The Noida Toll Bridge Firm Restricted (NTBCL) constructed and right this moment manages the Delhi-Noida-Delhi (DND) flyway
The Earnings Tax Appellate Tribunal (ITAT) has overturned the tax demand of roughly ₹21,000 crore on listed firm Noida Toll Bridge Firm Restricted (NTBCL), an IL&FS Group entity, that had constructed and right this moment manages the Delhi-Noida-Delhi (DND) flyway.
The demand pertains to tax legal responsibility and penalty for 9 years (from FY 2006 to FY 2015) aggregating ₹21,000 crore together with ₹10,893 crore in demand and ₹10,893 crore from penalty, for alleged concealment of earnings and never submitting correct earnings particulars.
The Earnings Tax division had issued an evaluation order on December 31, 2008 and thereafter initiated reassessment proceedings to disallow amortisation of curiosity on zero coupon bonds issued by NTBCL, taxation of designated returns as taxable earnings and treating land supplied on lease by NOIDA/DDA as subsidy, disallowance of depreciation on DND Toll Bridge, moreover different points.
The Firm had contested the claims difficult the jurisdiction of the officers in issuing reassessment and enhancement notices and challenged numerous additions and disallowances on their deserves.
The Tribunal, in its August 8, 2023 order struck down the reopening of evaluation, enhancement of evaluation and likewise allowed aid on additions made by the tax division for six out of 9 evaluation years (from FY 2006 to FY 2012) —thereby rejecting round ₹16000 crore tax demand and allowed the attraction of Firm towards penalty orders which had been additionally later disposed of by the tribunal in its order on Might 17, 2024 in favour of NTBCL.
Subsequently, in its order of August 20, 2024, the Tribunal allowed the attraction of the Firm for the steadiness 3 years, thereby addressing your entire tax demand of the IT Division for 9-year interval in favor of the corporate. The problem of penalty for these three years was additionally disposed in favour of NTBCL in September 4, 2024.
“Contemplating the truth that the Co-ordinate Bench of the Tribunal within the quantum Enchantment, deleted the additions made towards the assesses, the order of the penalty proceedings being consequential to the stated additions, is not going to maintain. Accordingly, the impugned orders of the penalty are hereby quashed”, stated ITAT in its newest order dismissing the penalty proceedings as effectively.
“With this order, the whole demand and penalty of about ₹21,000 crore has been absolutely addressed in favour of the corporate,” stated NTBCL spokesperson in a press release.
Printed – September 19, 2024 09:59 am IST
