D.C.I.T Cir - 4,kolkata, Kolkata V. M/s Madhu Jayanti International Ltd, Kolkata

ITA 1888/KOL/2013

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 5000 (ITAT-KOLKATA)
• Duration Of Justice: 2 year(s) 8 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-03-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2005-2006
• Appeal Filed On: 12-06-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAJAT KR KUREEL JCIT SRDR
• Assessee Lawyers: AKASH MANSINKA
• Section: 10B

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH B KOLKATA BEFORE SHRI N.V.VASUSDEVAN, JUDICIAL MEMBER AND SHRI WASEEM AHMED, ACCOUNTANT MEMBER ITA NO. 1888 / KOL / 2013 ASSESSMENT YEAR :2005-06 DCIT, CIRCLE-4, P7, CHOWRINGHEE SQUARE, KOLKATA- 700 069 V/S . M/S MADHU JAYANTI INTERNATIONAL LTD. 46, B.B.GANGULY ST., 3 RD , FLOOR, KOLKATA-700 012 [ PAN NO AABCM 7502 R ] /APPELLANT .. / RESPONDENT /BY APPELLANT SHRI RAJAT KR. KUREEL, JCIT, SR-DR /BY RESPONDENT SHRI AKASH MANSINKA, AR /DATE OF HEARING 03-03-2016 /DATE OF PRONOUNCEMENT 11-03-2016 / O R D E R PER WASEEM AHMED, ACCOUNTANT MEMBER:- THIS APPEAL BY THE REVENUE IS AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS)-IV, KOLKATA IN APPEAL NO.190/CIT(A)-I V/2008-09 DATED 04.03.2013. ASSESSMENT WAS FRAMED BY ACIT, CIRCLE-4, KOLKATA U/ S 143(3)/147 OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT ) VIDE HIS ORDER DATED 12.12.2008 FOR ASSESSMENT YEAR 2005-06. GROUNDS RAISED BY REVE NUE ARE AS UNDER:- 1. WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE CA SE THE LD. CIT(A) HAS JUSTIFIED IN LAW IN ALLOWING THE BENEFIT OF DEDUCTION U/S. 10B O F THE ACT TO THE ASSESSEE WHEN THE ASSESSEE IS ENGAGED IN BLENDING OF TEA WITHOUT MANU FACTURING ANY NEW ITEM. 2. WHETHER PROCESSING OF TEA CAN BE CONSIDERED AS MANUFACTURING FOR THE PURPOSE OF SECTION 10A/10B OF THE IT ACT FOR THIS AY WHEN T HE WORD PROCESSING HAS BEEN DELETED FROM THE DEFINITION OF MANUFACTURING W.E.F. 01.04.2001. ITA NO.1888/KOL/2013 A.Y. 2005-06 DCIT CIR-4, KOL. V. M/S MADHU JAYANTI INTERNATI ONAL LTD. P AGE 2 SHRI AKASH MANSINKA, LD. AUTHORIZED REPRESENTATIVE APPEARING ON BEHALF OF ASSESSEE AND SHRI RAJAT KR. KUREEL, LD. DEPARTMENTA L REPRESENTATIVE APPEARING ON BEHALF OF REVENUE. 2. AT THE OUTSET, IT WAS OBSERVED THAT ASSESSING OF FICER HAS MADE DISALLOWANCE OF THE DEDUCTION CLAIMED U/S 10B OF THE ACT ON ACCO UNT OF HOLDING THE ACTIVITY OF BLENDING OF TEA AS NOT MANUFACTURING. HOWEVER THE LD. AR BROUGHT TO OUR NOTICE THE DECISION OF SPECIAL BENCH OF THIS TRIBUNAL IN ASSES SEES OWN CASE IN ITA NO 1643/KOL/2007 DATED 20.07.2012 FOR ASSESSMENT YEAR 2004-05 WHERE BY IT WAS HELD THAT THE ACTIVITY OF BLENDING OF TEA AS MANUFACTURI NG AND CONSEQUENTLY THE DEDUCTION U/S. 10B OF THE ACT WAS ALLOWED IN FAVOUR OF ASSESS EE. ON THE CONTRARY, LD. DR VEHEMENTLY RELIED ON THE ORDERS OF AUTHORITIES BELO W. 3. WE HAVE HEARD RIVAL SUBMISSIONS OF BOTH THE PART IES AND PERUSED THE MATERIALS AVAILABLE ON RECORD. BEFORE US LD. AR SUB MITTED PAPER BOOK WHICH IS RUNNING PAGES FROM 1 TO 287. WE FIND THAT IN ASSESS EES OWN CASE IN ITA NO. 1643/KOL/2007 (SUPRA) THE SPECIAL BENCH HAS DECIDED THIS ISSUE IN FAVOUR OF ASSESSEE AND AGAINST REVENUE. TAKING A CONSISTENT V IEW, IN ASSESSEES APPEAL IN ITA NO. 1643/KOL/2007 (SUPRA) WE DISMISS THIS GROUN D RAISED BY REVENUE ACCORDINGLY. 4. IN THE RESULT, APPEAL OF REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT 11/0 3/2016 SD/- SD/- (N.V.VASUDEVAN) (WASEEM AHMED) (JUDICIAL MEMBER) (ACCOUNTANT MEMBER) KOLKATA, *DKP !- 11 / 03 /201 6 / COPY OF ORDER FORWARDED TO:- 1. /APPELLANT-DCIT, CIRCLE-4, P7, CHOWRINGHEE SQUARE, KOLKATA-69 2. /RESPONDENT-M/S MADHU JAYANTI INTERNATIONAL LTD.46, B.B. GANGULY, STREET 3 RD , FLOOR, KOLKATA-12 . ( )* + + , / CONCERNED CIT KOLKATA 4. + + ,- / CIT (A) KOLKATA 5. /01 22)*, + )* , / DR, ITAT, KOLKATA 6. 156 78 / GUARD FILE . BY ORDER/ + , /TRUE COPY/ / + )* ,