M/S.addison & Co Limited, 803, Anna Salai, Chennai – 600 002 v. The Deputy Commissioner Of Income Tax, Corporate Circle – 1(1), Chennai

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 01.02.2021 CORAM THE HON'BLE MR.JUSTICE M. DURAISWAMYANDTHE HON'BLE MRS.JUSTICE T.V. THAMILSELVI Tax Case Appeal No.716 of 2016 M/s.Addison & Co Limited,803, Anna Salai, Chennai – 600 002. ...Appellant/RespondentVs. The Deputy Commissioner of Income Tax,Corporate Circle – 1(1),Chennai. ...Respondent/Appellant Tax Case Appeal filed under Section 260A of the Income TaxAct, 1961 against the order of the Income Tax AppellateTribunal, Madras "A" Bench, dated 04.03.2016 passed inI.T.A.No.2198/ Mds/2015 against the order passed by theCommissioner of Income Tax(Appeals)-1, Chennai-34 made in ITANO.117/13-14/A-1(NewNo.ITA.181/CIT(A)-1/2013-14)dated09.09.2015 and against the order passed by the DeputyCommissioner of Income Tax, Company circle-1(1), Chennai, madein GIR/PAN AX-1086 AAA5199H dated 28.03.2013. For Appellant : Mr.R.Venkatanarayanan, for M/s.Subbaraya Aiyar For Respondent : Mr.T.Ravi Kumar, Senior Standing Counsel J U D G M E N T(Delivered by M.DURAISWAMY, J.) This appeal filed by the assessee under Section 260A of theIncome Tax Act, 1961 ('the Act' for brevity), is directedagainst the order dated 04.03.2016 passed by the Income TaxAppellate Tribunal, Madras "A" Bench, ('the Tribunal' forbrevity) in I.T.A.No.2198/Mds/2015 for the assessment year2010-11. The assessee has raised the following SubstantialQuestions of Law: “1)Whether the Tribunal was right in law inholding that long term capital gains should be https://hcservices.ecourts.gov.in/hcservices/ assessed in the assessment year 2010-11 based on JointDevelopment Agreement and not in assessment yearr2013-14 in which the possession was handed over,after the Developer has obtained all the necessaryapproval for the construction of project? 2)Whether the Tribunal was right in law inholding that pursuant the Joint Development Agreementand Power of Attorney there was a transfer within themeaning of Sec.2 (47) of the Act and hence long termcapital gains u/s 45(1) shall be assessed in theassessment year 2010-11? 3)Whether under the Joint Development Agreementdated 07.09.2009 capital gains can be said to havearisen in the subject assessment year?” 2. We have heard Mr.R.Venkatanarayanan, learned counsel forthe appellant/assessee and Mr.T.Ravi Kumar, learned SeniorStanding Counsel for the respondent/Revenue. 3. It may not be necessary for this Court to decide theSubstantial Question of Law framed for consideration on accountof certain subsequent developments. The Government of Indiaenacted the Direct Tax Vivad Se Vishwas Act, 2020 (Act 3 of2020) to provide for resolution of disputed tax and for mattersconnected therewith or incidental thereto. The Act of theParliament received the assent of the President on 17[th] March2020 and published in the Gazette of India on 17[th] March 2020. 4. We are informed by the learned counsel for the appellant/assessee that the assessee has already been issued with Form – 3on 06.01.2021 and the learned counsel for the appellant seekspermission of this Court to withdraw the appeal. 5. In view of the submission made by the learned counsel forthe appellant, the Tax Case Appeal stands dismissed aswithdrawn. No costs. Sd/- Assistant Registrar(CS III) //True Copy// vaTo Sub Assistant Registrar 1. Income Tax Appellate Tribunal, Madras "A" Bench 2.The Deputy Commissioner of Income Tax,Corporate Circle – 1(1),Chennai. 3. The Commissioner of Income Tax(Appeals)-1,Ch-34. +1cc to Mr.T.Ravikumar, Advocate, S.R.No.5061 +1cc to M/s.Subbaraya Aiyar, Advocate, S.R.No.5070 Tax Case Appeal No.716 of 2016 bs(CO)rv(10/02/2021)