P.R.PARASURAM vs. THE ASSISTANT COMMISSIONER O

TCA/11/2021HC Madras05 January 2021Bench: Hon`ble Mr Justice T. S. SIVAGNANAM4 pages

AI SummaryRemanded

What did the High Court hold?

The High Court disposed of the tax case appeal based on a subsequent event: the assessee having filed a declaration/undertaking under the Vivad Se Vishwas Scheme, 2020. The Court directed the Competent Authority to process the application under the Direct Tax Vivad Se Vishwas Act, 2020, and pass appropriate orders expeditiously. The assessee was granted liberty to restore the appeal if the decision on their declaration was not in their favour. If restoration was sought via a miscellaneous petition, the Registry was to place it before the appropriate Division Bench without insisting on a condonation of delay application. Consequently, the substantial questions of law framed by the assessee were left open and not decided on merits. No costs were awarded.

What were the facts?

The assessee, Sri P.R. Parasuram, filed an appeal before the High Court of Judicature at Madras under Section 260A of the Income Tax Act, 1961. The appeal challenged an order dated 21.09.2017 passed by the Income Tax Appellate Tribunal, Chennai 'C' Bench. The assessment year in question was 2008-09. The appeal was filed against the respondent, the Assistant Commissioner of Income Tax, Salary Circle-V, Chennai. The High Court noted that the assessee had filed a declaration/undertaking under the Vivad Se Vishwas Scheme and was awaiting orders.

What were the issues?

1. Whether the Income Tax Appellate Tribunal was right in law in dismissing the assessee's appeal ex-parte in total violation of the provision of law and principles of natural justice? (Question of law) 2. Whether the Income Tax Appellate Tribunal was right in law in dismissing the appeal filed by the assessee in limine without adjudicating the grounds raised by the appellant before the Tribunal? (Question of law) Assessee's Contention: The assessee's counsel submitted that the assessee had filed a declaration under the Vivad Se Vishwas Scheme and was awaiting orders. This subsequent event was the basis for the appeal's disposal. Revenue's Contention: No specific contentions were recorded for the revenue in relation to the substantial questions of law raised by the assessee. The judgment focuses on the subsequent event of the Vivad Se Vishwas Scheme.

Which sections of the Income-tax Act were involved?

Section 260A

AI-generated summary — verify with the full judgment below

TCA.No.11 of 2021 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 05.01.2021 CORAM : The Honourable Mr.Justice T.S.SIVAGNANAM and The Honourable Ms.Justice R.N.MANJULA Tax Case Appeal No.11 of 2021 Sri.P.R.Parasuram ...Appellant Vs The Assistant Commissioner of Income Tax, Salary Circle-V, Chennai - 600 006. ...Respondent APPEAL under Section 260A of the Income Tax Act, 1961 against the order dated 21.09.2017 made in ITA.No.283/Mds/2016 on the file of the Income Tax Appellate Tribunal, Chennai 'C' Bench for the assessment year 2008-09. For Appellant: Mr.Ashok Pathy for M/s.Pass Associates 1/4 https://www.mhc.tn.gov.in/judis/ TCA.No.11 of 2021 JUDGMENT (Delivered by

T.S.Sivagnanam,J

) This appeal has been filed by the assessee under Section 260A of the Income Tax Act, 1961 ('the Act' for brevity) challenging the order dated 21.09.2017 made in ITA.No.283/Mds/2016 on the file of the Income Tax Appellate Tribunal, Chennai 'C' Bench ('the Tribunal' for brevity) for the assessment year 2008-09. 2. The assessee has raised the following substantial questions of law for consideration: “1. Whether the Income Tax Appellate Tribunal is right in law in dismissing the assessee appeal exparte in total violation of provision of law and principle of natural justice? 2. Whether the Hon'ble Income Tax Appellate Tribunal is right in law in dismissing the appeal filed by the assessee in limine without adjudicating the grounds raised by the appellant before the Hon'ble Tribunal?" 2/4 https://www.mhc.tn.gov.in/judis/ TCA.No.11 of 2021 3. The learned counsel for the appellant/assessee submits that the appellant/assessee has already filed the declaration/undertaking under the Vivad Se Vishwas Scheme and is awaiting orders to be passed in Form No.3. 4. In the light of the subsequent event, the Competent Authority shall process the application/declaration in accordance with the Direct Tax Vivad Se Vishwas Act, 2020 (Act 3 of 2020) and pass appropriate orders as expeditiously as possible. The assessee is given liberty to restore this appeal in the event the ultimate decision to be taken on the declaration filed by the assessee under Section 4 of the said Act is not in favour of the assessee. If such a prayer is made, the Registry shall entertain the prayer without insisting upon any application to be filed for condonation of delay in restoration of the appeal and on such request made by the assessee by filing a miscellaneous petition for restoration, the Registry shall place such petition before the appropriate Division Bench for orders. 3/4 https://www.mhc.tn.gov.in/judis/ TCA.No.11 of 2021 T.S.SIVAGNANAM,J AND R.N.MANJULA,J hvk 5. The tax case appeal stands disposed of with the aforementioned liberty and consequently, the substantial questions of law framed are left open. No costs. (T.S.S.,J.) (R.N.M.,J.) 05.01.2021 Index: Yes/No Internet:Yes/No Speaking Judgment/Non speaking Judgment hvk To 1. The Income Tax Appellate Tribunal, Chennai 'C' Bench. 2. The Assistant Commissioner of Income Tax, Salary Circle-V, Chennai - 600 006. TCA.No.11 of 2021 4/4 https://www.mhc.tn.gov.in/judis/

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