TMI Blog2015 (6) TMI 1093X X X X Extracts X X X X X X X X Extracts X X X X ..... Madras High Court in the case Velayudhaswamy Spinning Mills P. Ltd (surpa) is stayed by the Hon’ble Apex Court. It is pertinent to mention that in the absence of any stay granted by the Hon’ble Apex Court against the operation of the judgment of the Hon’ble Madras High Court, all the lower judiciaries as well as quasi judicial authorities are bound to follow the decision of the Hon’ble Jurisdictional High Court. Since the Ld.CIT(A) has rightly followed the decision of the Hon’ble Jurisdictional Madras High Court(supra) and held the issue in favour of the assessee, we do not find it necessary to interfere with his order . Therefore we hereby confirm the order of the Ld. Ld. CIT (A). - I.T.A.No.450/Mds./2015 - - - Dated:- 2-6-2015 - SHRI ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cision of the case rendered by the Hon ble Jurisdictional High Court in the case of Velayudhaswamy Spinning Mills (P) Ltd Vs. ACIT reported in 231 CTR (Mad) 368. The Ld. A.O. opined that Since the Revenue is in appeal and the matter is pending before the Hon. Apex Court, he is justified in disallowing the amount of ₹ 1,06,26,141/- claimed as deduction U/s. 80-IA of the Act and added back to the income of the assessee. 4. On appeal by the assessee, Ld.CIT (A) decided the issue in favour of the assessee by observing as under:- 5. The Authorized Representative submitted that the assessee is eligible for deduction u/s.80-IA of the Income Tax Act, 1961 following the decision of the Hon ble High Court of Madras in the case of Velayud ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... High Court in the case Velayudhaswamy Spinning Mills P. Ltd (supra) before the Hon ble Apex Court, he need not follow that decision. He did not realize that mere pendency of the SLP before the Apex Court is not a valid ground for not following the judgment of the Hon ble Madras High Court. Further, it is not the case of the Revenue that the judgment of the Hon ble Madras High Court in the case Velayudhaswamy Spinning Mills P. Ltd (surpa) is stayed by the Hon ble Apex Court. It is pertinent to mention that in the absence of any stay granted by the Hon ble Apex Court against the operation of the judgment of the Hon ble Madras High Court, all the lower judiciaries as well as quasi judicial authorities are bound to follow the decision of the H ..... X X X X Extracts X X X X X X X X Extracts X X X X
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