M/S.vijay Dairy & Farm Products (P) Ltd v. The Deputy Commissioner Of Income Tax,Circle-I(2), Trichy

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 29.03.2021 CORAM THE HON'BLE MR.JUSTICE M. DURAISWAMYANDTHE HON'BLE MRS.JUSTICE T.V. THAMILSELVI Tax Case Appeal No.985 of 2015 M/s.Vijay Dairy & Farm Products (P) Ltd.,1/5, Alexandra Road, Cantonment,Trichy – 620 001. ..Appellant /Appellant Vs. The Deputy Commissioner of Income Tax,Circle-I(2), Trichy. ..Respondent/Respondent Tax Case Appeal filed under Section 260A of the Income TaxAct, 1961 against the order of the Income Tax AppellateTribunal, Madras “B” Bench, dated 01.05.2015 passed inI.T.A.No.1195/Mds/2013, Assessment Year 2004-05 and against theorder of the Income Tax Appellate Tribunal Bench ”A”, Chennai,dated 18/01/2011 passed in I.T.A.No.413/mds/2009, Assessmentyear 2004-05 and against the order of the Commissioner of IncomeTax (Appeals), Tiruchirapalli, dated 20.01.2009 passed inITA.No.499/2006-07 and against the order of the AssistantCommissioner of Income Tax Company Circle -II, Tiruchirapalli,dated 28/12/2006 passed in PAN/GIR.No. , Assessmentyear 2004-2005. The appeal filed by the assessee under Section 260A of theIncome Tax Act, 1961 ('the Act' for brevity), is directedagainst the order, dated 01.05.2015, passed by the Income TaxAppellate Tribunal, Madras “B” Bench, Chennai ('the Tribunal'for brevity) in I.T.A.No.1195/Mds/2013 for the Assessment Year https://hcservices.ecourts.gov.in/hcservices/ 2004-05. The above appeal was admitted on 26.10.2015 on thefollowing Substantial Questions of Law: "1.Whether the Tribunal was right in holding thatthe claim of deduction u/s. 80IA(iv)(d) and Section80IB(3) of the Income Tax Act, 1961 is not allowable? 2.Whether the Tribunal was right in law inholding that the claim of Section 80IA/80IB is notallowable since the assessee has not maintained anyseparate books of accounts for cold storage plant andthe same is part and parcel of milk processing unit? 3.Whether in the facts and circumstances of thecase, the learned Income Tax Appellate Tribunal wasright in law in not allowing the assessee's appeal forthe assessment year 2004-05 by holding that theappellant as a small scale industrial undertakingoperating a cold storage plant is eligible for fullrelief under Section 80IA(iv)(d) and 80IB(3) of theIncome Tax Act, 1961?” 2. We have heard Mr.V.S.Jayakumar, learned counsel for theappellant/ assessee and Mr.M.Swaminathan, learned SeniorStanding Counsel and Mrs.V.Pushpa, learned Standing Counsel forthe respondent/Revenue. 3. It may not be necessary for this Court to decide theSubstantial Questions 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 on 28.03.2021 under 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 the appeal 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 Appeal stands disposedof on the ground that the assessee has already filed therequisite Forms 1 & 2 and the Department shall process theapplication at the earliest in accordance with the said Act andcommunicate the decision to the assessee at the earliest. Asobserved, the assessee is given liberty to restore the appeal in 5. In the light of the fact that the assessee has alreadyavailed the benefit under the Act, no useful purpose would beserved in keeping the appeal 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 Appeal stands disposedof on the ground that the assessee has already filed therequisite Forms 1 & 2 and the Department shall process theapplication at the earliest in accordance with the said Act andcommunicate the decision to the assessee at the earliest. Asobserved, the assessee is given liberty to restore the appeal in the event the ultimate decision to be taken on the declarationfiled by the assessee under Section 4 of the said Act is not infavour of the assessee. If such a prayer is made, the Registryshall entertain the prayer without insisting upon anyapplication to be filed for condonation of delay in restorationof the appeal and on such request made by the assessee by filinga Miscellaneous Petition for Restoration, the Registry shallplace such petition before the Division Bench for orders. 6. With this observation, the Tax Case Appeal standsdisposed of with the aforementioned liberty and consequently,the Substantial Questions of Law are left open. No costs. Sd/- Assistant Registrar(CS III) Sub Assistant Registrar //True Copy// To 1.The Income Tax Appellate Tribunal, Madras “B” Bench. 2.The Deputy Commissioner of Income Tax,Circle-I(2), Trichy. 3.The Income Tax Appellate Tribunal,Bench ”A”, Chennai. 4.The Commissioner of Income Tax(Appeals), Tiruchirappalli - 620 001. 5.The Assistant Commissioner of Income Tax,Company Circle -II, Range -I, Tiruchirappalli. Copy to : 1.The Sub Assistant Registrar (A.E.Section), High Court of Madras, Chennai. 2.The Section Officer, Judicial Department, High Court of Madras, Chennai. +1cc to M/s.V.S.Jayakumar, Advocate SR.NO.20505+1cc to Mr.M.Swaminathan, Advocate SR.NO..20520 AKM/28.04.21/3P-10C/ Tax Case Appeal No.985 of 201529.03.2021 https://hcservices.ecourts.gov.in/hcservices/