DCIT, CIR-9(1), KOLKATA, Kolkata V. M/s Damodar Valley Corporation, Kolkata

ITA 1292/KOL/2016

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 0679 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 6 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-12-2017
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2010-2011
• Appeal Filed On: 08-06-2016
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: A K TIWARI
• Assessee Lawyers: AKKAL DUDHWEWALA ACA
• Keywords: Revised return
• Section: 143(3); 115JB

Judgement Text

1 ITA NO. 1292/KOL/2016 ASSESSMENT YEAR: 2010-2011 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA D BENCH, KOLKATA BEFORE SHRI P.M. JAGTAP, ACCOUNTANT MEMBER AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER I.T.A. NO. 1292/KOL./2016 ASSESSMENT YEAR: 2010-2011 DEPUTY COMMISSIONER OF INCOME TAX,................. ...............APPELLANT CIRCLE-9(1), KOLKATA, AAYAKAR BHAWAN, P-7, CHOWRINGHEE SQUARE, KOLKATA-700 069 -VS.- M/S. DAMODAR VALLEY CORPORATION,................... ..........RESPONDENT DVC TOWERS, VIP ROAD, ULTADANGA, KOLKATA-700 054 [PAN: AABCD 0541 M] APPEARANCES BY: SHRI A.K. TIWARI, CIT, D.R., FOR THE DEPARTMENT SHRI AKKAL DUDHWEWALA, ACA, FOR THE ASSESSEE DATE OF CONCLUDING THE HEARING : DECEMBER 13, 2017 DATE OF PRONOUNCING THE ORDER : DECEMBER 20, 2017 O R D E R PER SHRI P.M. JAGTAP, ACCOUNTANT MEMBER : THIS APPEAL IS PREFERRED BY THE REVENUE AGAINST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEALS)-15, KOLKATA DA TED 17.03.2016 AND IN THE SOLITARY GROUND RAISED THEREIN, THE REVENUE HAS CHALLENGED THE ACTION OF THE LD. CIT(APPEALS) IN HOLDING THAT THE PROVISIONS OF SECTION 115JB ARE NOT APPLICABLE IN THE CASE OF THE ASSESSE E. 2. THE ASSESSEE IN THE PRESENT CASE IS A CORPORATIO N, WHICH IS MAINLY ENGAGED IN THE BUSINESS OF MANUFACTURING OF COLD RO LLED & HIGH TENSILE STEEL. THE RETURN OF INCOME FOR THE YEAR UNDER CONS IDERATION WAS FILED BY IT ON 29.09.2010 DECLARING A LOSS OF RS.225.15 CROR ES. IN THE ASSESSMENT COMPLETED UNDER SECTION 143(3) VIDE AN ORDER DATED 12.03.2013, THE LOSS AS DECLARED BY THE ASSESSEE IN THE RETURN OF INCOME AS PER THE NORMAL 2 ITA NO. 1292/KOL/2016 ASSESSMENT YEAR: 2010-2011 PROVISIONS OF THE ACT WAS ACCEPTED BY THE ASSESSING OFFICER. HE, HOWEVER, DETERMINED THE DEEMED TOTAL INCOME OF THE ASSESSEE AT RS.1,69,44,88,035/- UNDER SECTION 115JB OF THE INCO ME TAX ACT, 1961. 3. AGAINST THE ORDER PASSED BY THE ASSESSING OFFICE R UNDER SECTION 143(3), AN APPEAL WAS PREFERRED BY THE ASSESSEE BEF ORE THE LD. CIT(APPEALS), WHO HELD BY RELYING ON THE DECISION O F THE TRIBUNAL IN ASSESSEES OWN CASE FOR A.YS. 2008-09 AND 2009-10 T HAT THE PROVISIONS OF SECTION 115JB WERE NOT APPLICABLE IN THE CASE OF TH E ASSESSEE AND ACCORDINGLY DIRECTED THE ASSESSING OFFICER NOT TO A SSESS THE TOTAL INCOME OF THE ASSESSEE BY APPLYING THE SAID PROVISION. AGG RIEVED BY THE ORDER OF THE LD. CIT(APPEALS), THE REVENUE HAS PREFERRED THI S APPEAL BEFORE THE TRIBUNAL. 4. WE HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AN D ALSO PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. AS AGREED BY THE LD. REPRESENTATIVE OF BOTH THE SIDES, THE SOLITARY ISSUE INVOLVED IN T HIS APPEAL OF THE REVENUE IS SQUARELY COVERED BY THE DECISION OF THE COORDINA TE BENCH OF THIS TRIBUNAL RENDERED IN ASSESSEES OWN CASE VIDE ITS C OMMON ORDER DATED 13.01.2016 PASSED IN ITA NOS. 1622/KOL/2011 & 451/K OL/2013, WHEREIN A SIMILAR ISSUE WAS DECIDED AFTER DISCUSSIN G ALL THE RELEVANT ASPECTS AS WELL AS CASE LAWS IN DETAILS BY THE TRIB UNAL BEFORE SUMMARISING ITS CONCLUSION IN PARAGRAPH NO. 3.16 AS UNDER:- THE ASSESSEE IS A STATUTORY CORPORATION NOT REGIST ERED UNDER THE COMPANIES ACT, 1956 AND HENCE THE PROVISI ONS OF SECTION 115JB OF THE ACT ARE NOT APPLICABLE TO T HE ASSESSEE CORPORATION; THE AMENDMENT BROUGHT IN SECTION 115JB OF THE ACT READ WITH EXPLANATION 3 THEREON BY THE FINANCE ACT, 2012 IS APPLICABLE ONLY WITH EFFECT FROM ASST. YEAR 2013-14 ONWARDS IN LINE WITH THE NOTES OF CLAUSES OF FINANC E ACT, 2012, AND A STATUTORY CLAIM COULD BE MADE BY WAY OF A LETTER BEFORE AN APPELLATE AUTHORITY EVEN WITHOUT FILING A REVISED RETURN IF THE FACTS WITH REGARD TO THE SAME ARE 3 ITA NO. 1292/KOL/2016 ASSESSMENT YEAR: 2010-2011 ALREADY AVAILABLE ON RECORD BEFORE THE LOWER AUTHOR ITIES AND THEY REMAIN UNDISPUTED. ACCORDINGLY THE GROUNDS NO. 1 TO 4 RAISED BY THE A SSESSEE IN ITA NO. 1622/KOL/2011 FOR THE ASST. YEAR 2008-09 AND GROUND NOS. 1 TO 5 RAISED BY THE ASSESSEE IN IT A NO. 451/KOL/2013 FOR THE ASST. YEAR 2009-10 ARE ALLOWED . 5. AS THE ISSUE INVOLVED IN THE YEAR UNDER CONSIDER ATION AS WELL AS ALL THE MATERIAL FACTS RELEVANT THERETO ARE SIMILAR, WE RESPECTFULLY FOLLOW THE ORDER OF THE COORDINATE BENCH OF THIS TRIBUNAL FOR THE SAID YEARS AND UPHOLD THE IMPUGNED ORDER OF THE LD. CIT(APPEALS) I N DIRECTING THE ASSESSING OFFICER NOT TO ASSESS THE TOTAL INCOME OF THE ASSESSEE BY APPLICATION OF SECTION 115JB OF THE ACT. 6. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISMISS ED. ORDER PRONOUNCED IN THE OPEN COURT ON 20 TH DAY OF DECEMBER, 2017. SD/- SD/- (S.S. VISWANETHRA RAVI) (P.M. JAGTAP) JUDICIAL MEMBER ACCOUNTANT MEMBER KOLKATA, THE 20 TH DAY OF DECEMBER, 2017 COPIES TO : (1) DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-9(1), KOLKATA, AAYAKAR BHAWAN, P-7, CHOWRINGHEE SQUARE, KOLKATA-700 069 2) M/S. DAMODAR VALLEY CORPORATION, DVC TOWERS, VIP ROAD, ULTADANGA, KOLKATA-700 054 (3) CIT(APPEALS)-15, KOLKATA, (4) CIT- , KOLKATA, (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE TRUE COPY BY ORDER SENIOR PRIVATE SECRETARY, HEAD OF OFFICE/DDO, INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.