Itta/605/2014 Of Commissioner Of Income Tax - Ii v. M/S Talwar Mobiles Private Limited

HIGH COURT OF JUDICATURE AT HYDERABADFOR THE STATE OF TELANGANA AND THE STATE OF ANDHRAPRADESH PRESENT THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTA ANDTHE HON’BLE SRI JUSTICE SANJAY KUMAR I.T.T.A.No.605 OF 2014 DATED: 10.09.2014 Between: Commissioner of Income Tax-II … Appellant and M/s.Talwar Mobiles Private Limited … Respondent THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTISENGUPTAANDTHE HON’BLE SRI JUSTICE SANJAY KUMAR I.T.T.A.No.605of2014 JUDGMENT:(per the Hon’ble The Chief Justice Sri Kalyan Jyoti Sengupta) The Tribunal has followed the decision of the SpecialBench of the Tribunal in the case of Bhaumik Colour P. Ltd(313 ITR (AT) 43) wherein it has been held that in order toinvoke the provisions of Section 2(22)(e) of the Income-taxAct, 1961, assessee-company itself must be a shareholderin the other company, and mere existence of commonshareholders would not justify the invoking of the provisionsof the said Section. We are of the view that the decision ofthe Tribunal is absolutely correct. We do not find infirmitytherein. Hence, the appeal is dismissed. No order as to costs. Pending miscellaneous petitions, if any, shall standclosed. 10[th] SEPTEMBER, 2014. ___________________ K.J. SENGUPTA, CJ __________________ SANJAY KUMAR, J kvni