THE COMMISSIONER OF INCOME T vs. M/S NEYVELI LIGNITE CORP LTD

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TCA/315/2015HC Madras29 June 2021Bench: Hon`ble Mr Justice M.DURAISWAMY5 pages
AI SummaryWithdrawn

What did the High Court hold?

The High Court noted that it was not necessary to decide the substantial question of law framed for consideration due to subsequent developments. The Government of India enacted the Direct Tax Vivad Se Vishwas Act, 2020, to provide for the resolution of disputed tax. The learned counsel for the respondent/assessee submitted that the assessee had availed this scheme and had been issued Form-3 on 08.03.2021. Recording this submission, the High Court held that nothing further survived for adjudication in the appeal. Consequently, the Tax Case Appeal was disposed of. The specific finding of the ITAT regarding the invalidity of the reassessment and the reasoning behind it were not discussed or adjudicated by the High Court.

What were the facts?

The Revenue, Commissioner of Income Tax, Chennai, filed an appeal under Section 260A of the Income Tax Act, 1961, against an order dated 31.07.2013 passed by the Income Tax Appellate Tribunal (ITAT), Chennai "C" Bench. The appeal pertained to the assessment year 2006-2007 and challenged the ITAT's finding that the reopening of assessment was invalid. The assessee, M/s. Neyveli Lignite Corporation Ltd., had filed the appeal before the ITAT. The High Court admitted the appeal on a substantial question of law concerning the validity of the reassessment.

What were the issues?

1. Whether, on the facts and circumstances of the case, the Tribunal was right in holding that the reopening of assessment was invalid when the provisions of Section 147 of the Income Tax Act stood attracted? (Question of law) Assessee's contention: The assessee's counsel submitted that the assessee had availed the Direct Tax Vivad Se Vishwas Scheme, 2020, and had been issued Form-3 on 08.03.2021. Revenue's contention: The judgment does not record any specific contention from the Revenue regarding the substantial question of law, other than its role as the appellant challenging the ITAT's order.

Which sections of the Income-tax Act were involved?

Section 260A,Section 147

AI-generated summary — verify with the full judgment below

Tax Case Appeal No.315 of 2015 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 29.06.2021 CORAM THE HON'BLE MR.JUSTICE M. DURAISWAMY AND THE HON'BLE MRS.JUSTICE R. HEMALATHA Tax Case Appeal No.315 of 2015 The Commissioner of Income Tax, Chennai. ... Appellant Vs.

M/s.Neyveli Lignite Corporation Ltd., (F&AB) Income Tax Section, Corporate Office, Neyveli – 607 801.

... Respondent

Tax Case Appeal filed under Section 260A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal, Chennai "C" Bench, dated 31.07.2013 passed in I.T.A.No.1946/Mds/2012. For Appellant : Mr.T.Ravi Kumar Senior Standing Counsel For Respondent : Ms.G.Janane for M/s.Lakshmi Kumaran Page 1/5 https://www.mhc.tn.gov.in/judis/ Tax Case Appeal No.315 of 2015 J U D G M E N T (Delivered by M.DURAISWAMY, J.) This appeal filed by the Revenue under Section 260A of the Income Tax Act, 1961 ('the Act' for brevity), is directed against the order dated 31.07.2013 passed by the Income Tax Appellate Tribunal, Chennai "C" Bench, ('the Tribunal' for brevity) in I.T.A.No.1946/Mds/2012 for the assessment year 2006-2007. The above appeal has been admitted on 20.07.2015 on the following Substantial Question of Law: “Whether on the facts and circumstances of the case, the Tribunal was right in holding that the reopening of assessment was invalid when the provisions of Section 147 of the Income Tax Act stood attracted?” 2. We have heard Mr.T.Ravi Kumar, learned Senior Standing Counsel for the appellant/Revenue and Ms.G.Janane for M/s.Lakshmi Kumaran, learned counsel for the respondent/assessee. 3. It may not be necessary for this Court to decide the Substantial Question of Law framed for consideration on account of certain subsequent developments. The Government of India enacted the Direct Page 2/5 https://www.mhc.tn.gov.in/judis/ Tax Case Appeal No.315 of 2015 Tax Vivad Se Vishwas Act, 2020 (Act 3 of 2020) to provide for resolution of disputed tax and for matters connected therewith or incidental thereto. The Act of the Parliament received the assent of the President on 17th March 2020 and published in the Gazette of India on 17th March 2020. 4.Learned counsel for the respondent/assessee submitted that the assessee had availed the Vivad Se Vishwas Scheme and that the respondent/assessee had already been issued with Form–3 on 08.03.2021.

5.Since the respondent/assessee had been issued with Form-3, nothing survives for adjudication in the above appeal. Recording the submission made by the learned counsel for the respondent/assessee, the Tax Case Appeal stands disposed of. No costs. [M.D., J.] [R.H., J.] 29.06.2021

Index : Yes/No

Internet : Yes

mkn Page 3/5 https://www.mhc.tn.gov.in/judis/ Tax Case Appeal No.315 of 2015 To 1. Income Tax Appellate Tribunal, Chennai "C" Bench 2.The Commissioner of Income Tax, Chennai. Page 4/5 https://www.mhc.tn.gov.in/judis/ Tax Case Appeal No.315 of 2015 M. DURAISWAMY, J. and R. HEMALATHA, J. mkn Tax Case Appeal No.315 of 2015

29.06.2021 Page 5/5 https://www.mhc.tn.gov.in/judis/

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