This order dismisses an Income Tax appeal. The High Court held that since the Tribunal followed its previous ruling (CIT v. Discovery Estates Private Ltd. 2013) for the specific case, no error was committed. However, the decision is subject to the pending Supreme Court judgment on the same batch of appeals.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
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DISCOVERY ESTATES PVT. LTD. ..... Appellant
Through : Sh. Satyen Sethi and Sh. Arta Trana Panda, Advocate, for appellant.
versus
PR. COMMISSIONER OF INCOME TAX-XIII, & ANR.
..... Respondents Through : Sh. Ruchir Bhatia, Advocate, for respondent.
CORAM:
HON'BLE MR. JUSTICE S. RAVINDRA BHAT HON'BLE MR. JUSTICE A. K. CHAWLA
O R D E R % 02.04.2018
The question of law sought to be urged in this appeal is whether the rental from unsold shops, which the appellant claimed as ‘stock-in-trade’ could be taxed as ‘income from house property’ and not under the ‘profits and gains of business’, as claimed?
The records indicate that the Tribunal followed the previous ruling of this Court in CIT v. Discovery Estates Private Ltd. 2013 (356) ITR 159. That was in the previous AY 2006-07. This appeal pertains to AY 2010-11. This Court is informed that the appeal by special leave petition is listed along with the batch of appeals arising out of the judgment of this Court in CIT v. Ansal Housing Finance and Leasing Co. Ltd. 2013 (354) ITR 180 before the Supreme Court.
Page 1 of 2
In these circumstances, the Court is of the opinion that the previous ruling in the assessee’s case would bind it. The Tribunal did not commit any error in following that previous order of this Court. However, it is also clarified that in any event, the parties shall be finally bound on the question of law by the judgment/ruling of the Supreme Court in the pending batch of appeals and the special leave petitions. The petition is dismissed subject to the above observations.
S. RAVINDRA BHAT, J
A. K. CHAWLA, J
APRIL 02, 2018/ajk
Page 2 of 2
1 issue framed by the court
Whether rental from unsold shops claimed as stock-in-trade should be taxed as income from house property or profits and gains of business
Colour shows how this judgement treated each authority
CIT v. Discovery Estates Private Ltd.Followed¶13
CIT v. Discovery Estates Private Ltd. 2013 (356) ITR 159
CIT v. Ansal Housing Finance and Leasing Co. Ltd.Referred¶13
CIT v. Ansal Housing Finance and Leasing Co. Ltd. 2013 (354) ITR 180
Discovery Estates Pvt. Ltd.
PR. Commissioner of Income Tax-XIII & Anr.
S. Ravindra Bhat
A. K. Chawla
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
