Delhi High Court Quashed Tax Demand Against Sumitomo: Tax Authority Based In Delhi Lacks Jurisdiction On Withholding Tax Liability On Share Purchase Transaction

The Delhi High Court in the case Sumitomo Mitsui Financial Group Inc. Versus CIT observed and has deleted the tax demand made against the Sumitomo Mitsui Financial Group on the grounds of lack of jurisdiction.

- 

The bench comprising of Justice Rajiv Shakdher and Justice Girish Kathpalia in the case observed and has stated that the jurisdiction on the withholding tax liability on the transaction of share purchase by the Assessee was already being exercised by the tax authority based in Mumbai, thus the tax authority based in Delhi had no jurisdiction to pass in the said order.