M/s.T.V Sundaram Iyengar and Sons Private Limited, vs. Principal Commissioner of Income Tax

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TCA/108/2025HC Madras03 July 2025Bench: Honourable The CHIEF JUSTICE4 pages
AI SummaryDismissed

What did the High Court hold?

The High Court dismissed the appeal. The Court noted that the order passed by the PCIT under Section 263 of the Income Tax Act, 1961, had already been acted upon by the Assessing Officer, leading to the passing of a fresh assessment order. The Court also took into consideration that an appeal against this fresh assessment order is already pending before the Commissioner of Income Tax (Appeals). Given these circumstances and the factual findings of the Income Tax Appellate Tribunal, the High Court stated that it was not inclined to interfere with the matter. The Court explicitly clarified that its decision was not an observation on the merits of the case. Therefore, no relief was granted to the appellant, and the appeal was dismissed without any order as to costs.

What were the facts?

The assessee, M/s. T.V. Sundaram Iyengar and Sons Pvt Limited, filed an appeal before the High Court of Judicature at Madras against an order passed by the Income Tax Appellate Tribunal (ITAT), Chennai A Bench, dated 28.10.2024 in ITA No.1803/CHNY/2019. The appeal challenges an order dated 27.03.2019 passed by the Principal Commissioner of Income Tax (PCIT), Madurai, under Section 263 of the Income Tax Act, 1961. The appellant's counsel stated that the order under Section 263 had already been acted upon by the Assessing Officer, resulting in a fresh assessment order. Furthermore, an appeal against this fresh assessment order is already pending before the Commissioner of Income Tax (Appeals).

What were the issues?

1. Whether the High Court should entertain the present appeal under Section 260A of the Income Tax Act, 1961, given that the order under challenge (Section 263 order) has been acted upon and a fresh assessment order has been passed, against which a separate appeal is pending before the CIT(A)? (Question of mixed law and fact, turning on Section 260A and principles of procedural fairness). Assessee's Contention: The assessee, through its counsel Mr. N.V. Balaji, submitted that the order passed by the PCIT under Section 263 has already been implemented by the Assessing Officer, leading to a fresh assessment order. An appeal against this fresh assessment order is currently pending before the CIT(A). Revenue's Contention: The judgment does not record any specific contentions made by the revenue's counsel, Mr. J. Narayanasamy, Senior Standing Counsel, regarding this issue.

Which sections of the Income-tax Act were involved?

Section 263,Section 260A

AI-generated summary — verify with the full judgment below

T.C.A.No.108 of 2025

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 03.07.2025 CORAM : THE HON'BLE MR.K.R.SHRIRAM, CHIEF JUSTICE AND THE HON'BLE MR.JUSTICE SUNDER MOHAN T.C.A.No.108 of 2025 M/s. T.V. Sundaram Iyengar and Sons Pvt Limited 7B, TVS Building West Veli Street Madurai 625 001. .. Appellant Vs. Principal Commissioner of Income Tax Madurai. .. Respondent Prayer : Appeal under Clause Section 260A of the Income Tax Act against the order dated 28.10.2024 in ITA No.1803/CHNY/2019 on the file of the Income Tax Appellate Tribunal, Chennai A Bench. For Appellant : Mr.N.V.Balaji For Respondent : Mr.J.Narayanasamy Senior Standing Counsel __________ Page 1 of 4 https://www.mhc.tn.gov.in/judis ( Uploaded on: 08/07/2025 08:34:49 pm ) T.C.A.No.108 of 2025

JUDGMENT (Judgment of the Court was delivered by the Hon'ble Chief Justice) The order dated 27.03.2019 passed by respondent under Section 263 of the Income Tax Act, 1961 has already been acted upon by the Assessing Officer and fresh assessment order has been passed. Shri. Balaji states an appeal is already pending against fresh assessment order before the Commissioner of Income Tax (Appeals). 2. Moreover, in view of the factual findings given by the Income Tax Appellate Tribunal, we are not inclined to interfere. We clarify we have not made observation on the merits of the matter. 3. Appeal is dismissed. There shall be no order as to costs. (K.R.SHRIRAM, CJ) (SUNDER MOHAN,J.)

03.07.2025 Index : Yes/No Neutral Citation : Yes/No kpl __________ Page 2 of 4 https://www.mhc.tn.gov.in/judis ( Uploaded on: 08/07/2025 08:34:49 pm ) T.C.A.No.108 of 2025

To 1. Principal Commissioner of Income Tax Madurai. 2. The Income Tax Appellate Tribunal, A Bench. Chennai __________ Page 3 of 4 https://www.mhc.tn.gov.in/judis ( Uploaded on: 08/07/2025 08:34:49 pm ) T.C.A.No.108 of 2025

THE HON'BLE CHIEF JUSTICE AND SUNDER MOHAN

,J.

(kpl)

T.C.A.No.108 of 2025

03.07.2025 __________ Page 4 of 4 https://www.mhc.tn.gov.in/judis ( Uploaded on: 08/07/2025 08:34:49 pm )

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