Dr. Radakrishnan Road,Chennai v. The Asst. Commissioner Of Income Tax, Company Circle (Vi)(1)

CORAM THE HON'BLE MR. JUSTICE P.D. AUDIKESAVALUW.P. No. 1441 of 2013 M/s. Savera Industries Limited, (Formerly known as Savera Hotels Ltd.,) 146, Dr. Radakrishnan Road,Chennai - 600004Represented by its Managing Director -vs- ...Petitioner 1. The Asst. Commissioner of Income Tax, Company Circle (VI)(1), 121, Mahatma Gandhi Road, Chennai - 600 034. 2. Deputy Commissioner of Income Tax, Company Circle VI(1), 121, Mahatma Gandhi Road, Chennai - 600 034. 3. Commissioner of Income Tax, 121, Mahatma Gandhi Road, Chennai - 600 034. ...Respondents Prayer:- Writ Petition filed under Article 226 of theConstitution of India praying to issue a Writ of Certiorari,calling for the records and quash the impugned notice issuedunder Section 148 of the Income-tax Act bearing No.:PAN/GIR No. dated 21.03.2012 issued by the FirstRespondent seeking to reopen the assessment for the Assessmentyear 2006-07. For PetitionerFor Respondents : Mr. V.S.Jayakumar: Mr. A.P.Srinivas Standing Counsel. (through video conference) Heard Mr. V.S.Jayakumar, Learned Counsel for the Petitionerand Mr. A.P.Srinivas, Learned Standing Counsel appearing for theRespondents and perused the materials placed on record, apartfrom the pleadings of the parties. 2.Learned Counsel for the Petitioner has filed a memo dated22.12.2020 through email which reads as follows:- “1.The Petitioner had filed the present WritPetition challenging the jurisdiction of theRespondents to initiate proceedings under Sections 147and 148 of the Income-tax Act, 1961 for the AssessmentYear 2006-07. The said Writ Petition was earlierdismissed by this Hon'ble Court by order dated04/07/2014 in a batch of Writ Petitions wherein inHigh Court erroneously concluded that Writ Petitionsagainst proceedings initiated under Section 147 is notmaintainable. 2.The Petitioner filed SLP against the order ofthis Hon'ble Court in SLP. No. 29177 of 2014 (on28/10/2014). The same was admitted by the SupremeCourt on 01/04/2016. By the time the SLP was taken upfor hearing and interim orders were issued, theRespondent proceeded with the assessment andassessment order was passed for the AY 2006-07 on24/10/2014. Later, the Supreme Court allowed theappeal of the Petitioner by order dated 08/12/2016 andrestored the Writ Petition to the High Court. 3.The Assessing Officer, for the assessment year2006-07, made disallowances on the ground that theexpenditure incurred by the assessee for relaying ofmarble floor in the place of mosaic flooring wastreated as capital expenditure, similarly, the woodwork done by the assessee, purchase of grinder andkitchen equipment, and television. Which is the basisof reopening the assessment by issuance of noticeunder Section 147.4.The said issue was taken up on appeal by thePetitioner to CIT(A) and the same was allowed infavour of Petitioner for AY 2006-07 and theDepartment's appeal against the order of CIT(A) toITAT was also dismissed by order dated 23.11.2016. 5.The Respondent took the issue in appeal beforethe High Court in TCA No.594 of 2018. The same wasdismissed on merits and the High Court vide orderdated 17/12/2018 and concluded that the renovationexpenditure is revenue in nature and to be allowed under Section 37 of the Act. The order of the HighCourt has been accepted by the Respondents and no SLPhas been filed before the Supreme Court.6.In view of the above events, the issue in thepresent Writ Petition on merits has been allowed bythe order of this Hon'ble Court in TCA No. 594 of 2018dt. 17/12/2018 and the present Writ Petition be closedin view of the said order.”The aforesaid submissions made are placed on record. 3.In view of the subsequent events, nothing remains forfurther consideration in this Writ Petition. under Section 37 of the Act. The order of the HighCourt has been accepted by the Respondents and no SLPhas been filed before the Supreme Court.6.In view of the above events, the issue in thepresent Writ Petition on merits has been allowed bythe order of this Hon'ble Court in TCA No. 594 of 2018dt. 17/12/2018 and the present Writ Petition be closedin view of the said order.”The aforesaid submissions made are placed on record. 3.In view of the subsequent events, nothing remains forfurther consideration in this Writ Petition. Accordingly, the Writ Petition is disposed. No costs. Sd/- Assistant Registrar //True Copy// Sub Assistant Registrar dmTo 1. The Asst. Commissioner of Income Tax, Company Circle (VI)(1), 121, Mahatma Gandhi Road, Chennai - 600 034.2. Deputy Commissioner of Income Tax, Company Circle VI(1), 121, Mahatma Gandhi Road, Chennai - 600 034.3. Commissioner of Income Tax, 121, Mahatma Gandhi Road, Chennai - 600 034. +1cc to Mr. A.P.Srinivas, Advocate, SR42823+1cc to Mr. Sandeep Bagmar, Advocate, SR42794 W.P. No. 1441 of 2013 CO(MJB)BDL/06/01/2021