Vedanta Holdings Mauritius II Ltd v CIT (International Taxation)-3 — an Approving Panel order under GAAR stayed by the Delhi High Court, with the Revenue filing its own writ against the same order
High CourtHelps taxpayerValidity unconfirmed
The Approving Panel has issued its order and s.144BA(14) says no appeal lies. Will a High Court actually stay a Panel order, and does the same bar stop the department from challenging a Panel order it dislikes?
It will entertain the writ, and on this occasion it stayed the Panel's order — but by consent, not on a contested application. On 17 December 2025 the Delhi High Court issued notice in two writ petitions directed against a single order of the Approving Panel dated 28 November 2025 under the General Anti Avoidance Rule, by which the reference made by the Commissioner of Income Tax (International Taxation)-3, New Delhi under s.144BA(4) dated 26 May 2025 had been upheld; and it directed that "In the meantime, by concurrence of ld. Counsels, the impugned order and the consequent assessment proceedings shall remain stayed till the next date of hearing" — the stay was therefore made on the concurrence of counsel on both sides, and the order is not authority that a contested stay would be granted. The striking feature is who filed the second petition: W.P.(C) 19105/2025 was filed by the Assistant Commissioner of Income Tax, International Tax Circle 3(1)(1), Delhi against the same Panel order. Because s.144BA(14) binds "the Principal Commissioner or Commissioner and the income-tax authorities subordinate to him" as well as the assessee, and bars any appeal under the Act, the department is in the same position as the taxpayer: if it wants to impugn a Panel direction it must also go by writ.