ACIT, Sirsa V. Sh. Arun Kumar Maheshwari, Sirsa

ITA 1113/CHANDI/2011

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 57601 (ITAT-CHANDIGARH)
• Duration Of Justice: 2 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-01-2012
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2008-2009
• Appeal Filed On: 16-11-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AKHILESH
• Assessee Lawyers: ARUN KUMAR MAHESHWARI
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL CHANDIGARH BENCH B, CHANDIGARH BEFORE MS. SUSHMA CHOWLA, JUDICIAL MEMBER AND SHRI MEHAR SINGH, ACCOUNTANT MEMBER ITA NO.1113/CHD/2011 (ASSESSMENT YEAR : 2008-09) THE A.C.I.T., VS. SH.ARUN KUMAR MAHESHWARI, SIRSA. PROP. M/S RANGOLI E-STOCK, 135, A-BLOCK, SIRSA. PAN: AAXPM6701F (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI AKHILESH, DR RESPONDENT BY : SHRI ARUN KUMAR MAHESHWARI DATE OF HEARING : 12.01.2012 DATE OF PRONOUNCEMENT : 18.01.2012 O R D E R PER SUSHMA CHOWLA, J.M, : THE APPEAL FILED BY THE ASSESSEE IS AGAINST THE ORD ER OF THE COMMISSIONER OF INCOME-TAX (APPEALS), ROHTAK DATED 07.09.2011 RELATING TO ASSESSMENT YEAR 2008-09 AGAINST THE ORD ER PASSED UNDER SECTION 143(3) OF THE INCOME TAX ACT, 1961. 2. THE LEARNED A.R. FOR THE ASSESSEE AT THE OUTSET POINTED OUT THAT THE ISSUE IN THE PRESENT APPEALS STANDS COVERED BY THE ORDER OF THE TRIBUNAL IN ASSESSEES OWN CASE RELATING TO ASSESSMENT YEAR 2008-09. 3. THE LEARNED D.R. FOR THE REVENUE PLACED RELIANCE ON THE ORDER OF THE ASSESSING OFFICER. THE LEARNED D.R. FOR THE RE VENUE THOUGH ALSO POINTED OUT THAT THE ISSUE HAS BEEN DECIDED BY THE CIT (APPEALS) IN TURN RELYING UPON THE ORDER OF THE TRIBUNAL RELATING TO ASSESSMENT YEAR 2007- 08. 4. THE ISSUE IN GROUND NO.1 RAISED BY THE REVENUE I S AGAINST THE ADDITION MADE ON ACCOUNT OF DISALLOWANCE OF PART OF SALARY AND ARBITRAGE 2 COMMISSION EXPENSES. WE FIND THAT SIMILAR ISSUE WA S RAISED BEFORE THE TRIBUNAL IN ITA NO.353/CHD/2011 RELATING TO ASSESSM ENT YEAR 2007-08 IN THE APPEAL FILED BY THE DEPARTMENT. THE TRIBUNAL V IDE ORDER DATED 21.6.2011 HAD DISMISSED THE APPEAL OF THE REVENUE. THE ISSUE RAISED IN THE PRESENT APPEAL BEFORE US IS IDENTICAL TO THE IS SUE RAISED IN ASSESSMENT YEAR 2007-08 AND FOLLOWING THE ORDER OF THE TRIBUNA L WE DISMISS GROUND NO.1 RAISED BY THE REVENUE. THE REGISTRY IS, HOWEV ER, DIRECTED TO ANNEX THE COPY OF THE ORDER OF THE TRIBUNAL FOR ASSESSMEN T YEAR 2007-08 FOR READY REFERENCE. 5. THE ISSUE RAISED BY THE REVENUE IN GROUND NO.2 I S ON ACCOUNT OF DISALLOWANCE OF EXPENSES HOLDING THE SAME TO BE NOT ALLOWABLE IN VIEW OF THE PROVISIONS OF SECTION 40(A)(IA) OF THE ACT. WE FIND THAT SIMILAR DISALLOWANCE WAS MADE IN THE EARLIER YEARS ALSO AND IT WAS HELD BY THE TRIBUNAL THAT THE SAID PAYMENTS WERE NOT COVERED UN DER THE PROVISIONS OF SECTION 194J OF THE ACT AND HENCE, WERE NOT LIAB LE FOR TAX DEDUCTION. THE REGISTRY IS, HOWEVER, DIRECTED TO ANNEX THE COP Y OF THE ORDER OF THE TRIBUNAL FOR ASSESSMENT YEAR 2007-08 FOR READY REFE RENCE. 6. IN THE RESULT, THE APPEAL FILED BY THE REVENUE I S DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 18 TH DAY OF JANUARY, 2012. SD/- SD/- (MEHAR SINGH) (SUSHMA CHOWLA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 18 TH JANUARY, 2012 *RATI* COPY TO: THE APPELLANT/THE RESPONDENT/THE CIT(A)/TH E CIT/THE DR. TRUE COPY BY ORDER ASSISTANT REGISTRAR, ITAT, CHANDIGARH