DCIT CEN CIR 36, MUMBAI vs. AKRUTI KAILASH CONSTRUCITON, MUMBAI
Before: SHRI SAKTIJIT DEY, HONBLE & SHRI GIRISH AGRAWALAssessment Year: 2009-10
PER GIRISH AGRAWAL, ACCOUNTANT MEMBER: This appeal filed by the Revenue is against the order of Ld. CIT(A)- 41, Mumbai, vide order no. CIT(A)-41/DCC-36/IT-104/11-12, dated 02.01.2013, passed against the assessment order by Deputy Commissioner of Income-tax, Central Circle-36, Mumbai, u/s. 143(3) of the Income-tax Act, 1961 (hereinafter referred to as the “Act”), dated 29.03.2011, for Assessment Year 2009-10. 2 Akruti Kailash Construction Assessment Year 2009-10
Grounds taken by the Revenue are reproduced as under:
“1. Whether on the facts and in the circumstances of the case the Ld. CIT(A) was right in deleting the addition made by A.O u/s 45(4) of the L.T. Act, 1961 of long term capital gain of Rs 21,75,15,467/- in the hands of the assessee firm on account of the payment made to the retiring partners.
Whether on the facts and in the circumstances of the case the Ld. CIT(A) erred in not holding that colourable device has been adopted by the assessee firm in permitting the old partners to retire from the firm by receiving a consideration amount of Rs. 21.45 crores would amount to transfer attracting capital gain.
Whether on the facts and in the circumstances of the case the Ld. CIT(A) erred in differentiating the facts of the assessee and the facts in case of Gurunath Talkies, [226 (CTR) 474 (Kar)]..”
Brief facts of the case are that assessment was completed by assessing capital gains u/s.45(4) of the Act amounting to Rs.21,75,15,467/- in the hands of the assessee. Aggrieved, assessee filed an appeal before the ld. CIT(A) on 23.04.2011, who deleted the same. Aggrieved, Revenue is in appeal before the Tribunal.
At the outset, we note that assessee placed on record Form-1, dated 28.01.2025, wherein it opted to resolve the dispute in this appeal under ‘Vivad Se Vishwas Scheme-2024’ (VSV, 2024 scheme). Form – 3, dated 06.08.2025 for deposit of amount required under the VSV Scheme of Rs.2,71,08,953/- alongwith its challan is also placed on record.
Considering these facts on record and assessee having paid the demand as required under the said scheme, we find it appropriate to dismiss the appeal as withdrawn, pursuant to the option availed by assessee for resolving the dispute in this appeal under VSV, 2024. Accordingly, appeal of the revenue is dismissed with a liberty to 3 Akruti Kailash Construction Assessment Year 2009-10
restore/revive the appeal, in case the application for ‘Vivad Se Vishwas
Scheme-2024’ do not materialize or is not accepted by the department.
In the result, appeal of the revenue is dismissed as withdrawn.
Order is pronounced in the open court on 14 August, 2025 (Saktijit Dey)
Accountant Member
Dated: 14 August, 2025
MP, Sr.P.S.
Copy to :
1 The Appellant
2 The Respondent
3 DR, ITAT, Mumbai
4
5
Guard File
CIT
BY ORDER,
(Dy./Asstt.