BHERUMAL SHAMANDAS, MUMBAI V. ADDL CIT RG 14(1), MUMBAI

ITA 1631/MUM/2012

• Counselvise Citation: 163119914 RSA 2012
• Duration Of Justice: 1 year(s) 5 month(s) 30 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-09-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2008-2009
• Appeal Filed On: 07-03-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S K SINGH
• Assessee Lawyers: VIPUL JOSHI

Judgement Text

, , , , , IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES B, MUMBAI .. , ! ' , # !, $ BEFORE SHRI R.S.SYAL, AM AND SHRI VIVEK VARMA, JM ITA NO.1631/MUM/2012 : ASST.YEAR 2008-2009 M/S.BHERUMAL SHAMANDAS 100 ZAVERI BAZAR, KALBADEVI MUMBAI 400 002. PAN : AAAFB4142L THE ADDL.COMMISSIONER OF INCOME-TAX RANGE 14(1) MUMBAI. ( %& / // / APPELLANT) ( ( ( ( / VS. ( )*%&/ RESPONDENT) %& + ++ + , , , , / APPELLANT BY : SHRI VIPUL JOSHI )*%& + , + , + , + , / RESPONDENT BY : SHRI S.K.SINGH ( + - / / / / DATE OF HEARING : 04.09.2013 ./0 + - / DATE OF PRONOUNCEMENT : 06.09.2013 !1 !1 !1 !1 / / / / O R D E R PER R.S.SYAL (AM) : THIS APPEAL BY THE ASSESSEE ARISES OUT OF THE ORDER PASSED BY THE COMMISSIONER OF INCOME-TAX (APPEALS) ON 30.01.2012 IN RELATION TO THE ASSESSMENT YEAR 2008-2009. 2. THE ONLY ISSUE RAISED IS AGAINST THE CONFIRMATIO N OF ADDITION OF ` 2,28,45,313 MADE BY THE ASSESSING OFFICER BY CHANGI NG THE METHOD OF VALUATION OF CLOSING STOCK. 3. BRIEFLY STATED THE FACTS OF THE CASE ARE THAT TH E ASSESSEE FOLLOWED LIFO (LAST IN FIRST OUT) METHOD FOR VALUING ITS CLO SING STOCK. THE ITA NO.1631/MUM/2012. M/S.BHERUMAL SHAMANDAS. 2 ASSESSING OFFICER, FOLLOWING HIS VIEW TAKEN FOR ASS ESSMENT YEARS 2006-2007 AND 2007-2008, REJECTED SUCH METHOD OF V ALUATION AND MADE ADDITION OF ` 2.28 CRORE. THE LEARNED CIT(A) UPHELD THE ASSESSMENT ORDER. 4. AFTER CONSIDERING THE RIVAL SUBMISSIONS AND PERU SING THE RELEVANT MATERIAL ON RECORD, IT IS OBSERVED THAT TH E LEARNED CIT(A) OVERTURNED THE ASSESSMENT ORDER ON THIS POINT FOR T HE PRECEDING ASSESSMENT YEAR 2007-2008 AND UPHELD THE VALIDITY O F THE METHOD OF VALUATION ADOPTED BY THE ASSESSEE. AGGRIEVED BY THI S ORDER, THE REVENUE PREFERRED APPEAL BEFORE THE TRIBUNAL. VIDE ITS ORDER DATED 25.04.2012, THE TRIBUNAL IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEARS 2006-2007 AND 2007-2008, UPHELD THE VIEW TAKE N BY THE LEARNED CIT(A) IN OVERTURNING THE ASSESSMENT ORDER ON THIS POINT. THE RELEVANT DISCUSSION IS MADE IN PARAS 31 ONWARDS OF THIS ORDER, A COPY OF WHICH HAS BEEN PLACED ON RECORD. HOWEVER, FOR TH E YEAR IN QUESTION, THE LEARNED CIT(A) TOOK A DIAMETRICALLY O PPOSITE VIEW AND CHOSE TO UPHOLD THE ADDITION. SINCE THE FACTS AND C IRCUMSTANCES OF THE ISSUE ARE ADMITTEDLY SIMILAR TO THOSE FOR THE PRECE DING YEARS, RESPECTFULLY FOLLOWING THE ORDER OF THE TRIBUNAL FO R THE EARLIER YEARS, WE ORDER FOR THE DELETION OF THIS ADDITION. 5. 2 -3 4 - 5 + 6- 78 IN THE RESULT, THE APPEAL IS ALLOWED. ITA NO.1631/MUM/2012. M/S.BHERUMAL SHAMANDAS. 3 ORDER PRONOUNCED ON THIS 06 TH DAY OF SEPTEMBER, 2013. !1 + ./0 9!(3 / + : SD/- SD/- (VIVEK VARMA) (R.S.SYAL) # ! # ! # ! # ! / JUDICIAL MEMBER ! ! ! ! / ACCOUNTANT MEMBER MUMBAI ; 9!( DATED : 06 TH SEPTEMBER, 2013. DEVDAS* !1 + )#-;' <'0- !1 + )#-;' <'0- !1 + )#-;' <'0- !1 + )#-;' <'0-/ COPY OF THE ORDER FORWARDED TO : 1. %& / THE APPELLANT 2. )*%& / THE RESPONDENT. 3. = () / THE CIT, MUMBAI. 4. = / CIT(A) 28, MUMBAI. 5. '@: )#-#( , , / DR, ITAT, MUMBAI 6. :A B / GUARD FILE. !1( !1( !1( !1( / BY ORDER, *'- )#- //TRUE COPY// C C C C/ // /7 6 7 6 7 6 7 6 ( DY./ASSTT. REGISTRAR) , , , , / ITAT, MUMBAI