IN THE HIGH COURT OF JUDICATURE AT MADRAS Dated:13.02.2017 Coram:
The Hon'ble Mr.Justice HULUVADI G.RAMESH AND The Hon'ble Dr. Justice ANITA SUMANTH TAX CASE APPEAL Nos.119, 120 and 121 of 2017 Commissioner of Income Tax, Corporate Circle - 2, Madurai. .. Appellant in all appeals Versus M/s. Thiagarajar Mills Limited, Thiagarajar Mills Premises, Kappalu, Madurai. ..Respondent in all appeals Tax Case Appeals filed under Section 260-A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal "C" Bench, Chennai dated 19.2.2016 passed in I.T.A.Nos.1417/Mds/2015, 1419/MDS/2015 and 1418/MDS/2015 respectively.
For Appellant in all appeals .. Mr.M.Swaminathan
C O M M O N J U D G M E N T
These Tax Case Appeals are filed by the Revenue calling in question the correctness of the order passed by the Income Tax Appellate Tribunal, "C" Bench, Chennai dated 19.2.2016 in I.T.A.Nos.1417/Mds/2015, 1418/MDS/2015 and 1419/MDS/2015, in respect of the Assessment Years 2009-10, 2010-11 and 2011-12 respectively. The following substantial questions of law have been raised for our consideration:
'1. Whether on the facts and circumstances of the case, the Appellate Tribunal was in right in allowing the deduction under section 80IA of the Income Tax Act, when there is no positive income from the Industrial undertaking during the initial assessment year?
2. Whether on the facts and circumstances of the case the Income Tax Appellate Tribunal was right in holding that the assessee is entitled to deduction under section 80IA following the decision of the jurisdictional High Court in the case of M/s.Velayuthasamy Spinning Mills (340 ITR 477) when the same is pending before the Supreme Court in SLP Civil 1136/11?
3. Whether on the facts and circumstances of the case the Income Tax Appellate Tribunal was correct in holding that the initial assessment year to section 80IA (5) would only mean the year of claim of deduction under section 80IA and not the year of commencement of eligible business?'
2. Learned counsel appearing for the Revenue would fairly bring to our notice that the decision of this Court in the case of Velayuthasamy Spinning Mills Vs Assistant Commissioner of Income-tax, Tirupur (340 ITR 477) deciding the issue in question, in favour of the Assessee has confirmed by the Hon'ble Supreme Court in Assistant Commissioner of Income-tax, Tirupur Vs. Velayudhaswamy Spinning Mills (P) Ltd (2016) 76 taxmann.com 176(SC)
3. The Tax Case (Appeals) stand dismissed. No costs.
(H.G.R.,J) (A.S.M.,J) 13.02.2017
msr/sl HULUVADI G. RAMESH, J.
& DR.ANITA SUMANTH, J.
msr/sl TAX CASE APPEAL Nos.119, 120 and 121 of 2017