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New Star System Solution Private Limited Vs. Dy. Commissioner of Income Tax

Case No: ITA No.3585/Del/2025
Court: Income Tax Appellate Tribunal, Delhi Bench ‘E’
Date: 1/21/2026

Parties Involved

AppellantNew Star System Solution Private Limited
RespondentDy. Commissioner of Income Tax Circle-18(2), New Delhi

Facts Summary

The appellant, New Star System Solution Private Limited, is a company dealing with software development, trading, and buying/selling of stocks, bonds, derivatives, etc. The company filed an e-return for the relevant year declaring Nil income and a current year loss of Rs. 22,957/-. The case was selected for scrutiny, and the company was asked to furnish details regarding its business activities, interest expenditure, and investments in shares. The company claimed that it was engaged in the busin

Decision in favour of

Assessee

Legal Issues

  • 1. Whether the disallowance of interest expenses under section 36(1)(iii) of the Income Tax Act, 1961, was justified.
  • 2. Whether the assessment proceedings were null and void due to improper jurisdiction.

Precedents Relied Upon

6 precedents cited in this judgement.

Judgment Outcome

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Version 2.0.1Last updated: October 2025
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