Income Tax Appellate Tribunal - Mumbai
Dcit, New Delhi vs M/S. Ekl Appliances Ltd., New Delhi on 21 June, 2023
IN THE INCOME TAX APPELLATE TRIBUNAL
MUMBAI "E" BENCH, MUMBAI
Before Shri Amit Shukla, Judicial Member
and
Shri Prashant Maharishi, Accountant Member
ITA Nos. 2064 & 3402/Mum/2012
(Assessment Years: 2003-04 & 2004-05)
DCIT, Circle -11(1) M/s. EKL Appliance Ltd.
Room No. 312, C.R. Building (Amalgamated with Videocon Industried Ltd.)
New Delhi Vs. A-22, Green Park, Aurobindo Marg
New Delhi 110016
PAN - AAACE7192G
Appellant Respondent
Appellant by: None
Respondent by: Shri Ankush Kapoor, CIT-DR
Date of Hearing: 03.04.2023
Date of Pronouncement: 21.06.2023
ORDER
Per: Prashant Maharishi, JM
01. These are two appeals filed for Assessment Years (AY) 2003-04 and 2004-05 by the DCIT, Circle-11(1), New Delhi (learned AO) against EKL Appliance Ltd.
02. The learned D.R. submitted the revised Form Nos. 36 in the above two appeals stating that these appeals have now been transferred to Mumbai. The revised Form Nos. 36 are filed in the name of M/s. Videocon Industries Ltd. being successor of EKL Appliance Ltd. for the reason that EKL Appliance Ltd. was amalgamated with Videocon Industries Ltd.
03. The fact shows that EKL Ltd. was amalgamated with Videocon Industries Ltd. w.e.f. 01.01.2005 as per the order of the Hon'ble 2 ITA Nos. 2064 & 3402/Mum/2012 M/s. EKL Appliance Ltd.
Bombay High Court dated 30th June, 2006 and therefore the above revised memorandum of appeal was filed by the Revenue.
04. Now we find that Videocon Industries Ltd. has also undergone a consolidated corporate insolvency process pursuant to the order of the National Company Law Tribunal under section 31 of the IBC, 2016. Further as per the resolution plan submitted by the Twinstar Technology Ltd. has been approved. Therefore now the revised Form Nos. 36 also has become redundant. In the approved resolution plan there is no liability admitted with respect to the Income Tax Department. Accordingly the appeals filed by the learned AO have become infructuous.
05. If the learned AO still proposes to contest these appeals, he must establish that the liability arising out of these two appeals are covered in the insolvency resolution plan. As per the order dated 08.06.2021 we did not find that the Income Tax dues in these appeals has at all been considered either the unsecured financial creditors or operational creditors.
06. In view of the above, the appeals of the Revenue become infructuous and therefore the same are dismissed. However, we give liberty to the learned AO that in case latter on if NCLAT or NCLT admits the liabilityof tax dues involved in these appeals in the successful resolution plan of Twinstar Technologies Ltd., the application for recall of this order may be made which would be based on respective orders.
07. In the result, the appeals filed by the learned AO are dismissed.
Order pronounced in the open Court on 21st June, 2023.
Sd/- Sd/-
(Amit Shukla) (Prashant Maharishi)
Judicial Member Accountant Member
Mumbai, Dated: 21st June, 2023
3 ITA Nos. 2064 & 3402/Mum/2012
M/s. EKL Appliance Ltd.
Copy to:
1. The Appellant
2. The Respondent
3. The CIT - concerned
4. The DR, "E" Bench, ITAT, Mumbai
5. Guard File
By Order
//True Copy//
Assistant Registrar
ITAT, Mumbai
n.p.