Madras High Court
Durai Sathyamurthy vs The Dy. Commissioner Of Income Tax on 4 February, 2021
Tax Case No.807 of 2017
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 04.02.2021
CORAM
THE HON'BLE MR.JUSTICE M. DURAISWAMY
AND
THE HON'BLE MRS.JUSTICE T.V. THAMILSELVI
Tax Case Appeal No.807 of 2017
Durai Sathyamurthy ... Appellant
v.
The Dy. Commissioner of Income Tax,
Corporate Circle - 6(2),
122, Nungambakkam High Road,
Chennai - 600 034. ... Respondent
Tax Case Appeal filed under Section 260A of the Income Tax Act,
1961 against the order of the Income Tax Appellate Tribunal, "B" Bench,
Chennai, dated 09.03.2017 passed in I.T.A.No.3028/Mds/2016 for the
assessment year 2012-13.
For Appellant : V.S. Jayakumar
For Respondent : J. Narayanaswamy
Senior Standing Counsel
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Tax Case No.807 of 2017
JUDGMENT
(Judgment was Delivered by M. DURAISWAMY, J)
This appeal filed by the assessee under Section 260A of the Income
Tax Act, 1961 ('the Act' for brevity), is directed against the order dated
09.03.2017 passed by the Income Tax Appellate Tribunal, "B" Bench,
Chennai ('the Tribunal' for brevity) in I.T.A.No.3028/Mds/2016 for the
assessment year 2012-13.
2. The e assessee has raised the following Substantial Questions of
Law for consideration:
" (i) Whether on the facts and in the circumstances of
the case the Tribunal is right in its interpretation of Section
45 read with Section 48 to hold that the sum of Rs.25 lakhs
representing the expenditure for the purpose of
improvement of the land is not allowable even though the
same is covered by terms of the MOU entered into between
the parties? and
(ii) Whether the Tribunal is right in its conclusion
which are based on perverse findings of facts which
amounts to mere suspicion, surmise and conjecture ?"
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Tax Case No.807 of 2017
3. We have heard V.S. Jayakumar, learned counsel for the appellant
and J. Narayanaswamy, learned Senior Standing Counsel for the
respondent.
4. It may not be necessary for this Court to decide the Substantial
Questions of Law framed for consideration on account of certain
subsequent developments. The Government of India enacted the Direct Tax
Vivad Se Vishwas Act, 2020 (Act 3 of 2020) to provide for resolution of
disputed tax and for matters connected therewith or incidental thereto. The
Act of the Parliament received the assent of the President on 17th March
2020 and published in the Gazette of India on 17th March 2020.
5. We are informed by the learned counsel for the appellant/assessee
that the assessee has already filed the requisite Form - 1 on 23.01.2021
under Section 4 of the Act.
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Tax Case No.807 of 2017
6. . In the light of the fact that the assessee has already availed the
benefit under the Act, no useful purpose would be served in keeping this
appeal pending. At the same time, safeguarding the interest of the assessee
in the event the order to be passed by the Department under the Act is not
in favour of the assessee. Accordingly, the Tax Case Appeal stands
disposed of on the ground that the assessee has already filed requisite
Form - 1 and the Department shall process the application at the earliest in
accordance with the said Act and communicate the decision to the assessee
at the earliest. As observed, the assessee is given liberty to restore this
appeal in the event the ultimate decision to be taken on the declaration
filed by the assessee under Section 4 of the said Act is not in favour of the
assessee. If such a prayer is made, the Registry shall entertain the prayer
without insisting upon any application to be filed for condonation of delay
in restoration of the appeal and on such request made by the assessee by
filing a Miscellaneous Petition for Restoration, the Registry shall place
such petition before the Division Bench for orders.
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Tax Case No.807 of 2017
7. With these observations, the Tax Case Appeal stands disposed of
with the aforementioned liberty and Consequently, the Substantial
Questions of Law are left open. No costs.
(M.D.,J.) (T.V.T.S.,J.)
04.02.2021
Index : Yes/No
Internet : Yes
Rj
To
1. The Income Tax Appellate Tribunal,
Chennai "B" Bench .
2. The Dy. Commissioner of Income Tax,
Corporate Circle - 6(2),
122, Nungambakkam High Road,
Chennai - 600 034.
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Tax Case No.807 of 2017
M. DURAISWAMY, J.
and
T.V. THAMILSELVI, J.
Rj
Tax Case Appeal No.807 of 2017
04.02.2021
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