Madras High Court
Shriram Chits Tamilnadu (P) Ltd vs The Acit on 28 November, 2018
Author: T.S.Sivagnanam
Bench: T.S.Sivagnanam, N.Sathish Kumar
1
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 28.11.2018
CORAM:
THE HON'BLE MR. JUSTICE T.S.SIVAGNANAM
and
THE HON'BLE MR. JUSTICE N.SATHISH KUMAR
T.C.A.No.233 of 2011
Shriram Chits Tamilnadu (P) Ltd.,
No.149, Greams Road,
Mount Road, Chennai – 6.
...Appellant
Vs
The ACIT, Income Tax Officer,
Company Circle VI(2),
No.121, Nungambakkam High Road,
Chennai – 600 034.
...Respondent
Tax Case Appeal is filed under Section 260-A of the Income Tax
Act, 1961 (for brevity 'the Act') against the order of the Income Tax
Appellate Tribunal, Chennai 'C' Bench, dated 15.03.2011 in ITA
No.1661/Mds/2010.
For Appellant : Mr.R.Sivaraman
For Respondent : Mr.T.R.Senthil Kumar
learned senior standing counsel
http://www.judis.nic.in
2
JUDGMENT
(Judgment of the Court was delivered by T.S.SIVAGNANAM, J.) This Tax Case Appeal is filed by the assessee under Section 260-A of the Income Tax Act, 1961 (for brevity 'the Act') against the order of the Income Tax Appellate Tribunal, Chennai 'C' Bench, dated 15.03.2011 in ITA No.1661/Mds/2010.
2.Heard Mr.R.Sivaraman, learned counsel for the appellant and Mr.T.R.Senthil Kumar, learned Senior Standing Counsel for the respondents.
3. This tax case appeal filed by the assessee has been admitted on the following substantial question of law:
“Whether in law, the dividends received by the appellant as a chit subscriber, is exempt from taxation on grounds of mutuality between all the chit subscribers including the appellant?”
4. Identical question was considered by this Court in a batch of cases in respect of assessee's sister concern engaged in identical business activity in T.C.(A).Nos.141 of 2004 etc., batch dated http://www.judis.nic.in 3 30.03.2012 (Shriram Chits & Investments (P) Ltd., and others vs. The Assistant Commissioner of Income Tax and others).
5. The Division Bench of this Court, by the said judgment, rejected the said question on the ground that the assessee has not made any serious argument and thus, given up the said question regarding mutuality.
6. Thus, following the decision of the Hon'ble Division Bench of this Court in the aforementioned judgement in the case of the sister concern of the petitioner rejecting the identical question, we dismiss this appeal and answer the Substantial Question of Law against the assessee. No costs.
(T.S.S.,J) (N.S.K.,J)
mrm 28.11.2018
To
Income Tax Appellate Tribunal, 'C' Bench, Chennai. http://www.judis.nic.in 4 T.S.SIVAGNANAM, J.
AND N.SATHISH KUMAR, J.
mrm/kmm T.C.(A).No.233 of 2011 28.11.2018 http://www.judis.nic.in