Appeal to ITAT by undertaking owned by the government: Approval from the Committee on Disputes not required:

“i) The Counsel appearing on behalf of the Revenue has
stated before the court that it was not, and is not the contention of the
Revenue that the approval of the Committee on Disputes was required in order
to prefer an appeal before the Income Tax Appellate Tribunal in a matter
relating to an adjudication of dispute relating to exaction of revenue under
the Income-tax Act, 1961. The learned counsel appearing on behalf of the
assessee has also adopted the same contention. In that view of the matter, the
basis on which the Tribunal dismissed the appeal, namely, on the footing that
approval had to be obtained from the Committee on Disputes appears to be
fallacious.

ii) During the course of this proceeding, we have requested
the Additional Solicitor General to assist the court. The Additional Solicitor
General states that the Union of India would be ready and willing to
constitute a committee to look into a dispute between the central government
and state government entities, on a case to case basis, if so directed by the
court; but this would not be necessary in a matter such as the present which
relates to the adjudication of a dispute under the Income-tax Act, 1961.

iii) Since we have come to the conclusion that the basis on
which the appeal was dismissed by the Tribunal was erroneous, it would be only
appropriate and proper to set aside the order of the Tribunal in order to
facilitate adjudication on merits. In the circumstances, the order of the
Tribunal is restored to the file of the Tribunal for a decision on its
merits.”