ALCO COMPANY P. LTD, MUMBAI V. ITO WD 2(1)(1), MUMBAI

ITA 1724/MUM/2010

• Counselvise Citation: [2011] 134 COUNSELVISE.COM (IT) 8811 (ITAT-MUMBAI)
• Duration Of Justice: 10 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-01-2011
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2006-2007
• Appeal Filed On: 05-03-2010
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: S HSRAVAN KUMAR
• Assessee Lawyers: CHETAN KAIA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH A,MUMBAI BEFORE SHRI R.S. SYAL (AM) & SHRI SHRI R.S. PADVEK AR (JM) I.T.A.NO.1724/MUM/2010 (A.Y. 2006-07) ALCO COMPANY PVT. LTD., 3 RD FLOOR, AHIMTOOLA HOUSE, 7, HOMJI STREET, FORT, MUMBAI-400 001. VS. INCOME-TAX OFFICER-2(1)(1), MUMBAI. APPELLANT RESPONDENT APPELLANT BY SHRI CHETAN KAIA. RESPONDENT BY SHRI S HSRAVAN KUMAR. O R D E R PER R.S. SYAL, AM : THIS APPEAL BY THE ASSESSEE ARISES OUT OF THE ORDE R PASSED BY THE CIT(A) ON 04-01-2010 IN RELATION TO THE ASSESSMENT YEAR 20 06-07. 2. THE ONLY ISSUE RAISED IN THIS APPEAL IS AGAINST THE DISALLOWANCE U/S.14A OF THE ACT. 3. AFTER CONSIDERING THE RIVAL SUBMISSIONS AND PERU SING THE RELEVANT MATERIAL ON RECORD, WE FIND THAT THE ISSUE RAISED IN THIS AP PEAL IS NO MORE RES INTEGRA IN VIEW OF THE JUDGMENT OF THE HONBLE JURISDICTIONAL HIGH COURT IN GODREJ & BOYCE MFG. LTD. VS. DCIT (2010) 328 ITR 81 (BOM) IN WHIC H IT HAS BEEN HELD THAT DISALLOWANCE IS CALLED FOR U/S.14A IN SUCH CIRCUMST ANCES. HOWEVER, THE MANNER OF COMPUTATION OF SUCH DISALLOWANCE HAS BEEN RESTORED TO THE FILE OF AO FOR MAKING ON SOME REASONABLE BASIS. IT HAS FURTHER BEEN HELD IN THIS CASE THE PROVISIONS OF RULE 8D ARE NOT APPLICABLE AS THESE ARE PROSPECTIVE . RESPECTFULLY FOLLOWING THE PRECEDENT, WE SET ASIDE THE IMPUGNED ORDER AND DIRE CT THE AO TO COMPUTE ITA 1724/M/10. 2 DISALLOWANCE U/S.14A IN ACCORDANCE WITH THE RATIO L AID DOWN BY THE HONBLE JURISDICTIONAL HIGH COURT IN THE AFORENOTED CASE OF GODREJ & BOYCE LTD. 4. IN THE RESULT THE APPEAL IS ALLOWED FOR STATIS TICAL PURPOSES. ORDER PRONOUNCED ON THE 19TH DAY OF JANUARY, 20 11. SD/- SD/- (R.S. PADVEKAR) (R.S. SYAL) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI: 19TH JANUARY , 2011. NG: COPY TO : 1. ASSESSEE. 2.DEPARTMENT. 3 CIT(A)-4,MUMBAI. 4 CIT-II, MUMBAI. 5.DR,A BENCH,MUMBAI. 6.MASTER FILE. (TRUE COPY) BY ORDER, ASST.REGISTRAR, ITAT, MUMBAI. ITA 1724/M/10. 3 DETAILS DATE INITIALS DESIGNA TION 1. DRAFT DICTATED ON 12-01-2011 SR.PS/ 2. DRAFT PLACED BEFORE AUTHOR 13-01-2011 SR.PS/ 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER JM/ AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS/ 6. KEPT FOR PRONOUNCEMENT ON SR.PS/ 7. FILE SENT TO THE BENCH CLERK SR.PS/ 8. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK 9. DATE ON WHICH FILE GOES TO THE AR 10. DATE OF DISPATCH OF ORDER * ITA 1724/M/10. 4 IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCHE S, MUMBAI, ORDER-READY FOR PRONOUNCEMENT ON 14-01-2011 COMBINATION S/SHRI R.S. SYAL (AM) & R.S. PADVEKAR (JM) SR.NO . ITA NO. NAME OF THE ASSESSEE BENCH DATE OF HEARING AUTHOR 1 ITA 4346/M/05 CHIKA OVERSEAS LTD. A 12-01-11 AM ORDER PRONOUNCED ON THE DAY OF NOVEMBER, 2010. ( ) () JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI: NOVEMBER , 2010. NG: COPY TO : 1. DEPARTMENT. 2.ASSESSEE. 3 CIT(A)-XXVII,,MUMBAI. 4 CIT,CITY-3,MUMBAI. 5.DR,B BENCH,MUMBAI. 6.MASTER FILE. (TRUE COPY) BY ORDER, ASST.REGISTRAR, ITAT, MUMBAI. DETAILS DATE INITIALS DESIGNA TION 1. DRAFT DICTATED ON 1-11-2010 SR.PS/ ITA 1724/M/10. 5 2. DRAFT PLACED BEFORE AUTHOR 1-11-2010 SR.PS/ 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER JM/ AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS/ 6. KEPT FOR PRONOUNCEMENT ON SR.PS/ 7. FILE SENT TO THE BENCH CLERK SR.PS/ 8. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK 9. DATE ON WHICH FILE GOES TO THE AR 10. DATE OF DISPATCH OF ORDER