US EditionDelhi High Court Quashes Unjust Income Tax Notices Against NDTV Founders
The Delhi High Court ruled the 2016 reassessment notices invalid, imposing Rs 2 lakh costs on the Income Tax Department for improper second reopening of cases.
- On Monday, the Delhi High Court quashed the 2016 income-tax reassessment notices against NDTV founders Prannoy Roy and Radhika Roy, who had challenged them in petitions filed in November 2017.
- The case arose from interest-free loans to RRPR Holdings Private Limited, promoter company of NDTV where the Roys were directors and 50% shareholders; the tax department alleged a Rs 403.85 crore loan and related share transfers were `colourable transactions` treated as `deemed income`.
- Initially, the Income Tax Department reopened assessments in July 2011 for assessment year 2009-2010 and completed reassessment in March 2013 after detailed scrutiny; the Roys argued the 2016 notices were an impermissible `change of opinion`.
- The court ordered costs of Rs 2 lakh on the Income Tax Department, directing Rs 1 lakh each to Prannoy Roy and Radhika Roy, stating `No amount of cost can be treated as enough for these cases`.
- A related RRPR notice was quashed in September 2024 by a separate bench of the Delhi High Court, and similar proceedings remain pending under a stay on final orders.
15 Articles
15 Articles
Delhi HC quashes 2016 I-T notices to ex-NDTV's Prannoy Roy
New Delhi: The Delhi High Court on Monday, January 19, quashed the 2016 income tax notices to NDTV founders Prannoy Roy and Radhika Roy and asked the department to pay Rs 1 lakh to each of them as token cost. A bench of Justices Dinesh Mehta and Vinod Kumar observed that authorities subjecting Prannoy Roy and Radhika Roy to reassessment proceedings for the second time “practically for the same issue” was arbitrary and without jurisdiction. “The …
Delhi High Court Quashes IT Notices To NDTV Founders, Prannoy Roy & Radhika Roy
The Delhi High Court has quashed the income tax reassessment notices issued in March 2016 to NDTV founders Prannoy Roy and Radhika Roy. The court also imposed a total cost of ₹2 lakh on the Income Tax Department, directing that ₹1 lakh be paid to each petitioner. The notices related to alleged interest-free loans advanced to RRPR Holding Pvt. Ltd, a promoter group of NDTV. The detailed judgment is awaited.According to Live Law, the Division Benc…
Delhi High Court Quashes Unjust Income Tax Notices Against NDTV Founders
The Delhi High Court annulled 2016 income tax notices issued to NDTV founders Prannoy Roy and Radhika Roy. The court deemed the reassessment proceedings, initiated twice on similar grounds, as arbitrary and unlawful. Rs 1 lakh was awarded as token cost to each founder, condemning the harassment faced.
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