ITO 16(1)(2), MUMBAI V. LAKHENI CONDOMINIUM, MUMBAI

ITA 1452/MUM/2011

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 79212 (ITAT-MUMBAI)
• Duration Of Justice: 3 year(s) 4 month(s) 12 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: 2006-2007
• Appeal Filed On: 18-02-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: K SHIVARAM; RAHUL K HAKANI

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. 1452/MUM/2011 ASSESSMENT YEAR: 2006-07 ITO 16(2)(1) MATRU MANDIR MUMBAI- 400 007 VS. LAKHENI CONDOMINIUM 4, BABULNATH, 1 ST CROSS LANE, CHOWPATTY, MUMBAI- 07 PAN: AAAAL 0511 G (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI K. SHIVARAM & SHRI RAHUL K. HAKANI REVENUE BY : SHRI SUNIL AGRAWAL 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 15.11.2010 FOR THE ASSES SMENT YEAR 2006-07. 2. IN THIS APPEAL, THE REVENUE HAS AGITATED THE DEC ISION OF THE LD.CIT(A) IN DELETING THE ADDITION OF RS.13,15,560/- MADE BY THE AO ON ACCOUNT OF TRANSFER CHARGES COLLECTED FROM THE MEMBERS OF THE SOCIETY. 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 FOLLOWED THE SAID RATIO FOR DELETING THE IMPUGNED A DDITION MADE BY THE AO, WE DO ITA NO. 1452/MUM/2011 LAKHENI CONDOMINIUM ASSESSMENT YEAR: 2006-07 2 NOT FIND ANY JUSTIFIABLE REASON TO INTERFERE WITH T HE ORDER PASSED BY THE LD.CIT(A) AND HENCE THE SAME IS UPHELD. 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.