ASST CIT 8(1)(1), MUMBAI V. REWAS PORTS LTD, MUMBAI

ITA 1803/MUM/2015

• Counselvise Citation: [2017] 126 COUNSELVISE.COM (IT) 8549 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 7 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-11-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Assessment Year: 2011-2012
• Appeal Filed On: 27-03-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL BENCH D MUMBAI BEFORE SHRI D.T.GARASIA , JM AND SHRI RAJESH KUMAR, AM I.T.A. NO. 7 38 /MUM/20 1 5 ( / ASSESSMENT YEAR : 20 11 - 12 ) REWAS PORTS LIMITED, 1 ST FLOOR, JAI CENTRE, 34, P D MELLOS ROAD, OPP RED GATE, MASJI D , MUMBAI - 400009 . ( / APPELLANT / VS. ASSTT. COMMISSIONER OF INCOME TAX - RANGE - 7 (2) , MUMBAI. / RESPONDENT ) I.T.A. NO. 1803 /MUM/20 15 ( / ASSESSMENT YE AR : 2011 - 12 ) ASSTT. COMMISSIONER OF INCOME TAX - RANGE - 8(1)(1), ROOM NO.624, M K ROAD, MUMBAI - 400020 . ( / APPELLANT / VS. REWAS PORTS LIMITED, 1 ST FLOOR, JAI CENTRE, 34, P D MELLOS ROAD, OPP RED GATE, MASJI D , MUMBAI - 400009 . / RESPONDENT ) ./ PAN : AACCR3698A / APPELLANT BY : SHRI MADHUR AGARWAL / RESPONDENT BY : SHRI PURUSHOTTAM KUMAR / DATE OF HEARING : 21.9 .2017 / DATE OF PRONOUNCE MENT : 17. 11 . 201 7 2 I.T.A. NO. 1803/ 201 5 AND 738 /M/201 5 / O R D E R PER RAJESH KUMAR, A. M: THESE CROSS - APPEALS ARE DIRECTED AGAINST THE ORDER DATED 22.12.2014 PASSED BY THE LD.CIT(A) - 14 FOR THE ASSESSMENT YEAR 20 11 - 12 . I.T.A. NO.738/MUM/2015 2. THE ISSUE RAISED BY THE ASSESSEE IN THE VARIOUS GROUNDS OF APPEAL IS AGAINST THE ORDER OF LD.CIT(A) ALLOWING ONLY PART OF INTEREST EXPENDITURE CLAIMED UNDER SECTION 57(III) TO THE TUNE OF RS.19,57 , 752/ - AS AGAINST THE CLAIM MADE BY THE ASSESSEE OF RS. 32,78,768/ - . 3. AT THE OUTSET, THE LD.AR SUBMITTED THAT THE ISSUE RAISED BY THE ASSESSEE IN THIS GROUND STANDS COVERED BY THE DECISION OF THE CO - ORDINATE BENCH IN ASSESSEES OWN CASE IN ITA NO. I.T.A. NO. 758 /MUM/20 12 (AY - 2008 - 09) DATED 12.4.2017 AND THEREFORE PRAYED THAT BY APPLYING THE SAME ANALOGY, THE ISSUE BE DECIDED IN FAVOUR OF THE ASSESSEE. 4. THE LD. DR FAIRLY AGREED WITH THE SUBMISSIONS OF THE LD.AR. 5. WE HAVE CAREFULLY CONSIDERED THE RIVAL SUBMISSIONS, PERUSED THE MATERIAL PLACED BEFORE US AND THE ORDERS OF AUTHORITIES BELOW INCLUDING THE EARLIER DECISIONS OF THE TRIBUNAL IN ASSESSEES OWN CASE. WE FIND MERIT IN THE CONTENTIONS OF THE LD.AR THAT THE FACTS OF THE INSTANT CASE BEFORE US ARE MATERIALLY SAME AS IN THE ASSESSMENT YEARS 2008 - 09 WHEREIN THE BENCH HAS 3 I.T.A. NO. 1803/ 201 5 AND 738 /M/201 5 DIRECTED THE AO TO DECIDE THE ISSUE ON THE SIMILAR LINES AS HAS BEEN DECIDED FOR THE ASSESSMENT YEARS 2009 - 10 AND 2010 - 11 BY THE LD.CIT(A). ACCORDINGLY, IN ORDER TO MAINTAIN CONSISTENCY WITH THE DECISION OF THE TRIBUNAL IN EARLIER YEARS, WE DIRECT THE AO TO DECIDE T HE ISSUE FOR THE PRESENT ASSESSMENT YEAR ALSO ON THE SAME LINES. THIS GROUND OF ASSESSEE IS ALLOWED. RESULTANTLY, THE APPEAL OF THE ASSESSEE STANDS ALLOWED. ITA NO.1803/MUM/2015 6 . THE ISSUE RAISED BY THE REVENUE IN THIS GROUND IS AGAINST THE ALLOWING THE DEDUCTION ON PERCENTAGE ALLOCATION OF INTEREST EXPENSES U/S 57(III) OF THE A CT WITHOUT APPRECIATING THE FACTS BROUGHT ON RECORD BY THE AO IN THE ASSESSMENT YEAR. 7 . SINCE THE APPEAL OF THE ASSESSEE ON THE SAME ISSUE HAS BEEN ALLOWED ON THIS POINT IN THE ABOVE MENTIONED PARAS OF THIS ORDER, THE APPEAL FILED BY THE REVENUE BECOMES INFRUCTUOUS AND HENCE DISMISSED . 8 . IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWED AND REVENUES APPEAL STANDS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 17TH N OV, 2017 . S D SD ( D.T.GARASIA ) ( RAJESH KUMAR) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI ; DATED : 17. 11. 2017 4 I.T.A. NO. 1803/ 201 5 AND 738 /M/201 5 SR.PS:SRL: / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT 3. ( ) / THE CI T(A) 4. / CIT CONCERNED 5. , , / DR, ITAT, MUMBAI 6. / GUARD FILE / BY ORDER, T RUE COPY / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI