JUDGMENT :

S. RAVINDRA BHAT, J.

1. Special leave to appeal granted. With consent of counsels, this appeal was heard finally. This appeal arises from an order¹ [Dated 21.08.2019 in Income Tax Appeal No. 73/2019] of the Delhi High Court rejecting the appeal, by the present appellant (hereafter “the revenue”) and affirming the order of the Income Tax Appellate Tribunal (ITAT) which quashed the assessment order against the assessee (i.e. the respondent in this case).

2. The respondent-assessee company, Mahagun Realtors Private Limited (hereafter variously referred to as “MRPL” and “the amalgamating company” or the “transferor company”) was engaged in development of real estate and had executed one residential project under the name “Mahagun Maestro” located in Noida, Uttar Pradesh. MRPL amalgamated with Mahagun India Private Limited (herein after ‘MIPL’) by virtue of an order² [In Company Petition No. 133/2007 c/w Company Application (M) No. 41/2007] of the High Court (dated 10.09.2007). In terms of the order and provisions of the Companies Act, 1956, the amalgamation was with effect