ITO, CHENNAI V. Mettupakkam Foundations, CHENNAI

ITA 2663/CHNY/2014

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 1837 (ITAT-CHENNAI)
• Duration Of Justice: 4 year(s) 7 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-06-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 29-01-2018
• Assessment Year: 2010-2011
• Appeal Filed On: 21-10-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B SAGADEVAN
• Assessee Lawyers: S SRIDHAR

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH: CHENNAI , ! . , ! ' BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBER ./ ITA NOS.2663 & 2664/CHNY/2014 /ASSESSMENT YEARS: 2010-11 & 2011-12 THE INCOME TAX OFFICER, BUSINESS WARD-IV (2), CHENNAI-34. VS. M/S.METTUPAKKAM FOUNDATIONS, NO.11, BASEMENT VARSHA APARTMENT, 1 ST STREET, NEHRU NAGAR, ADYAR, CHENNAI-600 020. [PAN: AAEFM 9675 R] ( ) /APPELLANT) ( *+) /RESPONDENT) ./ ITA NO.687/CHNY/2016 /ASSESSMENT YEAR: 2012-13 THE INCOME TAX OFFICER, CORPORATE WARD-15(3), AYAKAR BHAVAN, WANAPARTHY BLOCK, 2 ND FLOOR, NUNGAMBAKKAM, 121, M.G.ROAD, CHENNAI. VS. M/S.METTUPAKKAM FOUNDATIONS, NO.11, BASEMENT VARSHA APARTMENT, 1 ST STREET, NEHRU NAGAR, ADYAR, CHENNAI-600 020. [PAN: AAEFM 9675 R] ( ) /APPELLANT) ( *+) /RESPONDENT) DEPARTMENT BY : MR.B.SAGADEVAN, JCIT ASSESSEE BY : MR.S.SRIDHAR, ADV. - /DATE OF HEARING : 17.06.2019 - /DATE OF PRONOUNCEMENT : 17.06.2019 ITA NOS.2663 & 2664/CHNY/2014 & ITA NO.687/CHNY/2016 :- 2 -: / O R D E R PER GEORGE MATHAN, JUDICIAL MEMBER : ITA NOS.2663 & 2664/CHNY/2014 ARE THE APPEALS FILE D BY THE REVENUE AGAINST THE ORDER OF THE COMMISSIONER OF IN COME TAX (APPEALS)- V, CHENNAI, IN ITA NO.4 & 1206/13-14(A)-V DATED 23. 07.2014 FOR THE AYS 2010-11 & 2011-12, RESPECTIVELY, AND ITA NO.687/CHN Y/2016 IS AN APPEAL FILED BY THE REVENUE AGAINST THE ORDER OF THE COMMI SSIONER OF INCOME TAX (APPEALS)-15, CHENNAI, IN ITA NO.241/CIT(A)-15/14-1 5 DATED 12.01.2016 FOR THE AY 2012-13. 2. SHRI B.SAGADEVAN, JCIT, REPRESENTED ON BEHALF OF THE REVENUE AND SHRI S.SRIDHAR, ADV., REPRESENTED ON BEHALF OF THE ASSESSEE. 3. IT WAS SUBMITTED BY THE LD.DR THAT THE ONLY ISSU E IN THE REVENUES APPEAL WAS AGAINST THE ACTION OF THE LD.CIT(A) IN A LLOWING THE DEDUCTION U/S.80IB(10) OF THE ACT ON PRO RATA BASIS BY FOLLOW ING THE DECISION OF THE HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF M/ S.VISWAS PROMOTERS (P) LTD., REPORTED IN 383 ITR 49 (MADRAS). IT WAS A SU BMISSION THAT THE ISSUE ON PRO RATA ALLOWANCE IS PENDING IN APPEAL BEFORE T HE HONBLE SUPREME COURT. 4. IN REPLY, THE LD.AR SUBMITTED THAT THE ISSUE IN ALL THE APPEALS WAS IN RESPECT OF 3 HOUSES OUT OF 21 HOUSES COMPLETED, WHE REIN, THERE WAS ITA NOS.2663 & 2664/CHNY/2014 & ITA NO.687/CHNY/2016 :- 3 -: ALLEGED EXCESS OF 1500 SQ.FT. AREA. IT WAS A SUBMI SSION THAT THE LD.CIT(A) HAD FOLLOWED THE DECISION OF THE HONBLE HIGH COURT IN THE CASE OF M/S.VISWAS PROMOTERS (P) LTD. IT WAS A SUBMISSION THAT THE ORDER OF THE LD.CIT(A) WAS LIABLE TO BE UPHELD. 5. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. 6. A PERUSAL OF THE FACTS IN THE PRESENT CASE CLEAR LY SHOWS THAT THE LD.CIT(A) HAS FOLLOWED THE PRINCIPLES LAID DOWN IN THE DECISION OF THE HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF M/ S.VISWAS PROMOTERS (P) LTD., REFERRED TO SUPRA, WHEN HE HAS DIRECTED THAT THE ALLOWANCE U/S.80IB(10) IS ALLOWABLE ON PRO RATA BASIS IN RESP ECT OF HOUSES HAVING AN AREA IN EXCESS OF 1500 SQ.FT. AS IT IS NOTICED THA T THE LD.CIT(A) HAS FOLLOWED THE JUDICIAL DISCIPLINE BY FOLLOWING THE D ECISION OF THE HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF M/S.VISWAS PROMOTERS (P) LTD., WE FIND NO REASON TO INTERFERE WITH THE ORDER OF THE L D.CIT(A). CONSEQUENTLY, THE SAME STANDS UPHELD. 7. IN THE RESULT, THE APPEALS FILED BY THE REVENUE IN ITA NOS.2663 & 2664/CHNY/2014 AND ITA NO.687/CHNY/2016 ARE DISMISS ED. ORDER PRONOUNCED IN THE OPEN COURT ON THE 17 TH DAY OF JUNE, 2019, IN CHENNAI. SD/- SD/- ( . ) ( S. JAYARAMAN ) ! /ACCOUNTANT MEMBER ( ) (GEORGE MATHAN) ! /JUDICIAL MEMBER ITA NOS.2663 & 2664/CHNY/2014 & ITA NO.687/CHNY/2016 :- 4 -: /CHENNAI, 2 /DATED: 17 TH JUNE, 2019. TLN - *34 54 /COPY TO: 1. ) /APPELLANT 4. 6 /CIT 2. *+) /RESPONDENT 5. 4 * /DR 3. 6 ( ) /CIT(A) 6. /GF