Weekly Overview| Supreme Court Judgments: April 03 – April 07, 2023

Update: 2023-04-10 07:45 GMT

1) ITA: Amendment brought to section 153c vide finance act is applicable to searches conducted U/S. 132 before June 1, 2015

The Court while dealing with a batch of appeals has held that the amendment brought to Section 153C of the Income Tax Act, 1961 vide Finance Act, 2015 shall be applicable to searches conducted under Section 132 of the Income Tax Act, 1961 before June 1, 2015, i.e., the date of the amendment.

The Court observed that any interpretation, which may frustrate the very object and purpose of the Act or Statute shall be avoided by the Court.The question that arose for consideration before the Court was whether an amendment brought to Section 153C of the Income Tax Act, 1961 vide Finance Act, 2015 would be applicable to searches conducted under Section 132 of the Act, 1961 before June 1, 2015, i.e., the date of the amendment. 

Cause Title- Income Tax Officer v. Vikram Sujitkumar Bhatia

Date of Judgment- April 06, 2023

Coram-Justice M.R. Shah and Justice B.V. Nagarathna

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2) If revenue is losing tax lawfully payable by person due to erroneous order of ito, it’s prejudicial to revenue’s interests

The Court held that if due to an erroneous order of the Income Tax Officer, the Revenue is losing tax lawfully payable by a person, it will be prejudicial to the interests of the Revenue.

The Bench further held that only in a case where two views are possible and the Assessing Officer has adopted one view, such a decision, which might be plausible and it has resulted in a loss of Revenue, such an order is not revisable under Section 263 of the Income Tax Act, 1961.

Cause Title- The Commissioner of Income Tax  v. M/s. Paville Projects Pvt. Ltd.

Date of Judgment- April 06, 2023

Coram-Justice M.R. Shah and Justice A.S. Bopanna

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3) U.P. Urban Buildings Act| Tenant can only deposit rent in court as long as landlord refuses to accept it

The Court held that the tenant can only deposit rent in the Court, as long as the landlord has refused to accept the rent while referring to Section 30(1) of The Uttar Pradesh Urban Buildings (Regulation of Letting, Rent and Eviction) Act, 1972.

The position of the tenant was that there was no occasion for him to deposit the rent on receiving the notice or on the first hearing, for the simple reason that he had never defaulted in payment of rent. The Small Cause Court gave a finding that the tenant was in arrears of rent, holding that the rent was Rs. 300/- per month and not Rs. 250/- per month which was never been deposited anywhere, and consequently a decree of eviction and recovery of rent was passed against the tenant.

Cause Title- Man Singh v. Shamim Ahmad (Dead) Thr. LRS.

Date of Judgment- April 05, 2023

Coram- Justice Aniruddha Bose and Justice Sudhanshu Dhulia

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4) No expectation that the press must support the establishment- SC holds critical views on govt policies cannot be termed anti-establishment

The Court stressed that critical views on government policies cannot be termed anti-establishment.The Court while lifting the ban on the news channel also observed that the constitutional principle of procedural guarantees cannot be turned into dead letter.

In this case, the Ministry of Information and Broadcasting had refused to renew the Malayalam news channel MediaOne’s broadcast license on the ground that the security clearance had not been given by the Ministry of Home Affairs. It was alleged that MediaOne was espousing its anti-establishment stance on various issues.

Cause Title- Madhyamam Broadcasting Limited v. Union of India & Ors.

Date of Judgment- April 05, 2023

Coram- Chief Justice Dr. DY Chandrachud and Justice Hima Kohli

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