JSW STEEL LTD, MUMBAI V. ACIT CIR 11(5), Bangalore

ITA 215/BANG/2010

• Counselvise Citation: 21519914 RSA 2010
• Duration Of Justice: 3 year(s) 8 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-11-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2004-2005
• Appeal Filed On: 24-02-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S D SRIVASTAVA
• Section: 143(3); 244A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH A, MUMBAI BEFORE SHRI P.M. JAGTAP, ACCOUNTANT MEMBER AND DR. S.T.M. PAVALAN, JUDICIAL MEMBER ITA NO. 215/BNG/2010 ASSESSMENT YEAR: 2004-05 JSW STEEL LIMITED (FORMERLY KNOWN AS JINDAL VIJAYNAGAR STEEL LTD.) JINDAL MANSION, 5A, DR. G. DESHMUKH MARG, MUMBAI-400 026 PAN : AAACJ 4323 N VS. ACIT CIR 11(5), 5 TH FLOOR, R.P. BHAWAN, NRUPATHUNGA ROAD, BANGALORE. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI KANCHAN KAUSHAL RESPONDENT BY : SHRI S.D. SRIVASTAVA DATE OF HEARING : 30.10.2013 DATE OF PRONOUNCEMENT : 19.11.2013 O R D E R PER DR. S.T.M. PAVALAN, JM: THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAI NST THE ORDER OF THE LD.CIT(A) I, BANGALORE, DATED 17.03.2009 FOR THE A SSESSMENT YEAR 2004-05. 2. IN GROUND NO. 1, THE ASSESSEE HAS AGITATED THE A CTION OF THE LD.CIT(A) UPHOLDING THE ACTION OF THE LD.CIT(A) IS NOT ALLOWI NG INTEREST UNDER SECTION 244A OF THE INCOME TAX ACT. 3. BRIEFLY STATED, THE ASSESSEE, A COMPANY ENGAGED IN THE BUSINESS OF MANUFACTURING AND SELLING OF PELLETS, HOT/COLD ROLL ED COILS/ SHEETS, GALVANIZED COILS/SHEETS & PLATES AND SLAG CEMENT IN RESPECT OF WHICH THE AO PASSED AN ORDER U/S 143(3) AGAINST WHICH RECTIFICATION PETITION WAS FILED BY THE ASSESSEE ON VARIOUS COUNTS. VIDE ORDERS DATED 26.03.2007 AND 31.03.2008 PASSED U/S 154, THE AO RECTIFIED CERTAIN ITEMS AND REJECTED CERTAIN ITEMS. IN THE PROCESS, THE AO REJECTED THE ITA NO. 215/BNG/2010 JSW STEEL LIMITED ASSESSMENT YEAR: 2004-05 2 CLAIM OF THE ASSESSEE FOR THE GRANT OF INTEREST UND ER SECTION 244A OF THE ACT ON THE AMOUNT OF REFUND OF RS.18,09,78,230/- ON THE GROUND THAT NO INTEREST U/S 244A IS PAYABLE ON EXCESS REFUND ARISE ON ACCOUNT OF SELF A SSESSMENT TAX PAID U/S 140A OF THE ACT. ON APPEAL, THE LD.CIT(A) CONFIRMED THE ACT ION OF THE AO. AGGRIEVED BY THE IMPUGNED ORDER, THE ASSESSEE HAS RAISED THIS GROUND IN THE APPEAL BEFORE US. 4. AT THE OUTSET, IT HAS BEEN OBSERVED THAT THE TRI BUNAL, IN THE ASSESSEES OWN CASE FOR THE AY 2007-08 IN ITA NO. 3701/MUM/2012, H AS HELD THAT THE ASSESSEE IS ENTITLED FOR THE INTEREST UNDER SECTION 244A ON THE REFUND OF EXCESS SELF ASSESSMENT TAX PAID U/S 140A OF THE ACT. IT IS PERTINENT TO NO TE THAT IN THE SAID ORDER, THE TRIBUNAL HAS ARRIVED AT THE CONCLUSION AFTER OBSERV ING VARIOUS DECISIONS OF THE HIGH COURTS AND SUPREME COURT MENTIONED IN PARA 8 OF THE SAID ORDER. FOLLOWING THE SAID ORDER, WE HOLD THAT THE ASSESSEE IS ENTITLED FOR TH E INTEREST U/S 244A ON THE REFUND OF SELF ASSESSED TAX PAID U/S 140A AND WE DIRECT TH E AO TO CALCULATE THE SAME IN ACCORDANCE WITH LAW AND THEREBY GRANT THE CALCULATE D INTEREST TO THE ASSESSEE. ACCORDINGLY GROUND NO. 1 IS ALLOWED. 5. GROUND NO. 2 RELATES TO THE DIRECTION OF THE LD. CIT(A) UPHOLDING THE ACTION OF THE LD. AO LEVYING INTEREST OF RS.20,92,300/- UNDER SECTION 234D OF THE ACT WHICH IS CONSEQUENTIAL IN NATURE AND HENCE REQUIRES NO ADJUD ICATION. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS TREATED AS ALLOWED . ORDER PRONOUNCED IN THE OPEN COURT ON THIS 19 TH DAY OF NOVEMBER, 2013. SD/- SD/- (P.M. JAGTAP) (DR. S.T.M. PAVALAN) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATED: 19.11.2013. *SRIVASTAVA COPY TO: THE APPELLANT THE RESPONDENT THE CIT, CONCERNED, MUMBAI THE CIT(A) CONCERNED, MUMBAI THE DR A BENCH //TRUE COPY// BY ORDER DY/ASSTT. REGISTRAR, ITAT, MUMBAI.