In The Commissioner Of Income Tax v. Agriculture Market

THE HON’BLE SRI JUSTICE GODA RAGHURAMANDTHE HON’BLE SRI JUSTICE M.S.RAMACHANDRA RAO I.T.T.A.No. 405 of 2011. ORDER: (Per Goda Raghuram, J) This appeal by the Revenue under Section 260A of the IncomeTax Act, 1961 (for short ‘the Act’) is directed against the order dt.28.11.2008 of the Income Tax Appellate Tribunal, Visakhapatnam inITA.No. 352/Vizag/2007. By a common order in 24 appeals, the Tribunal held that sub-clause 26AAB to Section 10 of the Act is intended to declare the intentionof the legislation of not taxing the income of Agriculture MarketCommittees constituted under any law for the time being in force for thepurposes of regulating marketing of agricultural produce and hence theamended proviso must be treated as retrospective in operation andapplicable to prior years as well. In the Commissioner of Income Tax vs. Agriculture Market Committee[[1]], a learned Division Bench of this Court has held that theamendment introduced to clause 26AAB of Section 10 by Finance Act,2000 comes into effect prospectively i.e. from 1.4.2009. In the light of the above decision of this Court, the order 28.11.2008of the Income Tax Appellate Tribunal, Visakhapatnam in ITA.No.352/Vizag/2007 cannot be sustained and the same is set aside. Thisappeal is allowed and the order of the Commissioner of Income Tax,Guntur dt. 15.6.2007 is restored. _______________________ GODA RAGHURAM, J ______________________________ M.S.RAMACHANDRA RAO, J25.07.2012KRB. THE HON’BLE SRI JUSTICE GODA RAGHURAMANDTHE HON’BLE SRI JUSTICE M.S.RAMACHANDRA RAO I.T.T.A.No. 405 of 2011. ORDER: (Per Goda Raghuram, J) [1](2011) 337 ITR 299 (AP) 25.07.2012.