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Delhi High Court orders rehearing of Patanjali tax appeals

By Drooid · Sep 16, 2026, 4:03 AM UTC · How we work

Summary

Delhi High Court Quashes

Delhi High Court quashed seven Income Tax Appellate Tribunal orders against Patanjali Ayurved.
Justices Dinesh Mehta and Rajneesh Kumar Gupta cited reckless haste and lack of reasoning.
The seven appeals must be reheard by a different Income Tax Appellate Tribunal bench.
The appeals stemmed from Section 153C proceedings after a 2018 Hawala Traders Group search.
The court noted hearing-pronouncement date discrepancies on August 6 and August 13, 2025.

Summary

RBI Mediates PayU

Delhi High Court ordered Reserve Bank of India (RBI) to mediate the PayU-Yes Bank-Visa MCC dispute within 30 days.
RBI will appoint a senior officer to facilitate a solution but not act as adjudicator under Section 24.
The court barred Visa and acquiring banks from making IRF deductions from PayU pending mediation.
The court directed the tax department to refund INR783 crore to Teva Israel with interest, subject to a corporate guarantee.

History

Historical Context

Following the 1991 balance-of-payments crisis, India liberalised its economy, giving the Reserve Bank of India broad supervisory powers and witnessing a 317 % rise in foreign investment by the 2000s. In 2024 the Delhi High Court ordered the RBI to mediate the PayU-Yes Bank-Visa MCC dispute and to enforce a INR783 crore tax refund, highlighting the court’s reliance on the central bank’s authority.

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Delhi High Court Quashes

Delhi High Court quashed seven Income Tax Appellate Tribunal orders against Patanjali Ayurved.
Justices Dinesh Mehta and Rajneesh Kumar Gupta cited reckless haste and lack of reasoning.
The seven appeals must be reheard by a different Income Tax Appellate Tribunal bench.
The appeals stemmed from Section 153C proceedings after a 2018 Hawala Traders Group search.
The court noted hearing-pronouncement date discrepancies on August 6 and August 13, 2025.

1 / 3