The Commissioner of Income-tax, Business Ward IV (3), Chennai v. Pelican Estates and Developers
[Citation -2020-LL-0807-8]

Citation 2020-LL-0807-8
Appellant Name The Commissioner of Income-tax, Business Ward IV (3), Chennai
Respondent Name Pelican Estates and Developers
Court HIGH COURT OF MADRAS
Relevant Act Income-tax
Date of Order 07/08/2020
Judgment View Judgment
Keyword Tags development agreement • immovable property • transfer of land • monetary limit • tax effect • advance
Bot Summary: Order dt.07.08.2020 in T.C.A.No. For appellant : Mr.Karthik Ranganathan Senior Standing Counsel JUDGMENT The Court was held by Video Conference, as per the Resolution of the Full Court dated 3 July 2020, by Judges at their respective residence and the counsel, staff of the Court appearing from their respective residences. This Tax Case Appeal has been filed by the Revenue, calling in question the correctness of the order passed by the Income Tax Appellate Tribunal, B Bench in ITA No.1048/Mds/2006, by raising the following substantial questions of law: 1. Whether on the facts and circumstances of the case, the Tribunal is right in holding that the Development Agreement is not in instrument of transfer of land contrary to Advance Rulings in 294 ITR 196 2. Whether on the facts and circumstances of the case, the Tribunal is right in rejecting the plea that the right to acquire conveyance of an immovable property is a capital asset 3. When the matter is taken up for hearing, learned Standing Counsel brought to our notice the Circular issued by the Central Board of Direct Taxes vide Circular No.17/2019 dated 8 August 2019, wherein, it is stipulated that appeals shall not be filed/pursued by the Department before the High Court in cases where the tax effect does not exceed Rs.1,00,00,000/-. Pelican Estates and Publishers 3/4 withdrawn, keeping open the substantial questions of law for determination in appropriate cases.


Order dt.07.08.2020 in T.C.A.No.1137 of 2009 C.I.T. vs.M/s.Pelican Estates and Publishers 1/4 IN HIGH COURT OF JUDICATURE AT MADRAS DATED: 07.08.2020 CORAM HON'BLE DR.JUSTICE VINEET KOTHARI AND HON'BLE MR.JUSTICE KRISHNAN RAMASAMY T.C.A.No.1137 of 2009 Commissioner of Income Tax, Business Ward IV (3) Nungambakkam High Road, Chennai ... Appellant vs. M/s.Pelican Estates and Developers, Shoba Flat No.B2, 26, Old No.12, 10th Avenue, Ashok Nagar, Chennai 83 ... Respondent Prayer ::- Appeal filed against order of Income Tax Appellate Tribunal, B Bench, dated 30.04.2009 in I.T.A.No.1048/Mds/2006. For appellant : Mr.Karthik Ranganathan Senior Standing Counsel JUDGMENT (Made by DR.VINEET KOTHARI, J.) Court was held by Video Conference, as per Resolution of Full Court dated 3 July 2020, by Judges at their respective residence and counsel, staff of Court appearing from their respective residences. http://www.judis.nic.in Order dt.07.08.2020 in T.C.A.No.1137 of 2009 C.I.T. vs.M/s.Pelican Estates and Publishers 2/4 2. This Tax Case Appeal has been filed by Revenue, calling in question correctness of order passed by Income Tax Appellate Tribunal, B Bench in ITA No.1048/Mds/2006, by raising following substantial questions of law: "1. Whether on facts and circumstances of case, Tribunal is right in holding that Development Agreement is not in instrument of transfer of land contrary to Advance Rulings in 294 ITR 196 ? 2. Whether on facts and circumstances of case, Tribunal is right in rejecting plea that right to acquire conveyance of immovable property is capital asset? 3. When matter is taken up for hearing, learned Standing Counsel brought to our notice Circular issued by Central Board of Direct Taxes vide Circular No.17/2019 dated 8 August 2019, wherein, it is stipulated that appeals shall not be filed/pursued by Department before High Court in cases where tax effect does not exceed Rs.1,00,00,000/- (Rupees One Crore). 4. In instant case, tax effect is said to be less than monetary limit imposed and therefore, Appeal filed by Revenue is dismissed as http://www.judis.nic.in Order dt.07.08.2020 in T.C.A.No.1137 of 2009 C.I.T. vs.M/s.Pelican Estates and Publishers 3/4 withdrawn, keeping open substantial questions of law for determination in appropriate cases. No costs. 5. Registry is directed to send copy of judgment to Respondent / Assessee in address given in Appeal. (V.K.,J.) (K.R.,J.) 07.08.2020 kpl/tar To M/s.Pelican Estates and Developers, Shoba Flat No.B2, 26, Old No.12, 10th Avenue, Ashok Nagar, Chennai 83 http://www.judis.nic.in Order dt.07.08.2020 in T.C.A.No.1137 of 2009 C.I.T. vs.M/s.Pelican Estates and Publishers 4/4 DR.VINEET KOTHARI, J. and KRISHNAN RAMASAMY, J. (tar) T.C.A.No.1137 of 2009 07.08.2020 http://www.judis.nic.in Commissioner of Income-tax, Business Ward IV (3), Chennai v. Pelican Estates and Developer
Report Error