M/S.avm Film Studios v. Income Tax Officer, Media Ward – I

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 04.02.2021 CORAM THE HON'BLE MR.JUSTICE M. DURAISWAMYANDTHE HON'BLE MRS.JUSTICE T.V. THAMILSELVI Tax Case Appeal Nos.50 to 52 of 2016 M/s.AVM Film Studios,38, Arcot Road, Vadapalani,Chennai ..Appellant in all 3 TCAsVs. Income Tax Officer,Media Ward – I,121, Nungambakkam High Road,Chennai – 600 034. ... Respondent in all 3TCAs Tax Case Appeals filed under Section 260A of the IncomeTax Act, 1961 against the order of the Income Tax AppellateTribunal, Madras "B" Bench, dated 08.07.2015 passed inI.T.A.Nos.2000/Mds/2012, 1358/Mds/2015 and 1359/Mds/2015 against the order of the Commissioner of Income Tax(Appeals)-VI,Chennaidated25/07/2012madeinITA.No.608/2010-11against the order of the Income Tax Offier, Ward -I,Chennai, dated 31/12/2020 u/s.143(3) of the Income Tax Act, 1961for the assessment year 2008-09. against the order of the Commissioner of Income Tax Appeals-14, Chennai, dated 27/03/2015 made in ITA.No.111 & 24/13-14CIT(A)-14. against the order of the Income Tax Officer, Media Ward-I,Chennai, dated 19/03/2013 and 17/02/2014 u/s.143(3) r/w. 147 ofthe Income Tax Act 1961 for the assessement year 2007-08 and2011-12.For Appellant : Mr.V.S.Jayakumar(in all 3 TCAs) For Respondent : Ms.V.Pushpa,(in all 3 TCAs) Standing Counsel C O M M O N J U D G M E N T(Delivered by M. DURAISWAMY, J) These appeal filed by the assessee under Section 260A ofthe Income Tax Act, 1961 ('the Act' for brevity), are directedagainst the order dated 08.07.2015 passed by the Income TaxAppellate Tribunal, Madras “B” Bench, Chennai ('the Tribunal'for brevity) in I.T.A.Nos.2000/Mds/2012, 1358/Mds/ 2015 and1359/Mds/2015 for the Assessment Years 2008-09, 2007-08 and2011-12. The above appeals were admitted on 25.01.2016 on thefollowing Substantial Question of Law for consideration: “Whether the Tribunal is right in holding thatthe receipt of money in entirety received by theassessee upon lease of distribution, execution ofpictures, assignment of veo rights, etc., is taxableas income upon the interpretation of Sections 4, 5 and145 of the Income Tax Act, 1961 and the incomeadmitted by the assessee on a proportionate basis isnot acceptable?”” 2. We have heard Mr.V.S.Jayakumar, learned counsel for theappellant/ assessee and Ms.V.Pushpa, learned Standing Counselfor 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 theappellant/assessee that the assessee has already filed therequisite Forms 1 & 2, in all the three appeals on 10.12.2020under Section 4 of the Act. 5. In the light of the fact that the assessee has alreadyavailed the benefit under the Act, no useful purpose would beserved in keeping these appeals pending. At the same time,safeguarding the interest of the assessee in the event the orderto be passed by the Department under the Act is not in favour ofthe assessee. Accordingly, the Tax Case Appeals stand disposedof on the ground that the assessee has already filed therequisite Forms 1 & 2 in all the three appeals and theDepartment shall process the application at the earliest inaccordance with the said Act and communicate the decision to theassessee at the earliest. As observed, the assessee is givenliberty to restore these appeals in the event the ultimate https://hcservices.ecourts.gov.in/hcservices/ https://hcservices.ecourts.gov.in/hcservices/ decision to be taken on the Forms filed by the assessee underSection 4 of the said Act is not in favour of the assessee. Ifsuch a prayer is made, the Registry shall entertain the prayerwithout insisting upon any application to be filed forcondonation of delay in restoration of the appeals and on suchrequest made by the assessee by filing a Miscellaneous Petitionfor Restoration, the Registry shall place such petition beforethe Division Bench for orders. 6. With this observation, the Tax Case Appeals standdisposed of with the aforementioned liberty and consequently,the Substantial Question of Law is left open. No costs. Sd/- Assistant Registrar (CS.III) /True Copy/Sub Assistant Registrar To 1.The Income Tax Appellate Tribunal, Madras "B" Bench 2.The Income Tax Officer, Media Ward – I,121, Nungambakkam High Road, Chennai – 600 034.3.The Commissioner of Income Tax(Appeals)-VI, Chennai.4.The Commissioner of Income Tax Appeals -14, Chennai. +1cc to Mr.V.S.Jayakumar, Advocate Sr.No.6004+1cc to Mr.M.Swaminathan, Advocate Sr.No.6398AKM/23.2.21/3P-7C/Tax Case Appeal Nos.50 to 52 of 201604.02.2021