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TMI Blog2021 (6) TMI 131X X X X Extracts X X X X X X X X Extracts X X X X ..... raised are covered in favour of the assessee by the order of the Tribunal [ 2018 (11) TMI 778 - ITAT MUMBAI]. We further note that Hon'ble Jurisdictional High Court has not yet reversed the aforesaid order of the ITAT. Hence, we uphold the order of learned CIT(A). Revenue appeals are dismissed. - I.T.A. No. 2326 to 2332/Mum/2019 - - - Dated:- 21-5-2021 - Shri Shamim Yahya (AM) And Shri Pavankumar Gadale (JM) For the Assessee : Shri S.R. Sriram For the Department : Shri A.K. Srivastava ORDER PER SHAMIM YAHYA (AM) :- These are appeals by the Revenue against respective orders of learned CIT(A) for respective assessment years. Since the issues are common and connected these are consolidated and disposed off together. 2. Since the common grounds are raised we are referring to the grounds of appeal for A.Y. 2008-09, which read as under : 1. Whether on the facts and in the circumstances of the case and in law, the Ld. CTT(A) is right in holding that ownership of land vested with the state government and also that the income arising from viz. lease premiums, rent, development activities, interest income on funds parked as deposits with the bank etc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ether on the facts and in the circumstances of the case and in law, the learned CIT(A) was correct in following the decision of Hon'ble ITAT in the assessee's own case for A.Y.2011-12 where it was held that the money generated from sale/lease of plots, providing development activities as well as earning on interest on funds parked as deposits with the bank belonged to the State Gout, though as per section 20 of the MDC Act the money received from the sale of plots became the assessees own money by operation of law and as per section 25 of the MIDC Act, the assessee has authority to spend any sum out of such fund and otherwise also this income claimed to be belonging to the State Government or expenditure out of the same is not part of the budget of the State Government. 6. Whether on the facts and in the circumstances of the case and in law, the Ld.CIT(A) is justified in following the decision of Hon'ble ITAT in the assessee's own case for A.Y.2011-12 where relying on Govt. Resolution, it was held that the land belong to the Govt. despite having held in first round of appeal that the MIDC Act shall have supremacy over the resolutions passed by the State Governme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ircumstances of the case and in law, the Ld.CIT(A) was correct in following the decision of the Hon'ble ITAT in the assessee's own case for A.Y.2011-12 while deciding the above issue. 11. The appellant prays that the order of the Commissioner of Income Tax (Appeals)-4, Mumbai be set aside and that of the Assessing Officer be restored. 12. The Appellant craves leave to amend or alter any ground or add a new ground which may be necessary . 3. Brief facts are that the assessee filed its return for the AY 2008-09 on 24.09.2008 and subsequently, filed its revised return on 21.07.2009. The return was selected for scrutiny and was concluded vide an order dated 19.12.2011 passed u/s 143(3) of the Income-tax Act, 1961. Thereafter, the Ld. Assessing Officer reopened the assessment of AY 2008-09 on the ground that the sums collected by the assessee from the leases entered into by it would have to be treated as its income. The assessee had treated the receipts as its liability in its balance sheet, on the ground that the sums were received by it and held by it on behalf of the Government of Maharashtra. The Assessing Officer concluded the reassessment proceeding vide an ord ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erusal of the MIDC Act that the assessee corporation viz. MIDC had been established for securing and assisting rapid and orderly establishment and organisation of industries in industrial areas and industrial estates in the State of Maharashtra. On a perusal of Sec. 3(2) of the MIDC Act, it emerges that the assessee corporation viz. MIDC is competent to acquire, hold and dispose off property, both moveable and immovable, and to contract and do all things necessary for the purposes of the Act. Still further, a perusal of the functions of the assessee corporation as contemplated in 'Sec. 14(ii) of the MIDC Act reveals that the same particularly includes viz. (i). establishing and managing industrial estates at places selected by the state government; (ii). Developing industrial areas selected by the State Government for the purpose and make them available for undertakings to establish themselves; and (Hi). Undertaking schemes or works, either jointly with other corporate bodies or institutions, or with Government or local authorities, or on an agency basis, in furtherance of the purpose for which the assessee corporation is established and all matters connected therewith. Still f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tes and industrial areas on the plot holders or other persons receiving benefit of said services or amenities. Further, perusal of Sec. 19 of the MIDC Act reveals that the property, fund and other assets vesting in the assessee corporation shall be held and applied by it, subject to the provisions and the purposes of the said Act. 14. We further find from a perusal of Sec. 32 of the MIDC Act that in case the State Government is of the opinion that any land is required for the purpose of development by the assessee corporation, or for any other purpose in furtherance of the objects of the said Act, then after putting the owner of the land or any other person interested therein to notice as regards its decision of acquiring such land, calling for his objections and disposing off the same after affording an opportunity of being heard to such person, the State Government shall acquire such land by publishing a notice in the official gazette. On a perusal of subsection (4) of Sec. 32 of the MIDC Act, it emerges that when a notice under Sec. 32(1) of the Act is published in the official gazette, the land shall, on and from the date of such publication, vest absolutely in the State Gov ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... possession of the same till the said amount is paid or deposited. 15. We are of the considered view that a bare perusal of the scheme of the MIDC Act, and the absence of any instrument of transfer evidencing vesting of the ownership of the land in favour of the assessee corporation, both militates against the observations of the lower authorities that the ownership of the land had been transferred to assessee corporation. We thus, in the backdrop of our aforesaid observations are of the considered view that as neither there is any material borne from record, nor any documentary evidence had been furnished before us by the revenue which could irrefutably dislodge the claim of the assessee and therein persuade us to conclude that either the ownership of the land under consideration had been transferred to the assessee corporation, or the latter could justifiably be held as a deemed owner of the same for the purpose of justifying assessing of the income arising therefrom viz. lease premiums, rent, interest income on funds parked as deposits with the bank etc., as the income of the assessee corporation, hence the said claim of the revenue fails and is thus rejected. The Grounds o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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