IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH, D: NEW DELHI BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER AND SHRI BRAJESH KUMAR SINGH, ACCOUNTANT MEMBER ITA Nos.- 3910, 3911 & 3912/Del/2024 [Assessment Years: 2011-12, 2012-13 & 2013-14]

Mitsui Kinzoku Components India Commissioner of Income Tax Pvt. Ltd., (Appeals), Plant No. – 242-243, Industrial Vs National Faceless Appeal Centre, Growth Centre, Sector-3, Bawal, Delhi.

Rewari, Haryana- 123501. PAN- AAECM3062B Assessee Revenue Assessee by Shri Ajit Jain, CA &

Shri Siddesh Chaudale, Adv. (through V.C.)

Revenue by Shri Vikram Singh Sharma, Sr.DR Date of Hearing 15.12.2025 Date of Pronouncement 31.12.2025

ORDER

PER BRAJESH KUMAR SINGH, AM, These three appeals by the assessee are against the respective orders of the National Faceless Appeal Centre (NFAC), Delhi, [hereinafter referred to as ‘’the Ld. CIT(A)] all dated 26.06.2024, pertaining to Assessment Years (A.Y.) 2011-12, 2012-

13 and 2013-14 arising out of common order dated 21.09.2021 passed by the Assessing Officer, (hereinafter referred to as ‘the AO’) rejecting the application of the assessee for issuing an order u/s 237 of the Act determining the refund of Excess Dividend Distribution Tax (DDT) amounting to Rs. 36,06,590/-, Rs. 72,93,927/- and Rs. 1,51,13,861/- for AYs. 2011-12, 2012-13 and 2013-14 respectively. Since the issues involved in these the appeals of the same assessee are common, they are disposed of by this consolidated order, for the sake of convenience and brevity.

ITA No.- 3910/Del/2024 (A.Y. 2011-12) is taken as a lead case.

2. Brief facts of the case: The assessee company is a Private Limited Company incorporated under the Companies Act, 1956 and is a tax resident of India and engaged in the business of manufacturing and selling of catalytic converters for automobile industry. The assessee company is wholly owned subsidiary of Mitsui Mining and Smelting Company Limited, Japan and is a foreign Company, which is formed and registered under the laws of Japan and hence is a tax resident of Japan which has its registered office at Osaki Shingawaku, Japan. The assessee filed its return of income for the assessment year 2011-12 on 29/11/2011 declaring a total income of Rs. 51,62,76,088/-, and claimed a refund of Rs. 2,60,33,898/-. During the financial year - FY 2010-11 (AY 2011-12), the Company paid dividend of INR 5.45,72,957 to its shareholder company, Mitsui Mining and Smelting Company Limited, Japan (MMS') and deposited Dividend Distribution Tax ('DDT') of INR 90,63,886 @ 16.61% [Being 15% tax enhanced by 7.5% surcharge and 3% cess] vide Challan No. 00158 dated 09 June 2010] The DDT liability was computed at 16.61% of the dividend paid that is Rs. 90,63,886/- as per the provisions of section

115-0 of the Act.

2.1 Thereafter the assessment proceedings under section 143(3) of the Act were completed on 27.02.2015 accepting the returned income. Subsequently, pursuant to the Supreme Court decision on 20 September 2017 in the case of Tata Tea Co. Ltd. [2017] 85 taxmann.com 346 (SC) and the Delhi Tribunal decision in the case of Giesecke & Devrient [India] Pvt Ltd ITA No. 7075/DEL/2017 passed on 13 October 2020, wherein it was held that DDT is tax on dividend income of the shareholder and thus, the beneficial tax rates of the Double taxation avoidance agreement is applicable, the assessee filed an application under section 237 of the Act with the AO on 27 November 2020 requesting to determine the refund of excess DDT paid of Rs. 36,06,590/- @ 6.61 % (16.61-10), followed by reminder letters on 12 February 2021, 23 June 2021, and 14 July 2021. Consequent to the above, the assessing officer passed an order dated 21.09.2021 under section 237 of the Act, rejecting the claim of refund on the ground that no claim was made in the income-tax return as mandated by section 239 of the Act. The relevant extract of the said order is reproduced as below:

“2. In this regard, the Assessment Year wise claims of the assessee company and the