M/S PATO BUILDERS LTD , JAMSHEDPUR V. ACIT CIRCLE-2, JAMSHEDPUR

ITA 107/RAN/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 7768 (ITAT-RANCHI)
• Duration Of Justice: 8 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-01-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2008-2009
• Appeal Filed On: 20-04-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P K MONDAL
• Keywords: Business income

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL RANCHI BENCH SMC, RANCHI BEFORE SH. S.S.GODARA, JUDICIAL MEMBER ITA NO.107/RAN/2018 [ASSESSMENT YEAR: 2008 - 09] M/S. PATO BUILDERS LTD., ASHOK PATH, ADITYAPUR, JAMSHEDPUR - 831013. PAN - A ABCP7453N VS AC IT , CIRCLE - 2, JAMSHEDPUR . (APPELLANT) (RESPONDENT) APPELLANT BY SH. DEVESH PODDAR, ADV. RESPONDENT BY SH. P.K.MONDAL, JCIT DATE OF HEARING 07.01.2019 DATE OF PRONOUNCEMENT 09 .01.2019 ORDER PER SH. S.S.GODARA, JUDICIAL MEMBER THIS ASSESSEES APPEAL FOR AY 20 08 - 09 ARISES AGAINST THE ORDER DATED 0 3.0 1 .201 8 PASSED BY THE CIT(A), JAMSHEDPUR I N APPEAL NO. 113/JSR/2013 - 14 IN PROCEEDINGS U/S 14 3(3)/147 OF THE INCOME TAX ACT, 1961 (IN SHORT ACT). HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. THE SOLE SUBSTANTIVE DISPUTE BETWEEN T H E PARTIES IN THE INSTANT APPEAL IS ABOUT THE ASSESSMENT OF TAXPAYERS INTEREST INCOME ARISING FROM FIXED DEPOSITS TO THE TUNE OF RS.3,10,193/ - IS TO BE ASSESSED AS BUSINESS INCOME OR FROM THE OTHER SOURCES. BOTH LOWER AUT HORITIES AS WELL AS THE REVENUES STRONG CASE IS THAT THE SAME HAS T O BE ASSESSED UNDER THE L ATT ER HEAD ONLY. I FIND THAT THE ASSESSEE HAS DERIVED THE IMPUGNED INTEREST INCOME ON FIXED DEPOSITS AG AIN S T THE CASH CREDIT ACCOUNT ONLY. THIS TRIBUNAL CO - ORDI NATE BENCH DECISION IN ITA NO.252/DEL/2014 M/S. S.S.LAB VS ITO DATED 11.08.2015 HOLDS THAT SUCH AN INTEREST INCOME FROM C C ACCOUNT HAS TO BE ASSESSED UNDER BUSINESS HEAD ONLY. I, THEREFORE, DIREC T THE AO TO ASSESS THE IMPUGNED INTEREST INCOME UNDER THE HEAD BUSINESS INCOME AND FINALIZE THE NECESSARY COMPUTATION AS PER LAW . ITA NO. 107 /RAN/2018 [ASSESSMENT YEAR: 20 08 - 09 ] PAGE | 2 3. THIS ASSESSEES APPEAL IS ALLOWED IN ABOVE TERMS. ORDER PRONOUNCED IN THE OPEN COURT ON 09 .01.2019. SD/ - (S.S.GODARA) JUDICIAL MEMBER DATE: - 09 .01.2019 *AMIT KUMAR* COPY FORWARDED TO: 1 . APPELLANT - M/S. PATO BUILDERS LTD., ASHOK PATH, ADITYAPUR, JAMSHEDPUR - 831013. 2. R ESPONDENT - AC IT , CIRCLE - 2, JAMSHEDPUR . 3. CIT - RANCHI 4. CIT(APPEALS) - RANCHI 5. DR: ITAT - RANCHI BENCHES SR.P.S./H.O.O ITAT, RANCHI