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TMI Blog2018 (1) TMI 1336X X X X Extracts X X X X X X X X Extracts X X X X ..... case of M/s. Chennai Properties and Investments Ltd. vide Civil Appeal No.4494 of 2004 of Hon'ble Apex Court overlooking that the facts were distinct. 2. That the appellant reserves the right to amend, alter or add to any ground(s) of appeal before or at the time of hearing of the appeal. " 3. The Assessee is a company. Its source of income is income deriving from sub-letting of properties as well as from letting out properties owned by the assesse. In so far as the dispute in this appeal is concerned it pertains to the income received by the assessee from letting out two properties viz. a property at Stephen House at Kolkta-1 and another property at Light House and New Empire Building. As far as the property at Humayan Court is c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Konark Furniture Pvt. Ltd. The Tribunal in ITA No.1042/Kol/2012 for A.Y.2007-08 held that income was to be assessed under the head income from business. Following the aforesaid view the CIT(A) directed the AO to assess the income in question under the head income from business. The CIT(A) also found that in A.Y.2009-10 and in earlier yeas licence fee in respect of the aforesaid properties was treated as income from business. Keeping these facts in mind and also placing reliance on the decision of the Hon'ble Supreme Court in the case of Chennai Properties Civil Appeal No.4494 of 2004 6. Aggrieved by the order of CIT(A) the revenue has preferred the present appeal before the Tribunal. 7. We have heard the submissions of the ld. DR, who rel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y order dated 12.12.2014. The Tribunal held as follows :- "5. We have heard the rival contentions and gone through the facts and circumstances of the case, We find that the assessee is a registered limited company deriving its income from licence fees from different sub-tenants, The assessee is a tenant of Dalhousie Properties Ltd. under Tenancy Agreement dated 01-04-2001 in respect of ground floor space at Stephen House-63 & 58 of Hemanta Basu Sarani, Kolkata-700 001. The assessee was given right to, "assigned, sub-let. under-let or part with any possession of the room or any part ,of room or permit any person to occupy even in case of temporary absence of assessee". By virtue of this agreement assessee collected licence fees and other c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ention is for letting out the property or any portion thereof the same must be considered as rental income or income from house property. In case, it is found that the main intention is to exploit the immovable property by way of complex commercial activities, in that event it must be held as business income ", The view was expressed by Hon'ble Calcutta High Court and approved by Hon'ble Supreme Court in case of Shambhu Investment (P) Ltd.(Supra) In this view of the matter, it is clear that what is to be really seen is whether the property is exploited by way of complex commercial activity or not. In this backdrop, it is quite' appropriate to refer to the observations made by the Hon'ble Supreme Court in the landmark judgmen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f time must in duce repose in and set at rest judicial and quasi-judicial controversies as it must in other spheres of human activity ", Hon'ble Supreme Court was of the view that the assessments are certainly quasi-judicial and observations so made in the case of Parashuram Pottery Works Co. Ltd. (supra) would apply to the assessment proceedings. In the case of Parashuram Pottery Works Co. Ltd. it was observed that "res judicata does not apply la income tax proceedings and each assessment year being a unit, what is decided in one year may not apply in the following year but where a fundamental aspect permeating through the different assessment years has been found as a fact one way or the other and parties have all owe d that position ..... X X X X Extracts X X X X X X X X Extracts X X X X
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