Madras High Court
M/S.The Government ... vs The Assistant Commissioner Of ... on 9 March, 2021
TCA.No.171 of 2021
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 09.3.2021
CORAM
THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAM
and
THE HONOURABLE MS.JUSTICE R.N.MANJULA
Tax Case Appeal No.171 of 2021
M/s.The Government Telecommunications
Employees Cooperative Society
Ltd., Chennai-1. ...Appellant
Vs
The Assistant Commissioner of Income
Tax, Non Corporate Circle 12(1),
Chennai ...Respondent
APPEAL under Section 260A of the Income Tax Act, 1961 against
the order dated 23.10.2019 passed by the Income Tax Appellate
Tribunal, Madras 'D' Bench, Chennai made in I.T.A.No.2703/Chny/2018
for the assessment year 2015-16.
For Appellant: Mr.A.S.Sriraman
For Respondent: Mr.M.Swaminathan, SSC assisted by
Mrs.V.Pushpa, JSC
https://www.mhc.tn.gov.in/judis/
TCA.No.171 of 2021
Judgment was delivered by T.S.SIVAGNANAM,J
This appeal has been filed by the Revenue under Section 260A of
the Income Tax Act, 1961 ('the Act' for brevity) challenging the order
dated 23.10.2019 made in I.T.A.No.2703/Chny/2018 on the file of the
Income Tax Appellate Tribunal, Chennai, 'D' Bench ('the Tribunal' for
brevity) for the assessment year 2015-16.
2. The Revenue has filed this appeal by raising the following
substantial questions of law :
“(i) Whether the Appellate Tribunal is
correct in denying the claim for deduction u/s
80P(2)(a)(i) of the Act by following their non-
existent order dated 11.1.2018 in view of their
subsequent order dated 08.06.2018 read with
the order dated 19.9.2018 and set aside by
this Court's decision dated 06.6.2019 in TCA.
No.306/2019?
(ii) Whether the provisions of Section
80P(2)(a)(i) of the Act permit the claim for
deduction relatable to the interest income
earned from the advances to the staff/
employees as well as from the interest earned
from savings bank account? and
(iii) Whether the reading of the bye-laws
of the Appellant society as well as the
provisions in MSCS Act, 2002 for interpreting
https://www.mhc.tn.gov.in/judis/
TCA.No.171 of 2021
section 80P(2)(a)(i) of the Act while
considering the correctness of claim of
deduction in the computation of taxable total
income was in accordance with the well settled
principles of purposive theory and harmonious
interpretation in the orders under challenge?”
3. We have heard Mr.A.S.Sriraman, learned counsel for the
appellant – assessee and Mr.M.Swaminathan, learned learned Senior
Standing Counsel assisted by Mrs.V.Pushpa, learned Junior Standing
Counsel accepting notice for the respondent/Revenue.
4. In the light of the judgment rendered by a Division Bench of
this Court, to which, one of us (TSSJ) was a party, in the assessee's
own case in TCA.No.306 of 2019 dated 06.6.2019, the above tax
case appeal is allowed, the impugned order passed by the Tribunal is
set aside and the matter is remanded to the Tribunal to be heard and
decided afresh. The substantial questions of law raised are left open.
No costs.
09.3.2021
RS
https://www.mhc.tn.gov.in/judis/
TCA.No.171 of 2021
T.S.SIVAGNANAM,J
AND
R.N.MANJULA,J
RS
To
1.The Income Tax Appellate Tribunal, 'D' Bench, Chennai.
2.The Assistant Commissioner of Income Tax, Non Corporate Circle
12(1), Chennai
TCA.No.171 of 2021
09.3.2021
https://www.mhc.tn.gov.in/judis/
