APURVA NATVAR PARIKH & COMPANY P.LTD (FORMERLY KNOWN AS NATVAR PARIKH & COMPANY P.LTD), MUMBAI V. DCIT CEN CIR 40, MUMBAI

ITA 2092/MUM/2013

• Counselvise Citation: [2015] 134 COUNSELVISE.COM (IT) 3199 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 6 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-09-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 17-06-2015
• Assessment Year: 2009-2010
• Appeal Filed On: 15-03-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIKRAM BATRA
• Section: 154; 11

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH A, MUMBAI BEORE SHRI G.S.PANNU, ACCOUNTANT MEMBER AND SHRI RAMLAL NEGI, JUDICIAL MEMBER ITA NO. 2092/MUM/2013 (ASSESSMENT YEAR : 2009-10) APURVA NATVAR PARIKH & COMPANY PRIVATE LIMITED (FORMERLY KNOWN AS NATVAR PARIKH & COMPANY PVT. LTD.) 96, CHEMBUR MANKHURD LINK ROAD, SHIVAJI NAGAR, MUMBAI 400 043. PAN: AAACN 2937 ... APPELLANT VS. THE DY. COMMISSIONER OF INCOME-TAX, CENTRAL CIRCLE 40, MUMBAI. .... RESPONDENT APPELLANT BY : SHRI MADHUR AGARWAL REVENUE BY : SHRI VIKRAM BATRA DATE OF HEARING : 28/09/2015 DATE OF PRONOUNCEMENT : 28/09/2015 ORDER PER G.S. PANNU,AM: THE CAPTIONED APPEAL FILED BY THE ASSESSEE IS DIRE CTED AGAINST THE ORDER OF THE CIT(A)-38, MUMBAI DATED 20/12/2012 PER TAINING TO THE ASSESSMENT YEAR 2009-10, WHICH IN TURN HAS ARISEN F ROM AN ORDER PASSED BY THE ASSESSING OFFICER DATED 17/03/20 11 UNDER SECTION 154 OF THE INCOME TAX ACT, 1961 (IN SHORT THE ACT). 2 ITA NO. 2092/MUM/2013 (ASSESSMENT YEAR : 2009-10) 2. ALTHOUGH IN THE MEMO OF APPEAL THE ASSESSEE HAS RAISED MULTIPLE GROUNDS OF APPEAL, BUT THE SOLITARY GRIEV ANCE IS AGAINST THE ACTION OF THE LOWER AUTHORITIES IN CALCULATING THE SURCHARGE AND EDUCATION CESS PAYABLE WITHOUT GIVING CREDIT FOR T HE MAT LIABILITY AS PER SECTION 115 JAA OF THE ACT. 3. THE PERTINENT DISPUTE IN THE CAPTIONED APPEAL LI ES IN A NARROW COMPASS, WHICH RELATES TO CALCULATION OF TAX LIABIL ITY BY WAY OF SURCHARGE AND EDUCATION CESS. AS PER THE APPELLANT, SURCHARG E AND EDUCATION CESS ON THE TAX PAYABLE IS TO BE CALCULATED AFTER ALLOWI NG CREDIT OF TAX PAID IN EARLIER YEARS UNDER SECTION 115-JAA OF THE ACT. TH E AFORESAID CONTENTION OF THE ASSESSEE HAS NOT FOUND FAVOUR WIT H THE ASSESSING OFFICER AND CIT(A). HOWEVER, WE FIND THAT THE STAN D OF THE ASSESSEE IS DIRECTLY SUPPORTED BY THE JUDGMENT OF THE HONBLE A LLAHABAD HIGH COURT IN THE CASE OF CITVS. VACMENT INDIA, 369 ITR 306 (A LL). APART THEREFROM, THE LD. REPRESENTATIVE FOR THE ASSESSEE HAS ALSO RE FERRED TO A DECISION OF MUMBAI BENCH OF THE TRIBUNAL IN THE CASE OF UNIV ERSAL MEDICARE P. LTD.,ITA NO.839/MUM/2012 DATED 24/7/2013, WHEREIN A LSO, IT HAS BEEN HELD THAT MAT CREDIT SHOULD FIRST BE REDUCED FROM T HE TAX PAYABLE AND ONLY ON THE RESIDUAL AMOUNT, THE SURCHARGE AND EDU CATION CESS IS LEVIABLE. FOLLOWING THE AFORESAID PRECEDENTS AND IN THE ABSENCE OF ANY CONTRARY DECISION BROUGHT OUT BY THE REVENUE, WE UP HOLD THE STAND OF THE ASSESSEE AND DIRECT THE ASSESSING OFFICER TO RE COMPUTE THE TAX LIABILITY OF THE ASSESSEE ACCORDINGLY. 3 ITA NO. 2092/MUM/2013 (ASSESSMENT YEAR : 2009-10) 4. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED, AS ABOVE. THE ABOVE DECISION WAS PRONOUNCED IN THE OPEN COUR T IN THE PRESENCE OF BOTH THE PARTIES ON THE CONCLUSION OF T HE HEARING ON 28/09/2005. SD/- SD/- (RAMLAL NEGI) (G.S. PANNU) JUDICIAL MEMBER ACCOUNTANT ME MBER MUMBAI, DATED 28/09/2015 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT , 2. THE RESPONDENT. 3. THE CIT(A)- 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE. BY ORDER, //TRUE COPY// (DY./ASSTT. REGISTRAR) ITAT, MUMBAI VM , SR. PS