A.C.I.T., Circle-4(1), Kolkata, Kolkata V. M/s Kailash Soap Private Limited, Kolkata

ITA 1983/KOL/2016

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 1181 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 5 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-03-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2013-2014
• Appeal Filed On: 07-10-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ARINDAM BHATTACHARJEE
• Assessee Lawyers: VIKASH SINGHALFCA
• Keywords: Depreciation; Rectification of order; Unabsorbed depreciation
• Section: 154

Judgement Text

1 ITA NO.1983/KOL/2016 M/S KAILASH SOAP (P)LTD A.Y.20 13-14 IN THE INCOME TAX APPELLATE TRIBUNAL, BENCH D KOL KATA [BEFORE HONBLE SHRI P.M.JAGTAP, AM & SHRI S.S.VI SWANETHRA RAVI, JM ] ITA NO.1983/KOL/2016 ASSESSMENT YEAR : 2013-14 A.C.I.T., CIRCLE-4 (1), -VERSUS- M/S KAILASH SOAP PRIVATE LIMITED KOLKATA KOLKATA (PAN:AABCK 3278 L) (APPELLANT) (RESPONDENT) FOR THE APPELLANT: SHRI ARINDAM BHATTACHARJEE, ADDL. CIT FOR THE RESPONDENT: SHRI VIKASH SINGHAL,FCA DATE OF HEARING : 13.02.2018. DATE OF PRONOUNCEMENT : 28.03.2018. ORDER PER S.S.VISWANETHRA RAVI, JM THIS IS AN APPEAL BY THE REVENUE AGAINST THE ORDER DATED 22.07.2016 PASSED BY C.I.T-(A)-2, KOLKATA FOR A.Y.2013-14. 2. THE ONLY ISSUE IS TO BE DECIDED AS TO WHETHER T HE CIT(A) IS JUSTIFIED IN DIRECTING THE AO TO CONSIDER THE CLAIM OF THE ASSESSEE AS DEN IED BY THE CPC U/S 154 OF THE INCOME TAX ACT, 1961 3. AFTER HEARING BOTH THE PARTIES, WE NOTE THAT TH E ASSESSEE CLAIMED UNABSORBED DEPRECIATION FOR THE YEAR UNDER CONSIDERATION. THE CPC DENIED THE SAID BENEFIT TO THE ASSESSEE CHALLENGING THE SAME BEFORE CIT(A) WHEREIN THE CIT(A) DIRECTED THE AO TO PASS A SPEAKING ORDER FOR DUE VERIFICATION OF THE C LAIM OF THE ASSESSEE. WE FIND THAT THE ASSESSEE CLAIMED UNABSORBED DEPRECIATION U/S 32(2) OF THE INCOME TAX ACT, 1961 (ACT) IN ITS COMPUTATION OF INCOME. BUT HOWEVER THE CPC DENIED THE SAME. IT WAS HELD WHILE PASSING THE RECTIFICATION ORDER U/S 154 OF THE ACT THAT THE CLAIM OF THE ASSESSEE WAS NOT FULLY VERIFIED BY THE AO. THEREFOR E WE FIND NO INFIRMITY IN THE ORDER 2 ITA NO.1983/KOL/2016 M/S KAILASH SOAP (P)LTD A.Y.20 13-14 OF CIT(A) FOR DIRECTING THE AO TO VERIFY THE SAME A ND PASS ORDER IN ACCORDANCE WITH LAW. THEREFORE GROUND NO.1 RAISED BY THE REVENUE IN THIS REGARD IS DISMISSED. 4. IN THE RESULT THE APPEAL BY THE REVENUE IS DISM ISSED. O RDER PRONOUNCED IN THE OPEN COURT ON 28.03.2018. SD/- SD/- [P.M.JAGTAP] [ S.S.VISWANETHRA RAVI ] ACCOUNTANT MEMBER JUDICIAL MEMBE R DATED : 28.03.2018. [RG SR.PS] COPY OF THE ORDER FORWARDED TO: 1.M/S KAILASH SOAP PRIVATE LIMITED, 5 & 6, FANCY LA NE, 8 TH FLOOR, KOLKATA-700001. 2. A.C.I.T., CIRCLE-4 (1), KOLKATA. 3. C.I.T.(A)-2, KOLKATA 4. C.I.T.- 2, KOLKATA.. 5. CIT(DR), KOLKATA BENCHES, KOLKATA. TRUE COPY BY ORDER, SENIOR PRIVATE SECRETARY HEAD OF OFFICE/D.D.O., ITAT, KOLKATA BENCHES