What did the Tribunal hold?

Following the Madras High Court's decision, the ITAT dismissed the appeals with liberty to the assessee to seek restoration if their Vivad-se-Vishwas declaration is not accepted.

The assessee company, M/s. Bayer Cropscience Ltd. (successor to Monsanto India Limited), filed applications under the Vivad-se-Vishwas Scheme, 2020. The appeals were pending before the ITAT.

What were the issues?

The primary issue was how to proceed with pending appeals when the assessee opts for the Vivad-se-Vishwas Scheme.

Monsanto India Limited vs DCIT | ITAT Mumbai 2021

Income Tax Appellate Tribunal, VIRTUAL COURT

Before: SHRI M.BALAGANESH, AM & SHRI PAVAN KUMAR GADALE, JM

For Appellant: Ms. Jasmine

For Respondent: Shri Bharat Andhe

Hearing: 15/02/2021Pronounced: 15/02/2021

आदेश / O R D E R PER BENCH:

These cross appeals in 428/Mum/2019, 429/Mum/2019, 480/Mum/2019 & 481/Mum/2019 for A.Y.2013-14, 2014- 15 & 2015-16 respectively arise out of the order by the ld. Commissioner of Income Tax (Appeals)-17, Mumbai in appeal No.CIT(A)-17/IT- 231/10839/16-17, CIT(A)-17/IT-232/10965/16-17, CIT(A)-17/IT- 233/10224/17-18 dated 29/11/2018 (ld. CIT(A) in short) against the order of assessment passed u/s.143(3) of the Income Tax Act, 1961 (hereinafter referred to as Act) dated 15/11/2016,29/12/2016, 30/11/2017 by the ld. Dy. Commissioner of Income Tax-10(2)(2), Mumbai (hereinafter referred to as ld. AO).

At the outset, the ld. Counsel for the assessee stated in letter dated 24/09/2020 that assessee had preferred an application under Vivad-se-Vishwas Scheme 2020 in respect of the aforesaid assessment years by filing Form No.3 before the competent authority.

M/s. Bayer Cropscience Ltd., (Successor to Monsanto India Limited)

We have heard rival submissions and perused the materials available on record. Since, the assessee had already filed an application under direct tax “Vivad Se Viswas Scheme Act 2020”, there is no need to keep the appeal pending before us in view of the decision of Hon'ble Madras High Court in the case of Nannusamy Mohan (HUF) vs. ACIT in T.C.A. No.372 of 2020 dated 16.10.2020, wherein the Hon‟ble High Court after considering the intention of the assessee to avail the benefit of „Vivad se Vishwas Scheme-2020‟ (VSV scheme), had dismissed the appeal by observing in Para 7 to 9 as under:-

“7. As observed, the assessee is given liberty to restore this appeal in the event the ultimate decision to be taken on the declaration to be 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 Division Bench for orders.

In the light of the above, we direct the appellant/ assessee to file the Form No.I on or before 20.11.2020 and the competent authority shall process the application/ declaration in accordance with the Act and pass appropriate orders as expeditiously as possible preferably within a period of 6 (6) weeks from the date on which the declaration is filed in the proper form.

With this declaration, the Tax Case appeal stands disposed of with the aforementioned liberty and Consequently the Substantial Question of Law are left upon. No costs.”

In the light of the view taken by Hon‟ble Madras High Court cited (supra), we also give liberty to the assessee to get the appeal restored in M/s. Bayer Cropscience Ltd., (Successor to Monsanto India Limited)

the event that the assessee does not succeed on the declaration filed by the assessee under direct tax “Vivad Se Viswas Scheme-2020”. In other words if the assessee‟s declaration to be filed is not accepted by the Revenue for any reason whatsoever, the assessee can make a prayer before the Bench for recalling of the order by filing a miscellaneous application for restoration of appeal. The Registry will place such petition before the Bench concerned.

In view of the aforesaid observations, we dismiss these cross appeals with a liberty to get them recalled in the eventuality of assessee‟s declaration not getting accepted by the Revenue.

In the result, the appeals of the assessee as well as that of the revenue are dismissed.

Order pronounced in open Court on 15/02/2021.

MONSANTO INDIA LIMITED,MUMBAI vs. DCIT- 10(2)(2), MUMBAI

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