Itta/243/2011 Of Commissioner Of Income Tax v. Agricultural Market Committee

THE HON'BLE SRI JUSTICE V.V.S.RAOANDTHE HON'BLE SRI JUSTICE RAMESH RANGANATHAN I.T.T.A.No.243 OF 2011 Dated:27.06.2011 Between: Commissioner of Income Tax, Rajahmundry AND … Appellant Agricultural Market Committee, Chintalapudi … Respondent THE HON'BLE SRI JUSTICE V.V.S.RAOANDTHE HON'BLE SRI JUSTICE RAMESH RANGANATHAN I.T.T.A.No.243 OF 2011 JUDGMENT:(Per Hon’ble Sri Justice V.V.S.Rao) This appeal is filed under Section 260A of the Income Tax Act,1961 (the Act). By impugned order, the Income Tax Appellate Tribunal,Visakhapatnam Bench, took the view that Section 10(26AAB) of the Actis retrospective, and dismissed the appeal filed by the Revenue. Section 10(26AAB) of the Act exempts income of AgriculturalMarket Committees (AMCs) from the levy of income tax under the Act. Itwas inserted by the Finance Act, 2008 with effect from 01.4.2009. Thequestion whether the said provision is retrospective in operation hasbeen considered by this Division Bench in ITTA Nos.421 of 2010 andbatch. It was held therein that Section 10(26AAB) of the Act isprospective in operation. The decision therein – both the Counsel donot dispute – squarely covers the issue that is raised in this appeal. Following the decision in ITTA Nos.421 of 2010 and batch,dated 30.3.2011 this appeal is, accordingly, allowed without anyorder as to costs. _______________ (V.V.S.RAO, J) ______________________________ (RAMESH RANGANATHAN, J)