Stadmed Private Limited, Kolkata V. DCIT, Circle - 10, Kolkata, Kolkata

ITA 122/KOL/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 9316 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 2 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-04-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2011-2012
• Appeal Filed On: 29-01-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RADHEY SHYAM
• Assessee Lawyers: S K ADHIKARI
• Keywords: Question of law; Capital receipt; Set aside

Judgement Text

1 ITA NO.122/KOL/2018 STADMED PRIVATE LIMITED, AY- 2011-12 , D , IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH: KOL KATA ( ) . . , . . ! , ' #$ ) [BEFORE SHRI P.M. JAGTAP, VICE PRESIDENT & SHRI A. T. VARKEY, JM] I.T.A. NO. 122/KOL/2018 ASSESSMENT YEAR: 2011-12 STADMED PRIVATE LIMITED (PAN: AAECS1580Q) VS. DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE-10, KOLKATA. APPELLANT RESPONDENT DATE OF HEARING 06.02.2019 DATE OF PRONOUNCEMENT 03.04.2019 FOR THE APPELLANT SHRI S. K. ADHIKARI, ADVOCATE FOR THE RESPONDENT SHRI RADHEY SHYAM, JCIT, SR. DR & SHRI S. HALDER, JCIT ORDER PER SHRI A.T.VARKEY, JM THIS IS AN APPEAL PREFERRED BY THE ASSESSEE AGAINST THE ORDER OF LD. CIT(A)-4, KOLKATA DATED 23.11.2017 FOR AY 2011-12. 2. THE SOLE ISSUE INVOLVED IN THIS APPEAL OF ASS ESSEE IS AGAINST THE ACTION OF LD. CIT(A) IN SUSTAINING THE ADDITION OF RS.13,02,553/- MADE B Y AO OVERLOOKING THE FACT THAT IT WAS THE SUBSIDY RECEIVED BY THE ASSESSEE FROM WEST BENG AL INDUSTRIAL PROMOTION SCHEME WHICH IS CAPITAL RECEIPT AND NOT REVENUE RECEIPT AS HELD BY THE AO/LD CIT(A). 3. AT THE OUTSET ITSELF, IT WAS POINTED OUT BY TH E LD. AR THAT THE ISSUE IS COVERED IN FAVOUR OF ASSESSEE. SO, AFTER HEARING RIVAL SUBMIS SIONS OF THE PARTIES AND AFTER PERUSAL OF THE MATERIAL AVAILABLE ON RECORD, WE NOTE THAT THE ASSE SSEE HAS FILED A PAPER BOOK WHICH, INTER ALIA , CONTAINS COPIES OF THE ORDERS OF THE TRIBUNAL IN ASSESSEES OWN CASE FOR AYS 1997-98, 1998-99, 1999-2000, 2001-02, 2002-03, 2003-04, 2005 -06, 2006-07 (AVAILABLE IN PAPER BOOK PAGES12 TO 49 OF THE PAPER BOOK). ASSESSEES PAPER BOOK ALSO CONTAINS ORDERS OF THIS TRIBUNAL IN THE CASE OF RASOI LTD. FOR AYS. 1995-96 TO 1998-99 AND SEVERAL OTHER CASES (AVAILABLE IN PAPER BOOK PAGES 70 TO 93). WE NOTE THAT SIMILAR CASE WHEREIN THE IDENTICAL 2 ITA NO.122/KOL/2018 STADMED PRIVATE LIMITED, AY- 2011-12 ISSUE WAS ADJUDICATED BY THE COORDINATE BENCH OF TH IS TRIBUNAL IN M/S. KLAR SEHEN PVT. LTD. VS. ITO, ITA NOS. 2069 TO 2071/KOL/2004 FOR AYS, 19 96-97, 1997-98 AND 2001-02 ORDER DATED 17.03.2005 (WHICH IS AVAILABLE AT PAPER BOOK PAGE 93) IN ASSESSEES FAVOUR WHICH ORDER OF THE TRIBUNAL WAS UPHELD BY THE HONBLE CAL CUTTA HIGH COURT BY ITS ORDER DATED 12.05.2008 IN ITA NO.315 OF 2008 IN GA NO. 1451 OF 2008, WHEREIN IT HAS BEEN HELD AS UNDER: .. FURTHER, WE HAVE PERUSED THE ORDER PASSED BY THE TRIBUNAL. WE HAVE FOUND THAT THE TRIBUNAL HAS EXTENSIVELY DEALT WITH THE MATTER INCL UDING THE FACTS, MATERIALS AND EVIDENCE PLACED BEFORE THE TRIBUNAL FOR ADJUDICATION. WE DO NOT FIND ANY REASON TO INTERFERE WITH THE ORDER SO PASSED BY THE LEARNED TRIBUNAL NOR THE ORD ER SO PASSED BY THE LEARNED TRIBUNAL SUFFERS FROM ANY LEGAL INFIRMITY NOR WE FIND THAT A NY SUBSTANTIAL QUESTION OF LAW IS INVOLVED IN THIS APPEAL. HENCE, WE DISMISS THE APPLICATION AND THE APPEAL WITHOUT ANY ORDER AS TO COSTS. 4. THERE BEING NO CHANGE IN THE FACTS AND CIRCUMSTA NCES OF THE ASSESSEES CASE FOR THE YEAR UNDER CONSIDERATION THAN THOSE ALREADY DECIDED BY THE COORDINATE BENCH OF THIS TRIBUNAL IN ASSESSEES FAVOUR, WE SEE NO REASON TO DIFFER FROM THE VIEW EARLIER TAKEN IN THE CASE OF THE ASSESSEE. RESPECTFULLY FOLLOWING THE A FORESAID ORDERS OF THE TRIBUNAL, WE DECIDE THE ISSUE IN FAVOUR OF THE ASSESSEE AND SET ASIDE T HE ACTIONS OF THE LOWER AUTHORITIES AND ALLOW THE CLAIM OF THE ASSESSEE THAT SUBSIDY IN QUE STION RECEIVED FROM WEST BENGAL INDUSTRIAL PROMOTION SCHEME IS CAPITAL IN NATURE AN D CONSEQUENTLY ORDER DELETION OF THE ADDITION ON THIS ISSUE. APPEAL OF ASSESSEE IS ALL OWED. 5. IN THE RESULT, APPEAL OF ASSESSEE IS ALLOWED. ORDER IS PRONOUNCED IN THE OPEN COURT ON 3RD APRIL , 2019 SD/- SD/- (P. M. JAGTAP) (ABY. T. VARKEY) VICE PRESIDENT JUDICIAL MEMBER DATED : 3RD APRIL, 2019 JD.(SR.P.S.) 3 ITA NO.122/KOL/2018 STADMED PRIVATE LIMITED, AY- 2011-12 COPY OF THE ORDER FORWARDED TO: 1. APPELLANT M/S. STADMED PRIVATE LIMITED, 14/A, MANOHARPUKUR ROAD, KOLKATA-700 026. 2 RESPONDENT DCIT, CIRCLE-10, KOLKATA. 3. 4. CIT(A)-4, KOLKATA (SENT THROUGH E-MAIL) CIT- , KOLKATA. 5. DR, ITAT, KOLKATA. (SENT THROUGH E-MAIL) / TRUE COPY, BY ORDER, ASSISTANT REGISTRAR