanding demand. Printed from counselvise.com 2 SA No.110/DEL/2026 3. Per contra, Shri Vikram Singh Sharma representing the department opposed the Stay Application and prayed for deposit of 20% of outstanding demand as a condition for granting stay. 4. Both sides heard. Prima facie, we are of considered view that the issue raised by the assessee has been considered by the Tribunal and also by the Hon’ble High Courts in favour of assessee. Hence, the assessee deserves the benefit of stay of outstanding demand for AY 2022-23. The recovery of outstanding demand for AY 2022-23 is stayed for a 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 13.04.2026. 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. 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/- Printed from counselvise.com 3 SA No.110/DEL/2026 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 "