DCIT, CIR-1(1), KOLKATA, Kolkata V. M/s Arim Metal Industries (P) Ltd., Kolkata

ITA 1112/KOL/2015

• Counselvise Citation: 111223514 RSA 2015
• Duration Of Justice: 3 month(s) 30 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-12-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2007-2008
• Appeal Filed On: 18-08-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

I.T.A. NO. 1112/KOL./2015 ASSESSMENT YEAR: 2007-2008 PAGE 1 OF 2 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA SMC BENCH, KOLKATA BEFORE SHRI P.M. JAGTAP, ACCOUNTANT MEMBER I.T.A. NO. 1112/KOL/ 2015 ASSESSMENT YEAR: 2007-2008 DEPUTY COMMISSIONER OF INCOME TAX,................. .............APPELLANT CIRCLE-1(1), KOLKATA, P-7, CHOWRINGHEE SQUARE, 7 TH FLOOR, ROOM NO. 20, KOLKATA-700 069 -VS.- M/S. ARIM METAL INDUSTRIES (P) LIMITED,............ ............RESPONDENT 23, CONVENT ROAD, ARIM HOUSE, KOLKATA-700 014 [PAN : AACCA 4796 L] APPEARANCES BY: SHRI NILOY BARAN SOM, JCIT, SR. D.R., FOR THE DEPARTMENT N O N E, FOR THE ASSESSEE NATE OF CONCLUDING THE HEARING : DECEMBER 17, 2015 DATE OF PRONOUNCING THE ORDER : DECEMBER 17, 2015 O R D E R THIS APPEAL IS PREFERRED BY THE REVENUE AGAINST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEALS)-XXIII, KOLKATA DATED 13.05.2015 FOR THE ASSESSMENT YEAR 2007-08 ON THE FOLLOWING GR OUNDS:- (1) ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN L AW, THE LD. CIT(APPEALS) HAS ERRED IN ALLOWING DEPRECIA TION OF RS.1,12,570/- ON PLANT AND MACHINERY, EVEN THOUG H THE PLANT & MACHINERY WERE NOT PUT TO USE DURING TH E RELEVANT FINANCIAL YEAR (2) ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN L AW, LD. CIT(APPEALS) HAS ERRED IN TREATING INTEREST OF RS.16,85,281/- ON FIXED DEPOSIT AS INCOME FROM BUSI NESS THOUGH SUCH INTEREST INCOME IS REQUIRED TO BE TAXED UNDER HEAD OF INCOME FROM OTHER SOURCES. 2. AT THE TIME OF HEARING BEFORE ME, NONE HAS APPEA RED ON BEHALF OF THE ASSESSEE. IT IS, HOWEVER, NOTED FROM THE GROUND S RAISED BY THE I.T.A. NO. 1112/KOL./2015 ASSESSMENT YEAR: 2007-2008 PAGE 2 OF 2 REVENUE IN THIS APPEAL THAT THE TAX EFFECT INVOLVED THEREIN IS LESS THAN THE REVISED MONETARY LIMIT RECENTLY FIXED BY THE CBDT V IDE CIRCULAR NO. 21/2015 DATED 10 TH DECEMBER, 2015 AT RS.10,00,000/- FOR FILING THE APPEAL BY THE REVENUE BEFORE THE TRIBUNAL AND THIS POSITION IS NOT DISPUTED EVEN BY THE LD. D.R. IN CIRCULAR NO. 21/20 15 (SUPRA) RECENTLY ISSUED BY THE CBDT, THE MONETARY LIMIT FOR FILING T HE APPEALS BY THE REVENUE BEFORE THE TRIBUNAL HAS BEEN INCREASED TO R S.10,00,000/- AND AS CLARIFIED IN THE SAID CIRCULAR, THE SAID MONETARY L IMIT IS APPLICABLE RETROSPECTIVELY EVEN TO THE APPEALS PENDING BEFORE THE TRIBUNAL. THE CBDT HAS ALSO INSTRUCTED THAT SUCH PENDING APPEALS BELOW THIS SPECIFIED TAX LIMIT OF RS.10,00,000/- MAY BE WITHDRAWN/ NOT P RESSED. KEEPING IN VIEW THE INSTRUCTION GIVEN BY THE CBDT VIDE CIRCULA R NO. 21/2015 DATED 10.12.2015, WHICH IS SQUARELY APPLICABLE IN THE PRE SENT CASE, THE APPEAL FILED BY THE REVENUE IN THIS CASE IS TREATED AS WIT HDRAWN/NOT PRESSED AND DISMISSED ACCORDINGLY. 3. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON DECEMBER 17, 2015. SD/- (P.M. JAGTAP) ACCOUNTANT MEMBER KOLKATA, THE 17 TH DAY OF DECEMBER, 2015 COPIES TO : (1) DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-1(1), KOLKATA, P-7, CHOWRINGHEE SQUARE, 7 TH FLOOR, ROOM NO. 20, KOLKATA-700 069 (2) M/S. ARIM METAL INDUSTRIES (P) LIMITED, 23, CONVENT ROAD, ARIM HOUSE, KOLKATA-700 014 (3) COMMISSIONER OF INCOME-TAX (APPEALS)-XXIII, KO LKATA (4) COMMISSIONER OF INCOME TAX, KOLKATA (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.