Anchor Treads Pvt Ltd, Kottayam V. Assistant Commissioner of Income Tax, Kottayam

ITA 180/COCH/2009

• Counselvise Citation: [2011] 134 COUNSELVISE.COM (IT) 4634 (ITAT-COCHIN)
• Duration Of Justice: 2 year(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-04-2011
• Appeal Filed By: Assessee
• Bench Allotted: DB
• Next Hearing Date: 07-04-2011
• Assessment Year: 2005-2006
• Appeal Filed On: 03-04-2009
• Court: TRIBUNAL
• Department Lawyers: T J VINCENTSR

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH, COCHIN BEFORE SHRI N.VIJAYAKUMARAN & SHRI SANJAY ARORA I.T.A.NO.180/COCH/2009 ASSESSMENT YEAR:2005-06 M/S. ANCHOR TREADS PVT.LTD., KOTTAYAM. PA NO.AABCA 7865K VS. THE ASST. COMMISSIONER OF INCOME-TAX,CIRCLE-1, KOTTAYAM. (APPELLANT) ( RESPONDENT ) APPELLANT BY SHRI MATHEW JOSEPH RESPONDENT BY SHRI T.J.VINCENT,SR.D.R. O R D E R PER N.VIJAYAKUMARAN,J.M: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST TH E ORDER OF THE LD. CIT(APPEALS)-IV, KOCHI, DATED 19-1 2-2008. THE ASSESSMENT YEAR INVOLVED IS 2005-06. 2. THE ONLY ISSUE FOR OUR CONSIDERATION IN THIS APP EAL IS WHETHER THE MOULDING CHARGES ARE NOT ENTITLED FOR E LIGIBLE FOR DEDUCTION U/S.80IB AND WHETHER THESE CHARGES WERE D ERIVED FROM THE INDUSTRIAL UNDERTAKING ELIGIBLE FOR DEDUCT ION U/S.80IB. ITA NO. 180/COCH/2009 M/S. ANCHOR TREADS PVT.LTD. 2 3. THE LD. COUNSEL FOR THE ASSESSEE WOULD CONTEND T HAT THE ASSESSEE COMPANY CLAIMED DEDUCTION U/S.80IB WAS REJ ECTED BY THE ASSESSING OFFICER ON THE GROUND THAT IN MOUL DING COMPLETE MANUFACTURING DOES NOT OCCUR. ACCORDING TO THE ASSESSING OFFICER THE ORIGINAL PRODUCT AND FINAL PR ODUCTS IN MOULDING AND MANUFACTURE OF TREAD RUBBER ARE DIFFER ENT. THEREFORE, THE ASSESSING OFFICER REJECTED THE CLAIM FOR DEDUCTION U/S.80IB OF THE ACT, WHICH HAS BEEN CONFI RMED BY THE LD. CIT(APPEALS). 4. THE LD. COUNSEL FOR THE ASSESSEE WOULD CONTEND B EFORE US THAT THE DECISION OF THEE TRIBUNAL IN THE ASSESS EES OWN CASE FOR THE ASSESSMENT YEAR 2004-05 IN ITA NO.197/COCH/2007 VIDE ORDER DATED21-04-2009 AND ALS O THE DECISION IN THE CASE OF SOUTHERN AGRO TRADES & SERV ICES P.LTD. IN ITA NO.33/COCH/2009 DATED 292-06-2010 WHE REIN THE CASE OF M/SS. ANCHOR TREADS PVT.LTD. WAS FOLLOW ED AND ULTIMATELY THE ISSUE IS DECIDED IN FAVOUR OF THE AS SESSEE AND AGAINST THE REVENUE. 5. ON THE OTHER HAND, THE LD. SR.DR WOULD SUBMIT TH AT IT IS ONLY A JOB WORK. THEREFORE, THE ASSESSEE IS NOT E NTITLED TO THE CLAIM OF DEDUCTION U/S.80IB. IN REPLY, THE LD . COUNSEL ITA NO. 180/COCH/2009 M/S. ANCHOR TREADS PVT.LTD. 3 WOULD SUBMIT THAT EXCISE ENTRY TARIFF HAVE ALREADY BEEN DISCUSSED BY THE TRIBUNAL AND BOTH FINISHED PRODUCT S AND INPUT PRODUCTS ARE TWO DIFFERENT EXCISE TARIFF ITEM S. 6. WE HAVE CONSIDERED RIVAL SUBMISSIONS AND PERUSED THE ENTIRE MATERIALS AVAILABLE ON RECORD INCLUDING THE DECISIONS RELIED UPON BY THE LD. COUNSEL FOR THE ASSESSEE. WE ARE OF THE VIEW THAT CONSISTENCY OF THE DECISION HAS TO BE FOLLOWED PARTICULARLY IN THE CASE OF THE VERY SAME ASSESSEE. THEREFORE, FOLLOWING THE DECISION OF THE TRIBUNAL I N THE ASSESSEES OWN CASE FOR THE EARLIER YEAR, WE SET AS IDE THE ORDER OF THE LD. CIT(APPEALS) AND ALLOW THE CLAIM O F THE ASSESSEE FOR THIS YEAR ALSO. 7. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED. SD/- SD/- (SANJAY ARORA) (N.VIJAYKUMA RAN) ACCOUNTANT MEMBER JUDICIAL M EMBER ERNAKULAM, DATED THE 08 TH APRIL,2011. PM. COPY FORWARDED TO: 1. M/S. ANCHOR TREADS PVT.LTD., P.JOHN ZACHARIA BUILDI NG, KOTTAYAM-1. 2. THE ASST. COMMISSIONER OF INCOME-TAX,CIRCLE-1, KOT TAYAM. 3. CIT(A)-IV,KOCHI. 4. CIT, KOTTAYAM./5. D.R.