PRINCIPAL COMMISSIONER OF IN vs. M.KIRAN KUMAR

T.C.A.No.804 of 2019 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED 25.08.2022 CORAM THE HON'BLE Mr. JUSTICE R. MAHADEVAN AND THE HON'BLE Mr. JUSTICE MOHAMMED SHAFFIQ T.C.A.No.804 of 2019 The Principal Commissioner of Income Tax Central-I No.108, Nungambakkam High Road Chennai 600 034

.. Appellant Vs. M.Kiran Kumar 123, Usman Road T.Nagar, Chennai 600 017 PAN : ACHPM 2247 E

.. Respondent Tax Case Appeal filed under Section 260-A of the Income Tax Act, 1961, against the order dated 01.04.2019 passed by the Income Tax Appellate Tribunal 'A' Bench, Chennai, in I.T.A.No.354/Chny/2019. For Appellant Mr.J.Narayanaswamy Standing Counsel For Respondent Mr.Akhil Bansali 1/4 https://www.mhc.tn.gov.in/judis T.C.A.No.804 of 2019 J U D G M E N T (Judgment was delivered by R. MAHADEVAN, J.) This Tax Case Appeal arises from the order dated 01.04.2019 passed by the Income Tax Appellate Tribunal 'A' Bench, Chennai, in I.T.A.No. 354/Chny/2019, relating to the assessment year 2012-13, by raising the following substantial questions of law: “(i) Whether the Appellate Tribunal was right in directing the Assessing Officer to re-examine the issue afresh by bringing on record as to how the assessee was involved in promoting the company in which he invested or his role in inflating the shares of those companies has no purpose or relevance, as the entire racket of bogus long term capital gain has been established beyond doubt by the Department? (ii) Whether the Tribunal is right in not following the judgment of the Hon'ble High Court of Madras in the case of Tharakumari Vs. The Income Tax Officer in T.C.A.No.128 of 2019 dated 11.02.2019, wherein on similar facts of the case, the Hon'ble High Court upheld the orders of the lower authorities in taxing bogus long term capital gain on penny stocks? (iii) Whether ITAT is right in directing the Assessing Officer to ascertain whether notice u/s 143(2) of the Act was served in spite of the fat that the assessee had participated in the assessment proceedings by submitting details in response to notice u/s 142(1) dated 22.09.2014, which is within the scope of the provisions of section 292BB of the Income Tax Act? (iv) Whether the Tribunal is right in not following the judgment of the Hon'ble Supreme Court in the case of CIT Vs. Laxman Das Khandelwal in Civil Appeal Nos.6261-6262 of 2019 dated 31.08.2019, wherein it is held that the scope of the provisions of section 292BB of the Act is to make service of notice having certain infirmities to be proper and valid, if there was requisite participation on part of the assessee?" 2. When this matter was taken up for consideration, the learned counsel 2/4 https://www.mhc.tn.gov.in/judis T.C.A.No.804 of 2019 appearing for the respondent/assessee 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 22.04.2021. The learned counsel has also filed Form-5 dated 22.04.2021 to that effect. 3. The aforesaid submission made by the learned counsel for the respondent/assessee has also been fairly conceded by the learned Standing Counsel appearing for the appellant/Revenue. 4. 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, this Tax Case Appeal stands disposed of. No costs. [R.M.D,J.] [M.S.Q, J.] gya 25.08.2022

R. MAHADEVAN, J. AND 3/4 https://www.mhc.tn.gov.in/judis T.C.A.No.804 of 2019 MOHAMMED SHAFFIQ, J. gya To 1.The Assistant Commissioner of Income Tax Company Circle-1(4), Chennai 2. The Commissioner of Income Tax (Appeals)-18 Chennai 3.The Income Tax Appellate Tribunal 'A' Bench, Chennai T.C.A.No.804 of 2019 25.08.2022

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