PRINCIPAL COMMISSIONER OF IN vs. M/S.SRI MUTHUKUMARAN EDUCATI

Tax Case Appeal No.318 of 2021 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 24.08.2022 CORAM : THE HON'BLE MR. JUSTICE R. MAHADEVAN AND THE HON'BLE MR. JUSTICE MOHAMMED SHAFFIQ Tax Case Appeal No.318 of 2021 The Principal Commissioner of Income Tax-I, No.46, Mahatma Gandhi Road, Nungambakkam, Chennai - 600 034.

... Appellant Vs.

M/s.Sri Muthukumaran Educational Trust, No.61, Ramasamy Salai, K.K.Nagar, Chennai - 600 078. ... Respondent (PAN No.AAB TS 6980 L)

Tax Case Appeal filed under Section 260A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal, “B” Bench, Chennai, dated 21.01.2020 passed in I.T.A.No.831/Chny/2019. For Appellant : Mr.Karthik Ranganathan Standing Counsel For Respondent : Mr.Baskar Page 1/6 https://www.mhc.tn.gov.in/judis Tax Case Appeal No.318 of 2021 J U D G M E N T (Judgment was delivered by R. MAHADEVAN, J.) This Tax Case Appeal has been filed by the appellant / Revenue challenging the order dated 21.01.2020 passed by the Income Tax Appellate Tribunal, Chennai 'B' Bench in I.T.A.No.831 of 2019 for the Assessment Year 2012-2013. 2.The above appeal was admitted on 18.06.2021 on the following substantial questions of law : "(i) Whether the Appellate Tribunal's direction in remitting the issues back to the Assessing Officer is it not perverse in nature on the facts and in the circumstances of the case? (ii) Whether the Appellate Tribunal correct in remitting the issues back to the file of the Assessing Officer without taking cognizance that the Assessing Officer had clearly established beyond doubt that all the so called donors who were examined under Section 131 of the Act by him during the course of assessment proceedings were bogus and they have confirmed that they did not give any donation to the assessee Trust? Page 2/6 https://www.mhc.tn.gov.in/judis Tax Case Appeal No.318 of 2021 (iii) Whether on the facts and in the circumstances of the case, the Tribunal is correct in law in holding that it is not known whether the donations collected were from the students or any other party who are related to the students at the time of admission without appreciating the fact that the verification made by the Assessing Officer with the residents of Ayyampettai Village, Kanchipuram District, name Nadu Theru (Middle Street) and Kandappar Street had proved that the so called donors were lingering in poverty and are living with the income from Mahatma Gandhi National Rural Employment Scheme and they don't have any means to pay donations? (iv) Whether the ITAT is correct in law in ignoring the fact that it was clearly established by the AO that the assessee Trust neither credited 'Salary Advance' and debited 'Cash or Bank Account' nor there was any corresponding contra entry in the books of accounts of the assessee with regard to the addition made towards accommodated Salary Advance, Festival Advance and Medical Advance? (v) Whether the ITAT is correct in holding that the assessee has collected the fee only from the students which was prescribed by the High Level Committee, whereas it was clearly established that the assessee has collected the anonymous donations and the assessee has not established the identity of the donors with material evidences and beyond doubt? " Page 3/6 https://www.mhc.tn.gov.in/judis Tax Case Appeal No.318 of 2021 3. When the matter was taken up for consideration, the learned counsel appearing for the appellant / Revenue submitted that during the pendency of this tax case appeal, the assessee has availed the benefit conferred under the Direct Tax Vivad Se Vishwas Act, 2020 and filed necessary declarations, which were accepted and Form 5 / order for full and final settlement of tax arrears, was also issued by the Income tax department, on 22.01.2021. The learned counsel has also filed Form 5 dated 22.01.2021 to that effect. 4.The aforesaid submission made by the learned counsel for the appellant/Revenue has also been fairly conceded by the learned counsel appearing for the respondent/ assessee. 5.In view of the subsequent development, this court is of the opinion that nothing survives for adjudication in this appeal. Recording the submission so made by the learned counsel on either side, the Tax Case Appeal stands disposed of. No costs. [R.M.D, J.] [M.S.Q, J.] 24.08.2022

r n s Internet : Yes.

Index : Yes / No. Page 4/6 https://www.mhc.tn.gov.in/judis Tax Case Appeal No.318 of 2021 To 1. The Deputy Commissioner of Income Tax, Central Circle-2(1), Chennai. 2. The Commissioner of Income Tax (Appeals)-18, Nungambakkam, Chennai – 600 034. 3.The Income Tax Appellate Tribunal, Chennai, “B” Bench. Page 5/6 https://www.mhc.tn.gov.in/judis Tax Case Appeal No.318 of 2021 R. MAHADEVAN, J. and MOHAMMED SHAFFIQ, J. r n s Tax Case Appeal No.318 of 2021

24.08.2022 Page 6/6 https://www.mhc.tn.gov.in/judis