Review Mercandise P. Ltd., , Kolkata V. ITO, Ward - 4(1), Kolkata , Kolkata

ITA 1700/KOL/2018

• Counselvise Citation: [2018] 118 COUNSELVISE.COM (IT) 9778 (ITAT-KOLKATA)
• Duration Of Justice: 4 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-12-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2013-2014
• Appeal Filed On: 08-08-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA SMC BENCH, KOLKATA (BEFORE SRI J. SUDHAKAR REDDY, ACCOUNTANT MEMBER) ITA NO. 1700/KOL/2018 ASSESSMENT YEAR: 2013-14 REVIEW MERCANDISE P. LTD...........................................APPELLANT C/O S.N. GHOSH & ASSOCIATES, ADVOCATES SEBEN BROTHERS LODGE P.O. BUROSHIBTALA P.S. CHINSURAH DIS. HOOGHLY 712 105 [PAN : AAFCR 2003 N ] VS. INCOME TAX OFFICER, WARD- 4(1), KOLKATA.................................RESPONDENT APPEARANCES BY: SHRI SOMNATH GHOSH, ADVOCATE, APPEARED ON BEHALF OF THE ASSESSEE . SHRI NICHOLAS MURMU, JCIT D/R. APPEARING ON BEHALF OF THE REVENUE. DATE OF CONCLUDING THE HEARING : NOVEMBER 28 TH , 2018 DATE OF PRONOUNCING THE ORDER : DECEMBER 12 TH , 2018 ORDER PER J. SUDHAKAR REDDY, AM :- THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-2, KOLKATA, (HEREINAFTER THE LD. CIT(A)), DT. 09/05/2018, PASSED U/S 250 OF THE INCOME TAX ACT, 1961 (HEREINAFTER THE ACT), RELATING TO ASSESSMENT YEAR 2013-14. 2. THE SOLE ISSUE THAT ARISES BEFORE US IS THE DISALLOWANCE U/S 14A OF THE ACT, MADE BY THE ASSESSING OFFICER AND CONFIRMED BY THE LD. CIT(A). AFTER HEARING RIVAL CONTENTIONS, WE FIND THAT THE UNDISPUTED FACT AS RECORDED BY THE ASSESSING OFFICER AT PAGE 2 OF HIS ORDER, IS THAT THE ASSESSEE HAS NOT EARNED ANY DIVIDEND INCOME DURING THE YEAR. WHEN THERE IS NO INCOME THAT IS EXEMPT FROM TAX, NO DISALLOWANCE CAN BE MADE U/S 14A OF THE ACT, AS HELD BY THE HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF CIT VS. ASHIKA GLOBAL SECURITIES LTD. ITAT 100 OF 2014, GA 2122 OF 2014, JUDGMENT DT. 11/06/2018. THE HONBLE DELHI HIGH COURT IN THE CASE OF CHEMINVEST LTD. V. COMMISSIONER OF INCOME-TAX-IV [2015] 378 ITR 33 (DELHI) HAS LAID DOWN A SIMILAR PROPOSITION OF LAW. 2 ITA NO. 1700/KOL/2018 ASSESSMENT YEAR: 2013-14 REVIEW MERCANDISE P. LTD 3. RESPECTFULLY FOLLOWING THE PROPOSITIONS OF LAW LAID DOWN IN THESE CASE-LAW TO THE FACTS OF THE CASE ON HAND, I DELETE THE DISALLOWANCE U/S 14A OF THE ACT AND ALLOW THIS APPEAL OF THE ASSESSEE. 4. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED. KOLKATA, THE 12 TH DAY OF DECEMBER, 2018. SD/- [ J. SUDHAKAR REDDY ] ACCOUNTANT MEMBER DATED : 12.12.2018 {SC SPS} COPY OF THE ORDER FORWARDED TO: 1. REVIEW MERCANDISE P. LTD C/O S.N. GHOSH & ASSOCIATES, ADVOCATES SEBEN BROTHERS LODGE P.O. BUROSHIBTALA P.S. CHINSURAH DIS. HOOGHLY 712 105 2. INCOME TAX OFFICER, WARD- 4(1), KOLKATA 3. CIT(A)- 4. CIT- , 5. CIT(DR), KOLKATA BENCHES, KOLKATA. TRUE COPY BY ORDER ASSISTANT REGISTRAR ITAT, KOLKATA BENCHES 3 ITA NO. 1700/KOL/2018 ASSESSMENT YEAR: 2013-14 REVIEW MERCANDISE P. LTD