Ita/246/2016 Of The Pr. Commissioner Of Income Tax v. Sri V Madhusudhan Reddy

IN THE HIGH COURT OF KARNATAKA AT BENGALURUDATED THIS THE 27 DAY OF FEBRUARY 2071.PRESENT| THE HON’BLE MR. JUSTICE ALOK ARADHE AND THE HON’‘’BLE MR. JUSTICE NATARAJ RANGASW AILT.A. NO.246 OF 2016 BETWEEN: 1.|THE PR. COMMISSIONER OF INCOME-TAX| 5TH FLOOR, BMTC BUILDING| 80 FEET ROAD, KORMANGALA| BANGALORE-560095. 2 |THE ASST. COMMISSIONER OF INCOME-TAX CIRCLE-1(2)(1), 2ND FLOOR| BMTC BUILDING, 80 FEET ROAD. KORMANGALA, BANGALORE-560095. .., APPELLANTS~ (BY SRI. E.I. SANMATHI, ADV., FOR| SRI. ARAVIND K.V. ADV.,) AND* SRI. V7. MADHUSUDHAN REDDY902, CMH ROAD, INDIRANAGAR|BANGALORE-560038 PAN: ABIPV 7234 L ~. RESPONDENT (BY SRI. ASHOK A. KULKARNI, ADV.)| THIS I.T.A. IS FILED UNDER SEC. J6O0-A OF INCOME TAXACT 1961, ARISING OUT OF ORDER DATED 09.10.2015 PASSEDIN ITA NO.694/BANG/2015 FOR THE ASSESSMENT YEAR 2007-08,PRAYING TQ: | (1) FORMULATE THE SUBSTANTIAL QUESTIONS OF LAW,STATED ABOVE. (ii) ALLOW THE APPEAL AND SET ASIDE THE ORDER.PASSED BY THE ITAT, BANGALORE IN ITA NO.694/BANG/2015—DATED 09.10.2015 CONFIRMING THE ORDER OF THE APPELLATE.COMMISSIONER AND CONFIRM THE ORDER PASSED BY THEASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-1(2)(1),BANGALORE. (iii) PASS SUCH OTHER SUITABLE ORDERS AS THIS)HON BLE COURT DEEMS FIT TO GRANT IN THE FACTS AND|CIRCUMSTANCES OF THE CASE IN THE INTERES! OF JUSTICE.AND EQUITY. THIS ILT.A. COMING ON FOR’ HEARING, THIS DAY, | ALOK ARADHE J.,DELIVERED THE FOLLOWING: | JUDGMENT This appeal under Section 260A of the Income Tax Act, 1961 (hereinafter referred to as the Act for short)has been preferred by the revenue. The subject matter|of the appeal pertains to the Assessment year 2007-08.The appeal was admitted by a bench of this Court videorder dated 10.10.2017 on the following substantialquestion of law: "Whether on the facts and circumstances|of the case, the Tribunal Is correct in law in notholding that assessment of Rs.15,63,22,000|cannot be brought to tax as capital gains in thehands of the assessee when the decision relied UponDy theTribunal|In.TTA|No.5/74/BANG/2013 dated 12.4.2013 had notreached finality and assessing authority has|rightly brought to tax the escaped capital gainsin the hands of the assessee by following thedirections issued by Commissioner of Income.Tax under section 7263 of the Act?" 2.|For the reasons assigned by us in thejudgmentpassed|today|In|I.T.A.No.291/13,.thesubstantial question of law framed by a bench of this.court is answered against the revenue and in favour ofthe assessee. In the result, we do not find any merit in.this appeal, the same fails and is hereby dismissed. Sd/-JUDGE. Sd/-JUDGE.