Assistant Commissioner of Income-tax, Circle - Nanded , Nanded V. M/s. Jai Ambika Sahakari Sakhar Karkhana Ltd, Nanded

ITA 1564/PUN/2019

AI Insights

The case involves an appeal by the Revenue against the order of the CIT(A) which allowed the set off of the respondent-assessee's current year business loss against its short term capital gains for the assessment year 2014-15. The respondent, a cooperative society engaged in sugar manufacturing, had filed a return declaring a loss, which was not set off against the short term capital gains by the Assessing Officer. The CIT(A) reversed this decision, leading to the Revenue's appeal. The Tribunal dismissed the Revenue's appeal, agreeing with the CIT(A)'s findings.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 137137 (ITAT-PUNE)
• Duration Of Justice: 3 year(s) 3 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-01-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 03-01-2023
• Assessment Year: 2014-2015
• Appeal Filed On: 03-10-2019
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Depreciation
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “A”, PUNE BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI S. S. VISWANETHRA RAVI, JUDICIAL MEMBER आयकर अपील सं. / ITA No.1564/PUN/2019 िनधाᭅरण वषᭅ / Assessment Year : 2014-15 ACIT, Circle Nanded, Nanded. Vs. M/s. Jai Ambika Sahakari Sakhar Karkhana Ltd., Mohan Nagar, Kuntur, Tq- Naigaon, Nanded- 431709 PAN : AAAAJ0481H Appellant Respondent आदेश / ORDER PER INTURI RAMA RAO, AM: This is an appeal filed by the Revenue directed against the order of the ld. Commissioner of Income Tax (Appeals)- 1, Aurangabad [‘the CIT(A)’] dated 12.07.2019 for the assessment year 2014-15. 2. Briefly, the facts of the case are that the respondent-assessee is a cooperative society engaged in the business of manufacturing of sugar. The Return of Income for the assessment year 2014-15 was filed on 30.09.2014 declaring a loss of Rs.5,08,39,809/-. Against Revenue by : Shri Keyur Patel Assessee by : Shri Kiran Sanmane Date of hearing : 04.01.2023 Date of pronouncement : 06.01.2023 ITA No.1564/PUN/2019 2 the said return of income, the assessment was completed by the Asstt. Commissioner of Income Tax, Circle Nanded (‘the Assessing Officer’) vide order dated 26.12.2016 passed u/s 143(3) of the Income Tax Act, 1961 (‘the Act’). While making the assessment, the Assessing Officer had not set off of the business loss of the current year against the short term capital gains of Rs.21,10,07,212/- and, accordingly, assessed the total income at Rs.17,37,43,020/- after setting of depreciation loss of earlier years of Rs.3,72,64,194/-. 3. Being aggrieved by the above assessment order, an appeal was filed before the ld. CIT(A), who vide impugned order held that the current year business loss of Rs.26,18,66,849/- be set off against the short term capital gains for the year under consideration of Rs.21,10,07,212/-. The relevant findings of the ld. CIT(A) are found in para 5 of the impugned order. 4. Being aggrieved, the Revenue is in appeal before us in the present appeal. 5. We heard the rival submissions and perused the material on record. We have carefully gone through the relevant finding of the ld. CIT(A) set out in paragraph no.5 of the impugned order and find no infirmity either on the facts or on law requiring any interference by us, as the impugned order of the ld. CIT(A) is based on proper ITA No.1564/PUN/2019 3 appreciation of facts and law. Therefore, we do not find any merits in the grounds of appeal filed by the Revenue. 6. In the result, the appeal filed by the Revenue stands dismissed. Order pronounced on this 06 th day of January, 2023. Sd/- Sd/- (S. S. VISWANETHRA RAVI) (INTURI RAMA RAO) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; ᳰदनांक / Dated : 06 th January, 2023. Sujeet आदेश कᳱ ᮧितिलिप अᮕेिषत / Copy of the Order forwarded to : 1. अपीलाथᱮ / The Appellant. 2. ᮧ᭜यथᱮ / The Respondent. 3. The CIT(A)-1, Aurangabad. 4. The Pr. CIT-1, Aurangabad. 5. िवभागीय ᮧितिनिध, आयकर अपीलीय अिधकरण, “A” बᱶच, पुणे / DR, ITAT, “A” Bench, Pune. 6. गाडᭅ फ़ाइल / Guard File. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune.