The Supreme Court has granted a stay in favour of Dalmia Bharat Limited and its subsidiaries, namely Dalmia Cement (Bharat) Limited and Dalmia Power Limited against the impugned judgment of the Madurai Division Bench of the Madras High Court in Special Leave Petitions (SLPs) filed before the Supreme Court against the judgment of the Division Bench of the Madras High Court dated April 23, 2025, said the company in their regulatory filing on Friday.
The issue pertains to the initiation of income tax reassessment proceedings for the Assessment Year 2011-12 of the Company and its two subsidiaries, namely Dalmia Cement (Bharat) Limited and Dalmia Power Limited.
The said reassessment proceedings were challenged before the Madras High Court, Madurai Bench by way of Writ Petitions by the Company and its subsidiaries.
The above reassessment proceedings were quashed by the Single Bench of the Hon’ble Madras High Court vide a reasoned judgment dated October 30, 2019 since the basis of invoking the extended period for the reassessment proceedings were not made out.
The Income Tax Department preferred writ appeals before the Division Bench of the High Court. The Division Bench, in its judgment dated April 23, 2025, has allowed the appeal of the Revenue.
The same was challenged before the Supreme Court through a Special Leave Petition.
Source #ET
