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TMI Blog2023 (4) TMI 1336X X X X Extracts X X X X X X X X Extracts X X X X ..... tters, even at the stage of admission. 2. I have had occasion to consider an identical challenge in W.P. No. 12918 of 2023 and by order dated 26.04.2023 have dismissed the Writ Petition in the following terms: The petitioner has challenged two notices under Section 148A(b) of the Income-Tax Act, 1961 dated 01.03.2023 and 21.03.2023, an order under Section 148(A)(d) dated 06.04.2023 and a notice under Section 148 of the Income-Tax Act, dated 06.04.2023. 2. The main grounds put forth by the petitioner assailing the aforesaid proceedings are that (i) there is no liability to tax in respect of the transaction of buyout of shares of S.V. Global Mills Limited consequent upon the order of Apex Court dated 25.02.2019, (ii) the interest receive ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , learned Senior Counsel wished to examine on that date in how much time this payment can be made. Today, we are told that Mr. P. Chidambaram's client's own offer in this Court was for land and not for money. We reiterate that we were told this on the last occasion, after which we passed the order dated 10.05.2018. As a result, the shares, which we are informed is no longer the subject matter of any attachment, and are free to be sold, should be purchased by Respondent No. 7 at the price of Rs. 100 Crores, to be paid by Mr. Kapil Sibal's client within a period of 9 months from today. As a result of this share purchase of Rs. 100 Crores being ordered by this Court, we make it clear that there will be no triggering of the SEBI Takeover ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gy (RMS) cycle 2 formulated by the CBDT: The Hon'ble Supreme Cout of India vide order dated 17.05.2018 had approved a buy-out of shares held by following entities in M/s.SV Global Mills Limited: 1. M/s. Satluj Credit and Holdings Pvt Ltd 2. M/s. Calcom Credit and Holdings Pvt Ltd (840000 shares) 3. M/s. Rajat Chakra Credit and Holdings Pvt Ltd (840000 shares) 4. M/s. Sheetala Credit and Holdings Pvt Ltd (850000 shares) 5. M/s. Twentieth Century Apco Leasing Pvt Ltd(288440 shares) 6. Smt. Rajalakshmi (578000 shares) The Hon'ble Supreme Court directed that a sum of Rs. 100 crores to be paid to the above entities for the buy-out of all their shares in the company. Further, the Hon'ble Supreme Court vide order dated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mount of Rs. 18.62 crores (approx), the assessing authority was of the view that the Apex Court had never indicated anywhere that the receipt should be treated as exempt under the Income-Tax Act. Furthermore, he has also expressed the view that the interest thereupon is liable to tax in AY 2019- 20. 10. The argument of the petitioner revolves around the interpretation of Section 56(2)(x) to state that the amount of Rs. 18.62 crores (approx) would not attract the rigour of the statutory provision. According to it Section 56(2)(x) only relates to a sum of money received without consideration, but in the present case, the consideration has been in the form of shares. It also confirms that the interest income is proposed to be offered to tax ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submission involves the appreciation of facts and are best considered by the authorities. 14. The argument of petitioner to the effect that the taxability of the receipt has not been put to it in the showcause notice is also devoid of merit, since the assessing authority has raised these issues specifically in the penultimate paragraph of the Annexure to notice under Section 148A(b). A notice under Section 148A(b) is not expected to be as detailed as order of assessment and it would suffice that the issue on the basis of which the reassessment is proposed is outlined broadly therein. It is for the assessee/petitioner to respond on all aspects of the matter and seek clarifications, where it so requires. 15. Writ petition stands dismissed ..... X X X X Extracts X X X X X X X X Extracts X X X X
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