The Deputy Commissioner of Income –tax, Circle -2, Tirupur v. M/s.Vennila Clothing Company , (Previously M/s.Ramraj Handlooms) - 2016-LL-0923-155

Citation	2016-LL-0923-155
Appellant Name	The Deputy Commissioner of Income –tax, Circle -2, Tirupur
Respondent Name	M/s.Vennila Clothing Company , (Previously M/s.Ramraj Handlooms)
Court	ITAT-Chennai
Relevant Act	Income-tax
Date of Order	23/09/2016
Assessment Year	2013-14
Judgment	View Judgment
Keyword Tags	brought forward loss
Bot Summary:	Since common issue arises for consideration in all the appeals, we heard the same together and disposing of the same by this common order. The department representative further submitted that the revenue has already filed an appeal before the Apex Court and the same is pending. The CBDT instructed its officers to accept the judgment of the Madras High Court and withdraw all the pending appeals. The appeals filed by the revenue before this Tribunal is not maintainable. Admittedly, in all the four appeals, issue arises for consideration is setting off the brought forward loss for the purpose of computing eligible deduction under Section 80IA. It is not in dispute that the Madras High Court in Shri Velayudhaswamy Spinning Mills P.Ltd. The CBDT instructed its officers not to file any appeal wherever the CIT(A) has followed the judgment of the 4 I.T.A. No.1700 , 1701, 1702 1703/Mds/2016 Madras High Court and also instructed its officers to withdraw its appeals wherever it is pending. In the result, all the four appeals filed by the revenue are dismissed.

IN INCOME TAX APPELLATE TRIBUNAL C BENCH, CHENNAI BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER ITA No. 1700/Mds/2016 Assessment Year : 2013-14 Deputy Commissioner of v. M/s.Vennila Clothing Company , Income tax, Circle -2, (Previously M/s.Ramraj 121,Sixty Feet Road, Handlooms), Tirupur 641 602. No.31-A, Thulasi Rao Street, Tirupur 641 604. PAN : AAHFR 2641F ( Appellant) (Respondent) ITA No. 1701/Mds/2016 Assessment Year : 2013-14 Deputy Commissioner of M/s. Sudhan Spinning Mills Pvt.Ltd., Income tax, Circle -2, v. No.207/86, Mangalam Road, 121,Sixty Feet Road, Karuvampalayam, Tirupur 641 602. Tirupur 641 604. PAN : AADCS0670E (Appellant) ( Respondent) ITA No. 1702/Mds/2016 Assessment Year : 2013-14 Deputy Commissioner of v. M/s.Gomathi Spinning Mills Pvt.Ltd., Income tax, Circle -2, No.20, Thillai Nagar, Dharapuram Road, 121,Sixty Feet Road, Tirupur 641 608. Tirupur 641 602. PAN: AACCG2292B (Appellant) ( Respondent) 2 I.T.A. No.1700 , 1701, 1702 & 1703/Mds/2016 ITA No. 1703/Mds/2016 Assessment Year : 2013-14 Deputy Commissioner of v. M/s. Meera Textiles Pvt.Ltd., Income tax, Circle -2, No.20, Thillai Nagar, Dharapuram Road, 121,Sixty Feet Road, Tirupur 641 608. Tirupur 641 602. PAN: AABCM 9581E ( Appellant) (Respondent) Appellant by : Shri A.V.Shreekanth, JCIT /Respondent by : N.Vijay Kumar, C.A. Date of Hearing : 30.08.2016 /Date of Pronouncement : 23.09.2016 O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER: All four appeals of revenue relates to four independent assessees and directed against respective order of CIT(A) -3, Coimbatore dated 21.12.2015. Since common issue arises for consideration in all appeals, we heard same together and disposing of same by this common order. 2. Shri A.V.Shreekanth, learned representative for department submitted that only issue arises for consideration is with regard to setting of all brought forward loss for purpose of computing eligible deduction under Section 80IA of Act. During course of hearing, department representative very fairly submitted that issue is covered by judgment of 3 I.T.A. No.1700 , 1701, 1702 & 1703/Mds/2016 Madras High Court in case of Shri Velayudhaswamy Spinning Mills P.Ltd. reported in 231 CTR (Mds) 368. department representative further submitted that revenue has already filed appeal before Apex Court and same is pending. 3. On contrary, Shri N.Vijay Kumar, learned representative for assessee submitted that setting off brought forward loss for purpose of computing eligible deduction under Section 80IA was decided by Madras High Court in favour of assessee in case of Shri Velayudhaswamy Spinning Mills P.Ltd. cited supra. CBDT instructed its officers to accept judgment of Madras High Court and withdraw all pending appeals. Inspite of this instruction, revenue has filed present appeals even though judgment of Madras High Court is in favour of assessee. Therefore, appeals filed by revenue before this Tribunal is not maintainable. 4. We have considered rival submissions on either side and also perused material available on record. Admittedly, in all four appeals, issue arises for consideration is setting off brought forward loss for purpose of computing eligible deduction under Section 80IA. It is not in dispute that Madras High Court in Shri Velayudhaswamy Spinning Mills P.Ltd. cited supra examined this issue and decided same in favour of assessee. Therefore, issue is covered in favour of assessee as rightly submitted by learned representative for assessee. CBDT instructed its officers not to file any appeal wherever CIT(A) has followed judgment of 4 I.T.A. No.1700 , 1701, 1702 & 1703/Mds/2016 Madras High Court and also instructed its officers to withdraw its appeals wherever it is pending. 5. In view of this instruction, this Tribunal is of considered opinion that appeals filed by revenue are not maintainable. Accordingly, same is dismissed. 6. In result, all four appeals filed by revenue are dismissed. Order pronounced on 23rd September, 2016 at Chennai. Sd/- Sd/- (A. Mohan Alankamony) (N.R.S. Ganesan) Accountant Member Judicial Member Chennai, Dated, 23rd September, 2016. sp. Copy to: 1. Appellant 2. Respondent 3. CIT(A) 4. CIT, 5. DR 6. /GF. Deputy Commissioner of Income tax, Circle -2, Tirupur v. M/s.Vennila Clothing Company , (Previously M/s.Ramraj Handlooms)

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