Appeal details
Counselvise Citation
[2014] 140 COUNSELVISE.COM (IT) 76161 (ITAT-PUNE)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
1 year(s) 1 month(s) 5 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
21-02-2014
Appeal Filed By
Assessee
Order Result
Dismissed
Bench Allotted
B
Assessment Year
2008-2009
Appeal Filed On
15-01-2013
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH B , PUNE BEFORE: SHRI R.S. PADVEKAR, JUDICIAL MEMBER AND SHRI R.K. PANDA, ACCOUNTANT MEMBER ITA NO. 1 4 4 /PN/20 1 3 ASSESSMENT YEAR : 200 8 - 09 KOLHAPUR DIST. CENTRAL CO - OP. BANK LTD., 1092/E, SHAHUPURI, DISTT. - KOLHAPUR VS. THE DY. COMMISSIONER OF INCOME TAX, CIRCLE - 2, DISTT. - KOLHAPUR (APPELLANT) (RESPONDENT) PAN NO. AAAAK1037G APPELLANT BY: SHRI SUSHANT PHADNIS RESPONDENT BY: SHRI S.P. WALIMBE DATE OF HEARING : 0 5 - 02 - 2014 DATE OF PRONOUNCEMENT : 21 - 0 2 - 2014 ORDER P ER R.S. PADVEKAR , JM : - THIS APPEAL IS FILED BY THE ASSESSEE CHALLENGING THE IMPUGNED ORDER OF THE LD. CIT(A) , KOLHAPUR DATED 05 - 11 - 2012 FOR THE A.Y. 200 8 - 09. THE ASSESSEE HAS TAKEN THE FOLLOWING GROUND IN THE APPEAL: ON THE FACTS AND IN CIRCUMSTANCES OF THE CASE THE LEARNED CIT(APPEALS) ERRED IN LAW ON MERIT IN UPHOLDING THE ADDITIONS OF RS. 1, 3 9,00,000/ - TO THE TOTAL INCOME FOR THE PROVISIONS MADE FOR STANDARD ASSETS . 2. THE ISSUE IS IN RESPEC T OF THE DISALLOWANCE OF THE PROVISION MADE FOR STANDARD ASSETS. 3. WE HAVE HEARD THE PARTIES. THE ASSESSEE IS A CO - OPERATIVE SOCIETY AND ENGAGED IN THE BUSINESS OF BANKING. FOR THE A.Y. 2008 - 09 , THE ASSESSEE FILED THE RETURN OF INCOME DECLARING TOTAL LOSS OF 2 ITA NO. 1 4 4 /PN/2013, KOLHAPUR DIST. CENTRAL CO - OP. BANK LTD., KOLHAPUR RS.29,92,29,606/ - . THE ASSESSEES CASE WAS SELECTED FOR SCRUTINY AND ASSESSMENT HAS BEEN COMPLETED U/S. 143(3) OF THE INCOME - TAX ACT. IT WAS NOTICED BY THE ASSESSING OFFICER THAT THE ASSESSEE HAD DEBITED THE PROVISION OF STANDARD ASSETS TO THE PR OFIT AND LOSS ACCOUNT WHICH WAS TO THE EXTENT OF RS.1,39,00,000/ - . THE ASSESSING OFFICER MADE THE DISALLOWANCE AND REDUCED THE LOSS. THE ASSESSEE CARRIED THE ISSUE BEFORE THE CIT(A) BUT WITHOUT SUCCESS. NOW THE ASSESSEE IS IN APPEAL BEFORE US. 4. WE HAV E HEARD THE PARTIES. THE LD. COUNSEL FAIRLY SUBMITTED THAT THE IDENTICAL ISSUE IS DECIDED IN THE CASE OF SINDHUDURG DIST. CENTRAL CO - OP. BANK LTD. BEING ITA NO. 617/PN/2011 WHICH IS AGAINST THE ASSESSEE BANK. THE LD. COUNSEL ALSO FILED THE COPY OF THE TR IBUNALS ORDER IN THE CASE OF SINDHUDURG DIST. CENTRAL CO - OP. BANK LTD. IN ITA NO. 617/PN/2011. WE FIND THAT THE IDENTICAL ISSUE HAS BEEN DECIDED BY THE TRIBUNAL IN THE CASE OF SINDHUDURG DIST. CENTRAL CO - OP. BANK LTD. (SUPRA) AND THE OPERATIVE PART OF THE FINDINGS OF THE TRIBUNAL IN THE A.Y. 2007 - 08 IS AS UNDER: WE HAVE CAREFULLY CONSIDERED THE RIVAL SUBMISSIONS. IN OUR VIEW, THE COMMISSIONER OF INCOME - TAX (APPEALS) HAS CORRECTLY APPRECIATED THE POSITION AND SUSTAINED THE DISALLOWANCE FOLLOWING THE JUD GMENT OF THE HON'BLE SUPREME COURT THE CASE OF SOUTHERN TECHNOLOGIES LTD. (SUPRA). THE HON'BLE SUPREME COURT HAS CLEARLY POINTED OUT THAT CLAIM FOR DEDUCTION OF AN EXPENDITURE IS LIABLE TO BE GOVERNED BY THE PROVISIONS OF THE ACT AND NOT MERELY ON ACCOUNT OF THE RBI GUIDELINES. IN OUR VIEW, THE RATIO OF THE JUDGMENT OF THE HON'BLE SUPREME COURT THE CASE OF SOUTHERN TECHNOLOGIES LTD. (SUPRA) CLEARLY APPLIES TO THE PRESENT CASE AND THE CLAIM OF THE ASSESSEE HAS BEEN RIGHTLY REJECTED BY THE LOWER AUTHORITIES. THUS, ON THIS GROUND, ASSESSEE HAS TO FAIL. 5 . THE LD. CIT(A) HAS FOLLOWED THE DECISION OF THIS TRIBUNAL IN THE CASE OF SINDHUDURG DIST. CENTRAL CO - OP. BANK LTD. (SUPRA) HENCE, IN OUR 3 ITA NO. 1 4 4 /PN/2013, KOLHAPUR DIST. CENTRAL CO - OP. BANK LTD., KOLHAPUR OPINION NO INTERFERENCE IS CALLED FOR IN THE ORDER OF THE LD. CIT(A) ON THIS ISSUE. WE, ACCORDINGLY, CONFIRM THE SAME AND GROUND TAKEN BY THE ASSESSEE IS DISMISS ED . 6 . IN THE RESULT, THE ASSESSEES APPEAL IS DISMISSED. PRONOUNCED IN THE OPEN COURT ON 21 - 0 2 - 201 4 SD/ - SD/ - ( R.K. PANDA ) ( R.S. PADVEKAR ) ACCOUNT ANT MEMBER JUDICIAL MEMBER RK /PS PUNE , DATED : 21 ST FEBRUARY, 2014 COPY TO 1 ASSESSEE 2 DEPARTMENT 3 THE CIT(A) , KOLHAPUR 4 THE CIT, KOLHAPUR 5 THE DR, ITAT, B BENCH, PUNE . 6 GUARD FILE. //TRUE COPY// BY ORDER PRIVATE SECRETARY INCOME TAX APPELLATE TRIBUNAL PUNE
