ITO 16(2)(1), MUMBAI V. ASHUTOSH CHS LTD, MUMBAI

ITA 1386/MUM/2011

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 79209 (ITAT-MUMBAI)
• Duration Of Justice: 3 year(s) 4 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-07-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: I
• Next Hearing Date: 01-07-2014
• Assessment Year: 2005-2006
• Appeal Filed On: 17-02-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: B V JHAVERI

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH I, MUMBAI BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER AND DR. S.T.M. PAVALAN, JUDICIAL MEMBER ITA NO. 1386/MUM/2011 ASSESSMENT YEAR: 2005-06 ITO 16(2)(1) MATRU MANDIR MUMBAI- 400 007 VS. ASHUTOSH CHS LTD. 38-A, NEPEANSEA ROAD, MUMBAI- 400 036 PAN: AAAAA 2921 K (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI B.V. J H AVERI REVENUE BY : SHRI SANJEEV JAIN DATE OF HEARING : 01.07.2014 DATE OF PRONOUNCEMENT : 01.07.2014 O R D E R PER DR. S.T.M. PAVALAN, JM: THIS APPEAL FILED BY THE REVENUE IS DIRECTED AGAIN ST THE ORDER OF THE LD.CIT(A)-27, MUMBAI DATED 03.11.2010 FOR THE ASSES SMENT YEAR 2005-06. 2. IN THIS APPEAL, THE REVENUE HAS AGITATED THE DEC ISION OF THE LD.CIT(A) IN DELETING THE ADDITION OF RS.15,00,000/- MADE BY THE AO ON ACCOUNT OF MISCELLANEOUS RECEIPTS COLLECTED AS DEPOSITS FROM THE MEMBERS OF THE SOCIETY FOR CARRYING OUT REPAIR WORKS IN THEIR FLATS. 3. HAVING HEARD BOTH THE SIDES AND PERUSED THE MATE RIAL ON RECORD, IT IS NOTED THAT THE ISSUE RAISED IN THIS APPEAL IS SQUARELY CO VERED IN FAVOUR OF THE ASSESSEE BY THE DECISIONS OF THE HONBLE BOMBAY HIGH COURT IN T HE CASES OF M/S SUPRABHAT CHS LTD. IN ITA NO. 172 OF 2009 FOR THE ASSESSMENT YEAR 2003-04 AND M/S. SHYAM CHS LTD. IN ITA NOS. 92, 93 AND 206 OF 2008 FOR THE ASS ESSMENT YEARS 1999-2000 TO 2001-02, WHEREIN IT HAS BEEN HELD THAT THE TRANSFER FEE RECEIVED BY THE ASSESSEE IS COVERED BY THE PRINCIPLE OF MUTUALITY AND ACCORDING LY IT DOES NOT FORM PART OF THE ASSESSEES TAXABLE INCOME. IN VIEW OF THE FACT THAT THE LD.CIT(A) HAS CORRECTLY APPRECIATED THE FACTS IN THE LIGHT OF THE SAID RATI O FOR DELETING THE IMPUGNED ADDITION ITA NO. 1386/MUM/2011 ASHUTOSH CHS LTD. ASSESSMENT YEAR: 2005-06 2 MADE BY THE AO, WE DO NOT FIND ANY JUSTIFIABLE REAS ON TO INTERFERE WITH THE ORDER PASSED BY THE LD.CIT(A) AND HENCE THE SAME IS UPHEL D. 4. IN THE RESULT, THE APPEAL FILED BY THE REVENUE IS DISMISSED . ORDER PRONOUNCED IN THE OPEN COURT ON THIS 1 ST DAY OF JULY, 2014. SD/- SD/- (N.K. BILLAIYA) (DR. S.T.M. PAVALAN) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATED: 01.07.2014 *SRIVASTAVA COPY TO: THE APPELLANT THE RESPONDENT THE CIT, CONCERNED, MUMBAI THE CIT(A) CONCERNED, MUMBAI THE DR I BENCH //TRUE COPY// BY ORDER DY/ASSTT. REGISTRAR, ITAT, MUMBAI.