COMMISSIONER OF INCOME TAX vs SRI P SHYAMARAJU

IN THE HIGH COURT OF KARNATAKA AT BENGALURU

DATED THIS THE 20TH DAY OF OCTOBER 2020

PRESENT

THE HON’BLE MR. JUSTICE ALOK ARADHE

AND

THE HON’BLE MR. JUSTICE H.T.NARENDRA PRASAD

I.T.A. NO.134 OF 2012

BETWEEN:

COMMISSIONER OF INCOME-TAX

CENTRAL, C.R. BUILDINGS,

QUEENS ROAD, BANGALORE.

ASSISTANT COMMISSIONER OF INCOME-TAX,

CIRCLE-(2)2,

BANGALORE.

... APPELLANTS (BY MR. E.I.SANMATHI, ADV.)

AND:

SRI P.SHYAMARAJU IV MAIN, NO.343, UPPER PALACE ORCHARDS, SADASHIVNAGAR, BANGALORE-80. ... RESPONDENT (MR. V.CHANDRASHEKAR, ADV.)

- - -

THIS I.T.A. IS FILED UNDER SECTION 260-A OF I.T.ACT, 1961, ARISING OUT OF ORDER DATED 06/01/2012 PASSED IN ITA NO.441/BANG/2010 AND ITA NO.506/B/10 FOR THE ASSESSMENT YEAR 2006-07, PRAYING TO: I. FORMULATE THE SUBSTANTIAL QUESTION OF LAW STATED THEREIN, II. SET ASIDE THE APPELLATE ORDER DATED 06/01/2012 PASSED BY THE ITAT, ‘B’ BENCH, BANGALORE IN APPEAL PROCEEDINGS ITA NO.441/BANG/2010 AND ITA NO.506/B/2010, AS SOUGHT FOR IN THIS APPEAL.

THIS I.T.A. COMING ON FOR FINAL HEARING, THIS DAY, ALOK ARADHE J., DELIVERED THE FOLLOWING:

JUDGMENT

Mr. E.I.Sanmathi, learned counsel for the revenue.

Mr.V.Chandrashekar, learned counsel for the assessee.

This appeal under Section 260-A of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’, for short) has been preferred by the revenue. The subject matter of the appeal pertains to the Assessment Year 2006-07. The appeal was admitted by a Bench of this Court vide order dated 09.10.2012 on the following substantial questions of law:

“1. Whether, on the facts and in the circumstances of the case, the tribunal was justified in annulling the assessments even when the said assessments were done in accordance with provisions Section 158-BC r.w.s 143(3) of I.T.Act?

Whether, on the facts and in the circumstances of the case, the tribunal was justified on facts and law to annulling block assessment order passed by the assessing authority even the rulings of this Hon’ble High Court in ITA NO.6005 of 2010 and 6006 of 2010 has not reached finality as SLP preferred against said order being SLP No.17132- 17133/2011 are pending before Supreme Court?

2(A). Whether, the appellate order passed by the tribunal annulling the assessment concluded in the respondent-assessee’s case on account of issuance of joint arrant is sustainable in terms of the subsequent Amendment involving

insertion of Sec.292-CC in the Income Tax Act by the Finance Act 2012 with retrospective effect from 1-4-1976?”

Whether, on the facts and in the circumstances of the case, the tribunal was justified on facts and law to annulling block assessment order?”

We have heard the learned counsel for the parties.

For the reasons assigned by us in the Judgment passed today in ITA No.132/2012, the order passed by the Tribunal dated 06.01.2012 is hereby quashed.

Needless to state that all contentions of both the parties are kept open on merits of the matter.

In view of the fact that we have remitted the matter to the Tribunal, it is not necessary for us to

answer the substantial questions of law framed in this appeal.

The Tribunal shall make an endeavor to dispose of the appeal within a period of six months from the date of receipt of copy of this order.

In the result, the appeal is disposed of.

Sd/- JUDGE

dn/- CT-HR

COMMISSIONER OF INCOME TAX vs. SRI P SHYAMARAJU