Vijay Kumar Rungta v. Income Tax Officer,Ward 1(3)

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 05.02.2021 CORAM THE HON-BLE MR.JUSTICE M. DURAISWAMYANDTHE HON-BLE MRS.JUSTICE T.V. THAMILSELVI Tax Case Appeal No.741 of 2016 Vijay Kumar Rungta ...Appellant v. Income Tax Officer,Ward 1(3), 15, Gandhiji Road,Erode ? 638 001. ...Respondent Tax Case Appeal filed under Section 260A of the Income TaxAct, 1961 against the order of the Income Tax AppellateTribunal, “A“ Bench, Chennai dated 07.04.2016 passed inI.T.A.No.179/Mds/2016 for the assessment year 2007~08 againstthe order of the Commissioner of the Income Tax (Appeals)-3Coimbatore, dated 26/11/2015 in ITA.No.304/14-15(A)-1 in againstthe order of Income Tax Officer Ward – I(3) Erode, dated16.10.2014 in PAN No. for Assessment Year 2007-2008 For Appellant : Ms. G. Janani for M/s. Lakshmi Kumaran For Respondent : Mr.T.R. Senthil Kumar Senior Standing Counsel Asst.by Ms. K.G. Usha Rani Junior Standing Counsel (Judgment was 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 07.04.2016 passed by the Income TaxAppellate Tribunal, “A“ Bench, Chennai (-the Tribunal- forbrevity) in I.T.A.No.179/Mds/2016 for the assessment year2007~08. https://hcservices.ecourts.gov.in/hcservices/ 2. The appeal was admitted on 29.10.2016 on the followingSubstantial Questions of Law: “ Whether on the facts and circumstances of the case, theIncome Tax Appellate Tribunal was right in treating the amountas unexplained investment under section 69 of the Act when noinvestment was made by the appellant and ;the amount was only inthe nature of loan?? 3. We have heard Ms. G. Janani, learned counsel for theappellant and Mr.T.R. Senthil Kumar, learned Senior StandingCounsel, learned Standing Counsel for the respondent. 4. It may not be necessary for this Court to decide theSubstantial Questions of Law framed for consideration onaccount of certain subsequent developments. The Government ofIndia enacted the Direct Tax Vivad Se Vishwas Act, 2020 (Act 3of 2020) to provide for resolution of disputed tax and formatters connected therewith or incidental thereto. The Act ofthe Parliament received the assent of the President on 17thMarch 2020 and published in the Gazette of India on 17th March2020. 5. We are informed by the learned counsel for theappellant/assessee that the assessee has already filed therequisite Form ~ 1 on 31.01.2021 under Section 4 of the Act. 6. . In the light of the fact that the assessee has alreadyavailed the benefit under the Act, no useful purpose would beserved in keeping this 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 requisiteForm ~ 1 and the Department shall process the application atthe earliest in accordance with the said Act and communicate thedecision to the assessee at the earliest. As observed, theassessee is given liberty to restore this appeal in the eventthe ultimate decision to be taken on the declaration filed bythe assessee under Section 4 of the said Act is not in favour ofthe assessee. If such a prayer is made, the Registry shallentertain the prayer without insisting upon any application tobe filed for condonation of delay in restoration of the appealand on such request made by the assessee by filing aMiscellaneous Petition for Restoration, the Registry shall placesuch petition before the Division Bench for orders. 7. With these observations, 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 VIII) //True Copy// 7. With these observations, 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 VIII) //True Copy// Sub Assistant Registrar Rj To 1. The Income Tax Appellate Tribunal, Chennai “A“ Bench . 2. The Income Tax Officer, Ward 1(3), 15, Gandhiji Road, Erode ? 638 001.3. Commissioner of the Income Tax, (Appeals)-3, Coimbatore.+1cc to M/s.T.R.Senthil Kumar, Advocate, S.R.No.6394+1cc to M/s.Lakshmi Kumaran, Advocate, S.R.No.6351Tax Case Appeal No.741 of 2016KV(CO)KKV/26/02/2021