Surat Nagrik Sahkari Bank Ltd., Surat V. The ACIT.,Circle-9, Surat

ITA 1550/AHD/2010

• Counselvise Citation: 155020514 RSA 2010
• Duration Of Justice: 3 year(s) 4 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-09-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 25-07-2013
• Assessment Year: 2006-2007
• Appeal Filed On: 11-05-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: J P JHANGID
• Assessee Lawyers: RASESH SHAH
• Keywords: Depreciation; Earning of tax free income; Unabsorbed depreciation
• Section: 143(3); 14A; 10

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH AHMEDABAD (BEFORE SHRI A. MOHAN ALANKAMONY, AM AND SHRI KUL B HARAT, JM) ITA NO.1550/AHD/2010 ( A. Y.2006-07) SURAT NAGRIK SAHKARI BANK LTD., B/H. GITANJALI CINEMA, VARACHHA ROAD, SURAT P. A. NO. AAAAS 5698D VS THE A. C. I. T., CIRCLE-9, AAYAKAR BHAVAN, MAJURA GATE, SURAT (APPELLANT) (RESPONDENT) APPELLANT BY SHRI RASESH SHAH, AR RESPONDENT BY SHRI J. P. JHANGID, SR. DR DATE OF HEARING: 25-07-2013 DATE OF PRONOUNCEMENT: 13-09-2013 O R D E R PER A. MOHAN ALANKAMONY: THIS APPEAL IS FILED BY THE ASSESSEE BEING AGGRIEVED BY THE ORDER OF THE LEARNE D CIT(A)-V, SURAT IN APPEAL NO.CAS-V/16/2009-10 DATED 25-02-2010 PASSED U/S 250 READ WITH SECTION 143 (3) OF THE INCOME TAX ACT, 1961, F OR THE ASSESSMENT YEAR 2006-07. 2. THE ASSESSEE IN HIS APPEAL HAS RAISED THREE GROU NDS WHEREIN GROUND NO.2 AND 3 ARE GENERAL IN NATURE AND DO NOT SURVIVE FOR ADJUDICATION. THE SOLE SURVIVING GROUNDS NO.1 IS RE PRODUCED HEREIN UNDER FOR REFERENCE:- 1. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AS W ELL AS LAW ON THE SUBJECT, THE LEARNED CIT (APPEALS) HAS ERRED IN CON FIRMING THE ACTION OF THE ASSESSING OFFICER IN DISALLOWING THE CLAIM FOR CARRY ITANO.1550/A/2010(AY-2006-07) SURAT NAGRIK SAHKARI BANK LTD. VS ACIT, CIR-9, SURA T 2 FORWARD OF UNABSORBED DEPRECIATION LOSS OF RS.20,73 ,435/- BY WRONGLY INVOKING PROVISION OF SECTION 14A OF THE I. T. ACT, 1961. 3. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE I S A CO-OPERATIVE SOCIETY ENGAGED IN THE BANKING BUSINESS FILED ITS R ETURN OF INCOME ALONG WITH AUDIT REPORT U/S 44AB OF THE ACT IN FORM NO.3C B AND 3CD, FOR THE ASSESSMENT YEAR 2006-07 ON 29-12-2006 DECLARING ITS INCOME AT NIL. THE CASE WAS PROCESSED U/S 143(1) AND SELECTED FOR SCRUTINY U/S 143(2) OF THE ACT. ULTIMATELY, THE LEARNED AO PASSED THE ASSESSMENT ORDER U/S 143(3) OF THE ACT ON 17-11-2008 DETERMINING THE TOT AL INCOME OF THE ASSESSEE AT NIL, WHEREIN ASSESSEES CLAIM FOR CARRY FORWARD OF UNABSORBED DEPRECIATION FOR RS.20,73,435/- HAS BEEN REJECTED. DURING THE COURSE OF ASSESSMENT PROCEEDINGS THE LEARNED AO OBSERVED THAT IN THE RETURN OF INCOME FILED BY THE ASSESSEE IT HAD S HOWN ELIGIBLE DEPRECIATION FOR RS.21,13,333/- AGAINST THE BLOCK O F ASSETS CONSISTING FURNITURE & FIXTURE, PLANT & MACHINERY, BANK LOCKER S, BUILDINGS, COMPUTER SYSTEM, MOTOR CAR ETC., WHICH WERE USED FOR THE PUR POSE OF BANKING BUSINESS OF THE ASSESSEE, INCOME FROM WHICH WERE NO T INCLUDED IN THE TOTAL INCOME OF THE ASSESSEE BY VIRTUE OF DEDUCTION U/S 80 P OF THE ACT. HOWEVER, IN THE RETURN OF INCOME THE ASSESSEE HAD C ARRY FORWARDED A SUM OF RS.20,73,435/- TO THE SUBSEQUENT ASSESSMENT YEAR AS UNABSORBED DEPRECIATION OUT OF THE TOTAL ELIGIBLE D EPRECIATION OF RS.21,13,333/-. THE LEARNED AO QUERIED AS TO WHY TH E ASSESSEES CLAIM FOR CARRY FORWARD OF UNABSORBED DEPRECIATION SHOULD NOT BE REJECTED. THE EXTRACT OF THE RELEVANT PORTION OF THE ASSESSEE S REPLY IS REPRODUCED HEREIN BELOW FOR REFERENCE:- AS PER THE SCHEME OF THE INCOME TAX ACT, AN ASSESS EE IS REQUIRED TO COMPUTE INCOME UNDER THE FOLLOWING HEADS. A. SALARIES B. INCOME FROM HOUSE PROPERTY C. INCOME FROM BUSINESS OR PROFESSION ITANO.1550/A/2010(AY-2006-07) SURAT NAGRIK SAHKARI BANK LTD. VS ACIT, CIR-9, SURA T 3 D. CAPITAL GAINS E. INCOME FROM OTHER SOURCES AFTER CALCULATING INCOME UNDER THE ABOVE HEADS, INC OME FROM ALL THE HEADS ARE TO BE AGGREGATED. LOSS INCURRED UNDER ANY HEAD CAN BE SET OFF AGAINST INCOME FROM OTHER HEADS AS PER THE PROVISIONS OF THE ACT AND GROSS TOTAL INCOME HAS TO BE ARRIVED AT. FR OM GROSS TOTAL INCOME AN ASSESSEE IS ENTITLED TO VARIOUS DEDUCTION S UNDER CHAPTER VIA VIDE SECTIONS 80 A TO 80 U. DEDUCTION AVAILABLE UNDER CHAPTER VIA IS IRRESPECTI VE OF THE SOURCE OF INCOME AS PER THE PROVISIONS OF THE ACT, THE AVA ILABILITY OF DEDUCTION UNDER CHAPTER VIA DOES NOT MAKE THE INCOM E EXEMPT. EXEMPT INCOMES HAVE BEEN CLEARLY STATED UNDER CHAPT ER II VIDE SEC. 10. INCOME FROM BANKING BUSINESS IS NOT EXEMPT. HOW EVER, AN ASSESSEE BEING A CO-OPERATIVE SOCIETY, CARRYING ON BUSINESS OF BANKING IS ENTITLED TO DEDUCTION AS PER THE PROVISI ONS OF SEC. 80 P OF INCOME TAX ACT. WE ARE CARRYING ON BUSINESS OF BANKING AND WHILE CA LCULATING INCOME FROM BUSINESS OR PROFESSION WE HAVE INCURRED A NET LOSS OF RS.20,73,435/- BEING UNABSORBED DEPRECIATION. WE AR E ENTITLED TO CARRY FORWARD OF THE UNABSORBED DEPRECIATION. THE CONTENTION OF THE ASSESSEE IS NOT ACCEPTABLE AS PER THE PROVISIONS OF THE INCOME TAX ACT, 1961LAID DOWN THR OUGH THE SECTION 14 A WHICH IS REPRODUCED BELOW FOR REFERENCE FOR THE PURPOSE OF COMPUTING THE TOTAL INCOME UNDER THIS CHAPTER, NO DEDUCTION SHALL BE ALLOWED IN RESPECT OF THE EXPEND ITURE INCURRED BY THE ASSESSEE IN RELATION TO INCOME WHICH DOES NOT F ORM PART OF THE TOTAL INCOME UNDER THIS ACT. 3.1 HOWEVER, NOT BEING SATISFIED WITH THE EXPLANATI ON OFFERED BY THE ASSESSEE, THE LEARNED AO REJECTED THE ASSESSEES CL AIM FOR CARRY FORWARD OF UNABSORBED DEPRECIATION OF RS.20,73,435/ - BY INVOKING THE PROVISIONS OF SECTION 14A OF THE ACT. RELEVANT PORT ION OF HIS FINDING IS REPRODUCED HEREIN UNDER FOR REFERENCE:- 4.2 AS PER THE ABOVE PROVISION OF THE I. T. ACT NO EXPENSE BE ALLOWED AS DEDUCTION WHICH RELATED WITH THE INCOME WHICH DO ES NOT FORM PART OF THE TOTAL INCOME OF THE ASSESSEE. HERE THE ASSESSEE IS MAINLY CO- OPERATIVE SOCIETY CARRYING ON THE BUSINESS OF BANKI NG UNDER THE LICENSE GRANTED BY RESERVE BANK OF INDIA AND ITS MAIN SOURC E OF INCOME IS THROUGH THE BANKING BUSINESS WHICH IS ELIGIBLE FOR DEDUCTION U/S 80 OP OF THE I. T. ACT AND ASSESSEE IS REGULARLY AVAILING THAT BENEFIT. BUT IN THE ITANO.1550/A/2010(AY-2006-07) SURAT NAGRIK SAHKARI BANK LTD. VS ACIT, CIR-9, SURA T 4 CURRENT YEAR ASSESSEE HAS INCURRED LOSS OF RS.20,73 ,435/- WHICH IS MAINLY DEPRECIATION LOSS INCURRED BY ASSESSEE FOR E ARNING INCOME WHICH IS ALLOWABLE AS DEDUCTION U/S 80 P OF THE I. T. ACT , HENCE THE DEPRECIATION LOSS INCURRED BY ASSESSEE IS NOTHING B UT AN EXPENSE INCURRED BY ASSESSEE IN THE PROCESS OF EARNING INCO ME WHICH IS ALLOWABLE AS DEDUCTION U/S 80 P OF THE I. T. ACT AN D SAME HAS BEEN REITERATED BY ASSESSEE THROUGH HIS NOTES ATTACHED W ITH THE COMPUTATION OF INCOME ATTACHED TO THE RETURN OF INCOME. IN VIEW OF THIS ASSESSEE INCOME EARNED THROUGH BANKING BUSINESS DOES NOT FOR M PART OF THE TOTAL INCOME OF THE ASSESSEE AND HENCE THE EXPENSE INCURR ED IN THE PROCESS OF EARNING THAT INCOME THROUGH DEPRECIATION CANNOT BE ALLOWED TO CARRY FORWARD TO SUBSEQUENT YEAR TO BE SET OFF AGAINST OT HER TAXABLE INCOME EARNED BY ASSESSEE. HENCE THE CLAIM OF ASSESSEE TO CARRY FORWARD DEPRECIATION LOSS OF RS.20,73,435/- FOR THE SUBSEQU ENT YEAR IS HEREBY REJECTED. 3.2 THE ASSESSEE CARRIED THE MATTER IN APPEAL BEFOR E THE LEARNED CIT(A) AND THE LEARNED CIT(A) UPHELD THE ORDER OF T HE LEARNED AO BY OBSERVING AS UNDER:- 6. THE APPELLANT CO-OPERATIVE SOCIETY DERIVES ITS INCOME FROM BANKING OPERATIONS IN RESPECT OF WHICH IT CLAIMS DE DUCTION U/S 80 P. AFTER PROVIDING FOR THE CLAIM OF DEPRECIATION IN RE SPECT OF ASSETS USED TO DERIVE THE IMPUGNED INCOME, THE APPELLANT HAS CARRI ED FORWARD UNABSORBED DEPRECIATION LOSS OF RS.20,73,435/- TO T HE SUBSEQUENT YEAR. THE ASSESSING OFFICER DISALLOWED THE CARRY FORWARD OF UNABSORBED DEPRECIATION CLAIM AS DEPRECIATION CLAIMED RELATED TO INCOME ON WHICH APPELLANT FULLY CLAIMED DEDUCTION U/S 80P AS PROVID ED IN CHAPTER VI A OF THE I. T. ACT. THE APPELLANT CONTENDS THAT SECTI ON 14A AS ENSHRINED IN THE AC IS APPLICABLE IN RESPECT OF EXEMPT INCOMES M ENTIONED IN CHAPTER III AND CANNOT BE APPLIED TO INCOME IN RESPECT OF W HICH DEDUCTIONS HAVE BEEN CLAIMED UNDER CHAPTER VIA, EVEN THOUGH IT IS T O THE EXTENT OF 100%. 6.1 A PLAIN READING OF SECTION 14A REVEALS THAT AN Y EXPENDITURE WHICH IS RELATED TO THE INCOME WHICH DOES NOT FORM PART OF THE TOTAL INCOME UNDER THE ACT WILL NOT BE ALLOWED AS DEDUCTI ON. IN ORDER TO CONSIDER THE TOTAL INCOME OF THE ASSESSEE, EFFECT H AS TO BE GIVEN TO ALL THE PROVISIONS OF THE ACT INCLUDING THE DEDUCTIONS PERMISSIBLE UNDER CHAPTER VI A. IT IS PERTINENT TO MENTION THAT THE F IRST STEP FOR COMPUTATION OF TOTAL INCOME IS TO DETERMINE THE INC OME UNDER VARIOUS HEAD OF INCOME AS SPECIFIED UNDER SECTION 14 OF THE ACT. AFTER WORKING OUT THE GROSS TOTAL INCOME, DEDUCTIONS AS PERMISS IBLE UNDER CHAPTER VI A ARE TO BE MADE WHICH RESULTS IN THE TOTAL INC OME. THE GROSS TOTAL INCOME IS, THEREFORE, THE INCOME AS COMPUTED UNDER THE PROVISIONS OF THE ACT BEFORE PROVIDING FOR THE DEDU CTIONS UNDER CHAPTER VI A. ITANO.1550/A/2010(AY-2006-07) SURAT NAGRIK SAHKARI BANK LTD. VS ACIT, CIR-9, SURA T 5 6.2 THE LEGISLATURE HAS CONSCIOUSLY USED THE WORDS TOTAL INCOME IN CONTRAST TO GROSS TOTAL INCOME IN SECTION 14A. TH EREFORE, FOR THE PURPOSE OF ATTRACTING THE PROVISIONS OF SECTION 14A , ONE WILL HAVE TO CONSIDER AS TO WHETHER THE INCOME SPECIFIED UNDER 8 0 P IS INCLUDED IN THE TOTAL INCOME OR NOT. 6.3 ADMITTEDLY, THE INCOME REFERRED TO IN SECTION 80P IS INCLUDED IN THE GROSS TOTAL INCOME BUT ONCE THE SAID INCOME I S EXCLUDED BY VIRTUE OF DEDUCTION U/S. 80 P (2) (A), IT CAN NO LONGER BE SAID TO BE INCLUDED IN THE RESULTANT TOTAL INCOME. SINCE DEDUCTION U/S. 80 P IS ALLOWED TO THE ASSESSEE OUT OF THE GROSS TOTAL INCOME, THE INCOM E DESCRIBED IN SECTION 80P (2) (A) IS NO LONGER INCLUDED IN THE T OTAL INCOME, NOT WITHSTANDING THE FACT THAT THE SAID INCOME WAS INCL UDED IN THE GROSS TOTAL INCOME. ACCORDINGLY, SECTION 14A IS APPLICAB LE EVEN IN RESPECT OF THE INCOMES WHICH ARE EXCLUDED FROM THE TOTAL INCO ME BY VIRTUE OF DEDUCTIONS UNDER CHAPTER VI A. 6.4 THIS VIEW GETS FURTHER SUPPORT FROM THE PRESCR IBED FORM OF RETURN OF INCOME. THE COLUMN IN THE RETURN PROVIDED FOR TH E GROSS TOTAL INCOME PRECEDES THE COLUMN FOR DEDUCTIONS UNDER CH APTER VI A WHICH IN TURN PRECEDED THE COLUMN TOTAL INCOME. IT IS, THEREFORE, EVIDENT THAT TOTAL INCOME AS PER THE RETURN DOES NOT INCLUDE T HE INCOME REFERRED TO IN SECTION 80P. THEREFORE, THE PROVISIONS OF SECTIO N 14A INSERTED WITH EFFECT FROM 1 ST APRIL, 1962 ARE CLEARLY ATTRACTED IN THIS CASE. DE DUCTIONS PERMISSIBLE TO THE ASSESSEE U/S. 80P, IS IN RESPECT OF THE NET INCOME, AFTER EXCLUDING THE EXPENSES ATTRIBUTED TO THE INCO ME REFERRED TO IN SECTION 80P. 6.5 THE RECENT DECISION OF THE HONBLE ITAT, CHAND IGARH, IN T4HE CASE OF PUNJAB STATE CO-OPERATIVE MILK PRODUCERS FEDERAT ION LTD. VS ITO [2007] 104 ITD 408 AND 106 TTJ 51 SUPPORTS THIS VIE W AS WELL WHEREIN THEIR LORDSHIPS HELD THAT SECTION 14A APPLIES TO DE DUCTION UNDER SECTION 80P (2) (D) AND DEDUCTION UNDER THE SAID SECTION IS ALLOWABLE IN RESPECT OF NET INCOME AFTER DEDUCTION OF EXPENSES ATTRIBUTA BLE TO THE EARNING OF SUCH INCOME. 6.6 WITH RESPECT TO APPELLANTS CONTENTION THAT TH E AO ERRED IN TREATING THE CLAIM OF DEPRECIATION AS NORMAL BUSINE SS EXPENDITURE INSTEAD OF AN ALLOWANCE U/S. 32, IT IS RELEVANT TO MENTION THAT SECTION 14A DOES NOT ENTAIL ANY SPECIAL TREATMENT TO ALLOWA NCE OR DEPRECIATION. IN THE ABSENCE OF ANY SPECIFIC TREATMENT, THE GENER AL MEANING OF THE TERM EXPENDITURE AS CONTAINED IN THE SAID SECTION IS TO BE ADHERED TO. THE INTERNATIONAL ACCOUNTING STANDARDS BOARD DEFINE S EXPENSES AS . DECREASE IN ECONOMIC BENEFITS DURING THE ACCOUN TING PERIOD IN THE FORM OF OUTFLOWS OR DEPLETION OF ASSETS OR INCURREN CE OF LIABILITIES THAT RESULT IN DECREASES IN EQUITY, OTHER THAN THOSE REL ATING TO DISTRIBUTION TO EQUITY PARTICIPANTS. DEPRECIATION IS NOTHING BUT D EPLETION OF ASSETS AS REFERRED TO IN THE DEFINITION MENTIONED ABOVE. ITANO.1550/A/2010(AY-2006-07) SURAT NAGRIK SAHKARI BANK LTD. VS ACIT, CIR-9, SURA T 6 6.7 THE FURTHER CONTENTION THAT DEPRECIATION ALLOW ANCE HAS TO BE COMPULSORILY CLAIMED AS PER EXPLANATION 5 OF SECTIO N 32, DOES NOT NECESSARILY ALTER APPLICABILITY OR PROVISIONS OF SE CTION 14A. 6.8 6.9 6.10 IN VIEW OF THESE, I UPHOLD THE ACTION OF THE ASSESSING OFFICER AND DISMISS THE APPEAL OF THE APPELLANT. 3.3 AGAINST THE ABOVE FINDINGS OF THE LEARNED CIT(A ), THE ASSESSEE IS NOW IN APPEAL BEFORE US. 4. BEFORE US THE LEARNED AR REITERATED THE SUBMISSI ONS MADE BEFORE THE AUTHORITIES BELOW WHILE AS THE LEARNED DR ARGUE D IN SUPPORT OF THE ORDER OF THE LEARNED CIT(A) AND PRAYED THAT HIS ORD ER MAY BE UPHELD. 5. WE HAVE HEARD THE RIVAL SUBMISSIONS, PERUSED THE ORDERS OF THE REVENUE AND CAREFULLY CONSIDERED THE MATERIALS AVAI LABLE ON RECORD. THE REVENUE HAS INVOKED THE PROVISIONS OF SECTION 14A ( 1) OF THE ACT IN ORDER TO DISALLOW CARRY FORWARD OF DEPRECIATION OF RS.20, 73,435/- WHICH REMAINED TO BE UNABSORBED DURING THE RELEVANT PREVI OUS YEAR. THE PROVISIONS OF SECTION 14A (1) PROVIDES AS UNDER:- 14A (1) FOR THE PURPOSES OF COMPUTING THE TOTAL IN COME UNDER THIS CHAPTER, NO DEDUCTION SHALL BE ALLOWED IN RESPECT O F EXPENDITURE INCURRED BY THE ASSESSEE IN RELATION TO INCOME WHIC H DOES NOT FORM PART OF THE TOTAL INCOME UNDER THIS ACT. 5.1 FROM THE ABOVE IT IS EVIDENT THAT SECTION 14A O F THE ACT CHAPTER IV, SPEAKS ABOUT THE INCOME WHICH DOES NOT FORM PART O F THE TOTAL INCOME UNDER THIS ACT. CHAPTER III OF THE ACT REFERS TO THE INCOME WHICH DOES NOT FORM PART OF THE TOTAL INCOME AND SECTION 10 T O SECTION 13B OF THE ACT DEAL WITH SUCH INCOME. IN THE CASE BEFORE US, T HE ASSESSEE IS ONLY ENTITLED TO DEDUCTION U/S 80P OF THE ACT WHICH FALL S UNDER CHAPTER VIA OF THE ACT. THEREFORE, THE SUBMISSION OF THE ASSESSEE BEFORE THE LEARNED AO HAS MERITS AND IN THE CASE OF THE ASSESSEE SECTI ON 14A OF THE ACT ITANO.1550/A/2010(AY-2006-07) SURAT NAGRIK SAHKARI BANK LTD. VS ACIT, CIR-9, SURA T 7 CANNOT BE INVOKED. ACCORDINGLY, THE ACTION OF THE L EARNED AO AND THE LEARNED CIT(A) FOR DISALLOWING ASSESSEES CLAIM FOR CARRY FORWARD OF UNABSORBED DEPRECIATION OF RS.20,73,435/- IS NOT JU STIFIED. HENCE, WE HEREBY DIRECT THE LEARNED AO TO ALLOW THE CLAIM OF THE ASSESSEE FOR CARRY FORWARD OF UNABSORBED DEPRECIATION FOR RS.20,73,435 /-. 6. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED. ORDER PRONOUNCED IN THE OPEN COURT ON 13-9-2013 SD/- SD/- (KUL BHARAT) JUDICIAL MEMBER (A. MOHAN ALANKAMONY) ACCOUNTANT MEMBER LAKSHMIKANT DEKA/ LAKSHMIKANT DEKA/ LAKSHMIKANT DEKA/ LAKSHMIKANT DEKA/- -- - COPY OF THE ORDER FORWARDED TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT CONCERNED 4. THE CIT(A) CONCERNED 5. THE DR, ITAT, AHMEDABAD 6. GUARD FILE BY ORDER ASST. R EGISTRAR, ITAT, AHMEDABAD 1. DATE OF DICTATION: DIRECT ON COMPUTER 06-08-13 /14-08-13 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE T HE DICTATING MEMBER 12-08-13/14-08-13 OTHER MEMBER: 3. DATE ON WHICH APPROVED DRAFT COMES TO THE SR. P. S./P.S.: 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE TH E DICTATING MEMBER FOR PRONOUNCEMENT: 5. DATE ON WHICH THE FAIR ORDER COMES BACK TO THE S R. P.S./P.S.: 6. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK: 7. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK: 8. THE DATE ON WHICH THE FILE GOES TO THE ASSISTAN T REGISTRAR FOR SIGNATURE ON THE ORDER: 9. DATE OF DESPATCH OF THE ORDER: