Addl. CIT, Trichy V. The Karur Vysya Bank Ltd., Karur

MA 387/CHNY/2017

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 2554 (ITAT-CHENNAI)
• Duration Of Justice: 1 year(s) 5 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 02-11-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2005-2006
• Appeal Filed On: 27-10-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B NAVEEN KUMAR

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, CHENNAI ... , !'# .$%$&, ( #) BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI ABRAHAM P. GEORGE, ACCOUNTANT MEMBER ** / M.P. NOS.387 & 388/CHNY/2017 (IN I.T.A. NO.1341/MDS/2013 & I.T.A. NO.1547/MDS/20 13) & +& / ASSESSMENT YEAR : 2005-06 THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 2(1), TRICHY. V. M/S THE KARUR VYSYA BANK LTD., ERODE ROAD, KARUR 639 001. PAN : AAACT 3373 J (-.& /PETITIONER) (-/.0/ RESPONDENT) -.& 2 3 /PETITIONER BY : SHRI B. NAVEEN KUMAR, JCIT -/.0 2 3 / RESPONDENT BY : MS. LALITHA RAMESWARAN, CA 4 2 5( / DATE OF HEARING : 02.11.2018 67+ 2 5( / DATE OF PRONOUNCEMENT : 02.11.2018 / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER: THE REVENUE HAS FILED THESE MISCELLANEOUS PETITIO NS BEFORE THIS TRIBUNAL ON THE GROUND THAT THERE IS AN ERROR IN THE ORDER OF THIS TRIBUNAL DATED 27.04.2017. 2. SHRI B. NAVEEN KUMAR, THE LD. DEPARTMENTAL REPRESENTATIVE, SUBMITTED THAT THIS TRIBUNAL DELETE D THE ADDITION 2 M.P. NOS.387 & 388/CHNY/17 MADE BY THE ASSESSING OFFICER ON THE GROUND THAT TH E NOTICE UNDER SECTION 143(2) OF THE INCOME-TAX ACT, 1961 (IN SHOR T 'THE ACT') WAS NOT ISSUED WITHIN THE TIME LIMIT. ACCORDING TO THE LD. D.R., THE ASSESSEE RAISED THIS ISSUE BEFORE THIS TRIBUNAL FOR THE FIRST TIME. THIS TRIBUNAL BY FOLLOWING THE JUDGMENT OF MADRAS H IGH COURT IN CIT V. GITSONS ENGINEERING CO. (2015) 370 ITR 87, DECID ED THE ISSUE IN FAVOUR OF THE ASSESSEE. ACCORDING TO THE LD. D.R., NON-ISSUE OF NOTICE UNDER SECTION 143(2) IS NOT AN ERROR IN VIEW OF THE JUDGMENT OF MADRAS HIGH COURT IN AREVA T&D INDIA LTD. V. ACI T (294 ITR 233), THEREFORE, THE ORDER OF THIS TRIBUNAL HAS TO BE MODIFIED. 3. WE HEARD MS. LALITHA RAMESWARAN, THE LD. REPRESE NTATIVE FOR THE ASSESSEE ALSO. THIS TRIBUNAL BY PLACING IT S RELIANCE ON THE JUDGMENT OF MADRAS HIGH COURT IN GITSONS ENGINEERIN G CO. (SUPRA), FOUND THAT NON-ISSUE OF NOTICE UNDER SECTION 143(2) OF THE ACT WITHIN THE TIME PRESCRIBED IS BAD IN LAW, THEREFORE, DELET ED THE PART ADDITION. THIS TRIBUNAL TOOK A CONSCIOUS DECISION BY PLACING RELIANCE ON THE JUDGMENT OF MADRAS HIGH COURT WHICH IS BINDING ON ALL THE AUTHORITIES IN THE STATE. THEREFORE, IF TH E DEPARTMENT IS AGGRIEVED BY THE DECISION OF THE TRIBUNAL OR THE JU DGMENT OF MADRAS HIGH COURT, IT IS UPTO THEM TO TAKE UP THE MATTER B EFORE THE HIGHER FORUM IN A MANNER KNOWN TO LAW. MODIFYING THE ORDE R OR REVIEWING 3 M.P. NOS.387 & 388/CHNY/17 THE ORDER IS BEYOND THE SCOPE OF THE PROVISIONS OF SECTION 254(2) OF THE ACT. UNDER SECTION 254(2) OF THE ACT, ONLY A PRIMA FACIE ERROR, WHICH IS APPARENT ON THE FACE OF RECORD, CAN BE REC TIFIED. IN THIS CASE, THE TRIBUNAL TOOK A CONSCIOUS DECISION ON THE BASIS OF THE BINDING JUDGMENT OF THE JURISDICTIONAL HIGH COURT. THEREFORE, THIS TRIBUNAL FINDS NO MERIT IN THE MISCELLANEOUS PETITI ON FILED BY THE REVENUE. ACCORDINGLY, THE SAME IS DISMISSED. 4. WITH THE ABOVE OBSERVATION, BOTH THE MISCELLANEO US PETITIONS FILED BY THE REVENUE STAND DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT AFTER CONCLUSI ON OF HEARING ON 2 ND NOVEMBER, 2018 AT CHENNAI. SD/- SD/- (!'# .$%$& ) ( ... ) (ABRAHAM P. GEORGE) (N.R.S. GANE SAN) ( / ACCOUNTANT MEMBER /JUDICIAL MEMBER /CHENNAI, 9 /DATED, THE 2 ND NOVEMBER, 2018. KRI. 2 -5:* ;*+5 /COPY TO: 1. -.& / PETITIONER 2. -/.0 /RESPONDENT 3. 4 <5 () /CIT(A) 4. 4 <5 /CIT 5. *= -5 /DR 6. >& ? /GF.