Assistant Commissioner of Income Tax,Circle -4, Nagpur V. Smt. Sangeeta S.Agrawal , Nagpur

ITA 145/NAG/2011

• Counselvise Citation: [2013] 120 COUNSELVISE.COM (IT) 1928 (ITAT-NAGPUR)
• Duration Of Justice: 1 year(s) 2 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-01-2013
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2009-2010
• Appeal Filed On: 24-10-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: H WANARE DR MILIND BHUSARI
• Assessee Lawyers: S C THAKAR
• Keywords: Capital receipt

Judgement Text

, - IN THE INCOME TAX APPELLATE TRIBUNAL NAGPUR , BENCH , ( E - COURT), MUMBAI , BEFORE SHRI R.K.GUPTA , J M & SHRI RAJENDRA , A M ITA NO. 144 &145 / N AG / 20 1 1 ( ASSESSMENT YEAR : 200 8 - 0 9 & 2009 - 10 ) ACIT, CIR - 4 , SADAR, NAGPUR (MAHARASHTRA) VS. SANGEETA S. AGRAWAL, 918 - 920, DESHPANDE LAY OUT, WARDHAMAN NAGAR, NAGPUR - 440 009 . PAN/GI R NO. : A BFPA 1042 C ( APPELLANT ) .. ( RESPONDENT ) /REVENUE BY : MR. H.WANARE &DR. MILIND BHUSARI /ASSESSEE BY : MR. S.C.THAKAR DATE OF HEARING : 21 ST DE C ., 2012 DATE OF PRONOUNCEMENT : 2 ND JAN . ,201 3 O R D E R P ER SHRI R.K.G UPTA, JM : TH E DEPARTMENT HAS PREFERRED THESE TWO APPEALS BEFORE THE ITAT NAGPUR BENCH, NAGPUR, AGAINST THE ORDER OF LEANED CIT (A) - I I , NAGPUR (MAH ARASHTRA) , WHICH HAS BEEN HEARD THROUGH E - COURT, MUMBAI . 2 . THE DEPARTMENT IN ITS APPEAL S RAISES OBJECTION IN REGARD TO HOLDING THAT THE SALES TAX INCENTIVE RECEIVED BY THE ASSESSEE IS A CAPITAL RECEIPTS. THE DEPARTMENT IS ALSO OBJECTING THAT EARLIER ORDE R OF THE TRIBUNAL HAS NOT BEEN ACCEPTED BY THE DEPARTMENT AS THE DEPARTMENT HAS PREFERRED APPEAL BEFORE THE HON BLE HIGH COURT. ITA NO S . 144&145 /20 1 1 2 3 . DURING THE ASSESSMENT PROCEEDING, THE AO NOTICED THAT THE ASSESSEE HAS SHOWN AN AMOUNT OF SUBSIDY OF RS. 92,71,443/ - AND RS. 1, 38,86,848/ - AS CAPITAL RECEIPT NOT TAXABLE. THE AO HELD THAT THE SALES TAX INCENTIVE RECEIVED BY THE ASSESSEE, WHICH WAS RECEIVED AS PER THE SCHEME OF MAHARASHTRA GOVERNMENT UNDER PACKAGE SCHEME OF INCENTIVES IN NATURE, THEREFORE, THESE AMOUNTS WERE BROUGH T TO TAX B Y THE AO FOR BOTH OF THE YEARS RESPECTIVELY. 4 . DETAILS SUBMISSION WERE FILED BEFORE THE CIT(A) . RELIANCE WAS PLACED ON THE DECISION OF THE TRIBUNAL FOR THE ASSESSMENT YEAR 2004 - 05 & 2005 - 06, DECIDED IN ITA NO. 17 & 18/NAG/2007, VIDE ORDER DATED 24 - 10 - 2007. ACCORDINGLY, THE APPEAL FOR THE TWO YEARS UNDER CON SI DERATION WERE ALSO ALLOWED BY LEARNED CIT(A) . NOW, THE DEPARTMENT IS IN APPEAL HERE BEFORE THE TRIBUNAL. 5 . LEARNED DR PLACED RELIANCE ON THE ORDER OF AO. 6 . ON THE OTHER HAND, LEARNED AR OF THE ASSESSEE PLACED RELIANCE ON THE ORDER OF THE LEARNED CIT(A) . 7 . AFTER CONSIDERING THE ORDER OF THE AO AND THE CIT(A) , WE FOUND NO INFIRMITY IN THE ORDER OF LEARNED CIT(A ) , WHO HAS DECIDED THE ISSUE IN FAVOUR OF THE ASSESSEE FOR BOTH OF THE YEARS FOLLOWING THE DECISION OF THE TRIBUNAL FOR ASSESSMENT YEARS 2004 - 05 & 2005 - 06 INCASE OF ASSESSEE ITSELF, WHEREBY AN IDENTICAL FACTS AND ISSUES WERE DECIDED IN FAVOUR OF THE ASSESSEE FOLLOWING THE DECISION OF SPECIAL BENCH REPORTED IN 88 ITR 273 (MUM) (SB) . THEREFORE, THERE IS NO REASON TO ITA NO S . 144&145 /20 1 1 3 INTERFERE IN THE FINDING OF THE LEARNED CIT(A) . ACCORDINGLY, WE CONFIRM THE ORDER OF THE LEARNED CIT(A) FOR BOTH OF THE YEARS. 8 . IN THE RESULT , APPEAL S OF THE DEPARTMENT ARE DISMISSED . ORDER PRONOUNCED IN THE E - COURT ON THIS 2 ND DAY OF JAN . 201 3 . - 201 3 SD/ - SD/ - ( ) ( RAJENDRA ) ( ) ( R.K. GUPTA ) / ACCOUNTANT MEMBER / JUDICIAL MEMBER MUMBAI ; DATED : 02 / 01 / 201 3 . /PKM , PS COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / THE CIT(A) , MUMBAI / NAGPUR . 4. / CIT 5. / DR, ITAT, MUMBAI / NAGPUR . 6. GUARD FILE. //TRUE COPY// / BY ORDER, ( DY./ASSTT. REGISTRAR) / ITAT, MUMBAI