Commissioner and Deputy Commissioner of Income Tax vs P.C. Naidu Since deceased by his L.Rs. (Smt. P. Jayasri, Mr. P. Hemanth Kumar Naidu and Ms. P. Sowmyashri)

N. Kumar J.

Sri Vivek Holla, the learned Counsel takes notices for Respondents.

The questions involved in this appeal were also the questions involved in ITA No. 2781 of 2005 C/w ITA Nos. 2782, 2797 & 2798 of 2005, which appeals are already decided by this Court on 6.1.2011. It was held that the amount of Rs. 6,60,000/- paid to the Assessee and was being treated as advance in the books of M/s DTDC Limited holding that it is a deemed dividend in a proceedings initiated u/s 148, was valid and it does not amount to change of opinion. But, whether the said amount was paid out of the accumulated profit is a matter which should be decided by the assessing officer on the material to be produced by the Assessee and, therefore, the matter was remanded back to the Tribunal.

In view of the aforesaid judgment, the impugned order passed by the Tribunal in this case also is liable to be set aside and accordingly it is set aside. The matter is remanded back to the Tribunal for consideration of the aforesaid question in terms of the order passed in the other connected matters.