The ACIT, Circle-5, Ahmedabad V. M/s. M/s. Nirma Limited, Ahmedabad

ITA 1119/AHD/2016

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 8484 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 year(s) 11 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-04-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: Not Allotted
• Assessment Year: 2005-2006
• Appeal Filed On: 29-04-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: V K SINGH
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD D BENCH (BEFORE SHRI RAJPAL YADAV, JUDICIAL MEMBER & SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER) ITA. NOS: 1119 & 1120/AHD/2016 (ASSESSMENT YEAR: 2005-06 & 2006-07) ACIT, CIRCLE-5, AHMEDABAD V/S M/S. NIRMA LIMITED NIRMA HOUSE, ASHRAM ROAD, AHMEDABAD-380015 (APPELLANT) (RESPONDENT) PAN: AAACN5350K APPELLANT BY : SHRI V. K. SINGH, SR. D.R . RESPONDENT BY : SHRI HIMANSHU SHAH, A.R. ( )/ ORDER DATE OF HEARING : 17 -04-201 8 DATE OF PRONOUNCEMENT : 19-04-2018 PER N.K. BILLAIYA, ACCOUNTANT MEMBER 1. ITA NOS. 1119 & 1120/AHD/2016 ARE TWO SEPARATE APPE ALS BY THE REVENUE PREFERRED AGAINST TWO SEPARATE ORDERS OF THE LD. CI T(A)-9, AHMEDABAD DATED 01.02.2016 & 02.02.2016 PERTAINING TO A.YS. 2005-06 & 2006-07 RESPECTIVELY . ITA NOS.1119 & 1120/AHD/2016 . A.YS. 2005-0 6 & 2006-07 2 2. BOTH THESE APPEALS WERE HEARD TOGETHER AND ARE DISP OSED OF BY THIS COMMON ORDER FOR THE SAKE CONVENIENCE AND BREVITY. 3. ITA NO. 1119/AHD/2016 HAS TO BE DISMISSED IN THE LI GHT OF THE CBDT CIRCULAR NO. 21 OF 2015 BY WHICH THE BOARD HAS DIRE CTED THE REVENUE NOT TO PREFER ANY APPEAL BEFORE THE TRIBUNAL WHERE THE TAX EFFECT IS LESS THAN RS. 10 LAKHS. WE FIND THAT THE GRANT OF ADDITIONAL INTERES T BY THE LD. CIT(A) IS LESS THAN RS. 10 LAKHS. HENCE, THE GRIEVANCE OF THE REVENUE I S HIT BY THE AFOREMENTIONED CBDT CIRCULAR AND ACCORDINGLY THIS APPEAL IS DISMIS SED. 4. IN ITA NO. 1120/AHD/2016, THE LD. CIT(A) ALLOWED TH E CLAIM OF ADDITIONAL INTEREST ON DELAYED REFUNDS. WE FIND THAT THERE IS NO INORDINATE DELAY IN GRANTING THE REFUND WHICH COULD ENTITLE THE ASSESSE E FOR ANY ADDITIONAL COMPENSATION, THE FIRST APPELLATE AUTHORITY HAS INA DVERTENTLY CONSIDERED THE DELAY IN GIVING THE APPEAL EFFECT AS INORDINATE DEL AY AND GRANTED THE ADDITIONAL COMPENSATION ON DELAYED REFUNDS. THE FACT OF THE MA TTER IS THAT THERE WAS NO INORDINATE DELAY AND HENCE THERE IS NO REASON WHY I NTEREST ON INTEREST SHOULD BE GIVEN TO THE ASSESSEE. WE ACCORDINGLY SET ASIDE THE FINDINGS OF THE LD. CIT(A) AND ALLOW THE APPEAL BY THE REVENUE. ORDER PRONOUNCED IN OPEN COURT ON 19 - 04- 20 18 SD/- SD/- (RAJPAL YADAV) (N. K. BILLAIYA) JUDICIAL MEMBER TRUE COPY A CCOUNTANT MEMBER AHMEDABAD: DATED 19/04/2018 RAJESH COPY OF THE ORDER FORWARDED TO: -