M/S.MADRAS ENGINEERING INDUS vs. THE ASSISTANT COMMISSIONER O

TCA.No.201 of 2021 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 16.3.2021 CORAM THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAM and THE HONOURABLE MS.JUSTICE R.N.MANJULA Tax Case Appeal No.201 of 2021

M/s.Madras Engineering Industries (P) Ltd., Chennai-28 ...Appellant Vs The Assistant Commissioner of Income Tax, Corporate Circle 4(1), Chennai. ...Respondent APPEAL under Section 260A of the Income Tax Act, 1961 against the order dated 27.9.2019 passed by the Income Tax Appellate Tribunal, Madras 'C' Bench, Chennai made in I.T.A.No.2559/Chny/2017 for the assessment year 2009-10. For Appellant: Mr.A.S.Sriraman For Respondent: Mr.Karthik Ranganathan, SC Judgment was delivered by

T.S.SIVAGNANAM

This appeal has been filed by the assessee under Section 260A of the Income Tax Act, 1961 ('the Act' for brevity) challenging the order 1/4 https://www.mhc.tn.gov.in/judis/ TCA.No.201 of 2021 dated 27.9.2019 made in I.T.A.No.2559/Chny/2017 on the file of the Income Tax Appellate Tribunal, Chennai 'C' Bench ('the Tribunal' for brevity) for the assessment year 2009-10. 2. The assessee has filed this appeal by raising the following substantial questions of law : ““i. Whether the provisions of Section 43A of the Act would be applicable to the purchase of machinery in India for the purpose of giving treatment to the exchange difference in the computation of taxable total income? And ii. Whether the provisions of Section 37(1) of the Act would encompass the exchange difference loss pertaining to the purchase of machinery in India for granting deduction in the computation of taxable total income?” 3. We have heard Mr.A.S.Sriraman, learned counsel for the appellant/assessee and Mr.Karthik Ranganathan, learned Standing Counsel appearing for the respondent/Revenue. 4. The learned counsel for the assessee submits that the assessee already filed the declaration/undertaking under the Vivad Se Vishwas Scheme and orders were passed on 06.1.2021 in Form No.3. 2/4 https://www.mhc.tn.gov.in/judis/ TCA.No.201 of 2021 5. In the light of the subsequent event, the assessee is given liberty to restore this appeal in the event the ultimate decision 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. 6. The tax case appeal stands disposed of with the aforementioned liberty. Consequently, the substantial questions of law raised are left open. No costs. 16.3.2021 To 1.The Income Tax Appellate Tribunal, 'C' Bench, Chennai. 2.The Assistant Commissioner of Income Tax, Corporate Circle 4(1), Chennai. RS 3/4 https://www.mhc.tn.gov.in/judis/ TCA.No.201 of 2021 T.S.SIVAGNANAM,J AND R.N.MANJULA,J RS TCA.No.201 of 2021 16.3.2021 4/4 https://www.mhc.tn.gov.in/judis/