Shriram Overseas Finance Ltd., CHENNAI V. DCIT, Madurai

ITA 1255/CHNY/2011

• Counselvise Citation: [2011] 140 COUNSELVISE.COM (IT) 52128 (ITAT-CHENNAI)
• Duration Of Justice: 5 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-12-2011
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 21-12-2011
• Assessment Year: 2004-2005
• Appeal Filed On: 07-07-2011
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SHA JI P JACOB SRDR
• Assessee Lawyers: R SIVARAMAN

Judgement Text

IN THE INCOME-TAX APPELLATE TRIBUNAL CHENNAI A BENCH, CHENNAI. BEFORE SHRI N.S. SAINI, ACCOUNTANT MEMBER AND SHRI GEORGE MATHAN, JUDICIAL MEMBER I.T.A. NO. 1255/MDS/2011 ASSESSMENT YEAR: 2004-05 SHRIRAM OVERSEAS FINANCE LTD., (SINCE AMALGAMATED WITH SHRIRAM TRANSPORT FINANCE CO. LTD., NO.4, MOOKAMBIKA COMPLEX, LADY DESIKA ROAD, MYLAPORE, CHENNAI 600 004. [PAN: AABCP6170G] VS. THE DEPUTY COMMISSIONER OF INCOME TAX, COMPANY CIRCLE I, MADURAI 625 002. (APPELLANT) (RESPONDENT) ASSESSEE BY : SHR I R. SIVARAMAN, ADVOCATE REVENUE BY : SHRI SHAJI P. JACOB, SR-DR DATE OF HEARING : 21.12.2011 DATE OF PRONOUNCEMENT : 21.12.2011 ORDER PER N.S. SAINI, ACCOUNTANT MEMBER THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST TH E ORDER DATED 31.05.2011 PASSED BY THE LD. CIT(A) I, MADURAI AND RELATES TO THE ASSESSMENT YEAR 2004-05. 2. THE ONLY ISSUE RAISED IN THIS APPEAL BY THE ASS ESSEE IS REGARDING THE CLAIM OF DEDUCTION OF AMOUNT OF ` .1,19,77,412/- TRANSFERRED TO THE RESERVE FUND UNDER SECTION 45-IC OF THE RBI ACT. 3. AT THE TIME OF HEARING, THE LD. AR OF THE ASSES SEE SHRI R. SIVARAMAN, I.T.A. I.T.A. I.T.A. I.T.A. NO. NO. NO. NO. 1 11 12 22 255 5555 55/ // /MDS/ MDS/ MDS/ MDS/11 1111 11 2 ADVOCATE SUBMITTED THAT THE ISSUE STANDS DECIDED BY THE CHENNAI C BENCH OF THE TRIBUNAL AGAINST THE ASSESSEE IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2005-06 IN I.T.A. NO. 1234(MDS)/200 8 ORDER DATED 19.03.2009. HE ALSO FILED COPY OF THE ORDER OF THE TRIBUNAL, WHICH IS PLACED ON RECORD. 4. AFTER HEARING BOTH THE PARTIES AND PERUSING THE MATERIAL ON RECORD, WE FIND THAT THE TRIBUNAL IN ASSESSEES OWN CASE FOR T HE ASSESSMENT YEAR 2005- 06 HAS HELD AS UNDER: 3. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE RECORDS. BOTH THE COUNSELS FAIRLY AGREED THAT THE ISSUE IS COVERE D AGAINST THE ASSESSEE BY THE DECISION OF THE TRIBUNAL IN ASSESSEES OWN G ROUP CASE ON IDENTICAL SUBJECT IN ITA NOS.570 & 571/2008. IN THI S CASE THE TRIBUNAL VIDE ORDER DATED 6.2.2009 ELABORATELY DISCUSSED THE ISSUE. THE TRIBUNAL HAD PLACED RELIANCE UPON THE JURISDICTIONAL HIGH CO URT DECISION IN THE CASE OF CIT VS. SESHASAYEE PAPER & BOARDS LTD. V. C IT, 237 ITR 488 AND T.N. POWER FINANCE AND INFRASTRUCTURE CORPN. LT D. VS. CIT, 280 ITR 491 AND ALSO THE APEX COURT DECISION IN CIT VS. SITALDAS TIRATHDAS, 41 ITR 367 AND CONCLUDED THAT THE AMOUNT TRANSFERR ED WAS ONLY AN APPROPRIATION OF PROFIT FOR UNSPECIFIED PURPOSE. TH E AMOUNT INVOLVED WAS ALSO VERY MUCH UNDER THE CONTROL OF THE ASSESSE E AND LYING WITH ITS BUSINESS. SINCE THE FACTS IN THIS CASE ARE IDENTICA L, FOLLOWING THE AFORESAID DECISION WE UPHOLD THE ORDER OF THE COMMI SSIONER (APPEALS) AND DECIDE THIS ISSUE AGAINST THE ASSESSEE. 5. FACTS, BEING IDENTICAL, RESPECTFULLY FOLLOWING THE ABOVE QUOTED ORDER OF THE TRIBUNAL IN ASSESSEES OWN CASE, WE DISMISS THE GROUND OF APPEAL OF THE I.T.A. I.T.A. I.T.A. I.T.A. NO. NO. NO. NO. 1 11 12 22 255 5555 55/ // /MDS/ MDS/ MDS/ MDS/11 1111 11 3 ASSESSEE. 6. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS DI SMISSED. ORDER PRONOUNCED AT THE CLOSE OF THE HEARING IN TH E PRESENCE OF THE PARTIES ON 21.12.2011. SD/- SD/- (GEORGE MATHAN) JUDICIAL MEMBER (N.S.SAINI) ACCOUNTANT MEMBER CHENNAI, DATED, THE 21.12.2011 VM/- TO: THE ASSESSEE//A.O./CIT(A)/CIT/D.R.