'Bereft of Logic': Delhi HC Slams ITAT Over its Handling of Tax Appeals Against Patanjali Ayurved

New Delhi: The Delhi high court has said that the Income Tax Appellate Tribunal’s (ITAT’s) order disposing of seven tax appeals against Patanjali Ayurved Limited is “bereft of any logic”, reported Livelaw.

“On perusal of the impugned order, we are unable to comprehend anything out of it, as it is bereft of any logic, reasoning or rationale behind it,” said a high court division bench of comprising Justices Dinesh Mehta and Rajneesh Kumar Gupta.

The bench expressed concern about the fact that while four appeals were shown as having been heard and pronounced on August 6, 2025, another three appeals were heard and pronounced on August 13, 2025. But a common order was passed deciding all the seven appeals.

“Apart from the procedural lacuna, we fail to understand that how a common order can be passed and released in relation to four appeals, which were heard and qua which the order was pronounced on 06.08.2025, whereas other three appeals were heard and order was pronounced on 13.08.2025,” said the court, reported LiveLaw.

The bench made the observations while dealing with a batch of appeals filed by the Principal Commissioner of Income Tax against Patanjali Ayurved Limited.

The court further observed that the members of the ITAT have shown “undue haste rather recklessness” while passing and signing the impugned order.

Thereafter, while clarifying that it was not examining the merits of the tax dispute, the high court set aside the impugned orders by saying that “it has no other option.”

The court restored the appeals to their original numbers for fresh consideration by the ITAT. It also directed that the matters be heard by a bench other than the one which had passed the impugned order.

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