ULTRAMARINE & PIGMENTS LTD, MUMBAI V. ADDL CIT RG 7(3), MUMBAI

ITA 2172/MUM/2012

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 75181 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 9 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-01-2014
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: F
• Next Hearing Date: 07-11-2013
• Assessment Year: 2007-2008
• Appeal Filed On: 02-04-2012
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Section: 14A

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL F , BENCH MUMBAI BEFORE SHRI I.P.BANSAL & SHRI D.KARUNAKARA RAO, AM ITA NO. 2172 / MUM/20 1 2 ( ASSESSMENT YEAR S : 200 7 - 0 8 ) ULTRAMARINE & PIGMENTS LIMITED, THIRUMALAI HOUSE, PLOT NO.101/102, SION MATUNGA ESTATE, SCHEME NO.6, ROAD NO.29, SION (EAST), MUMBAI - 400 022. VS. ADCIT RG. 7(3), MUMBAI PAN/GIR NO. : A AACU 0718 Q ( APPELLANT ) .. ( RESPONDENT ) /ASSESSEE BY : MR. HERO RAI /REVENUE BY : MR . RAVI PRAKASH DATE OF HEARING : 2 ND JANUARY , 201 4 DATE OF PRONOUNCEMENT : 2 ND JANUARY , 201 4 O R D E R PER I.P.BANSAL ( J .M.) : THIS APPEAL IS FILED BY THE ASSESSEE AND IS DIRECTED AGAINST THE ORDER DATED 25 - 11 - 2011 , PASSED BY THE LEARNED CIT (A) - 1 3 , MUMBAI FOR THE ASSESSMENT Y EAR 200 7 - 0 8 . 2 . THE GROUNDS OF APPEAL IN APPEAL OF THE ASSESSEE ARE AS UNDER: - 1 THE LEARNED CIT(APPEALS) WAS NOT JUSTIFIED IN CONFIRMING THE DISALLOWANCE OF INTEREST OF RS. 32,353/ - U/S 14A READ WITH RULE 8D OF THE ACT. 2 . THE LEARNED CIT(APPEALS) W AS NOT JUSTIFIED IN CONFIRMING THE DISALLOWANCE OF RS.50,000/ - OUT OF MOTOR - CAR AND CONVEYANCE EXPENSES. 3. THE LEARNED CIT(APPEALS) HAS GROSSLY ERRED IN NOT CONSIDERING THE SUBMISSIONS MADE BEFORE HIM AND ALSO ITA NO. 2172 /20 1 2 2 ORDERS THAT WERE FILED BEFORE HIM IN RELATION TO THE ABOVE GROUNDS OF APPEAL. 3 . GROUND NO.1 WAS NOT PRESSED BY LEARNED AR DUE TO SMALLNESS OF AMOUNT. THEREFORE, GROUND NO.1 IS DISMISSED AS NOT PRESSED. 4. IN REGARD TO GROUND NO.2, LEARNED COUNSEL SUBMITTED THAT THIS GROUND IS COVERED BY THE EA RLIER DECISION OF THE TRIBUNAL IN ASSESSEES OWN CASE. REFERENCE WAS MADE TO THE ORDER DATED 12 - 1 - 2011, PASSED IN ITA NO.628/M/2009. RELEVANT PORTION OF THE ORDER READS AS UNDER : - 2. IN GROUND NO.1 , THE ASSESSEE HAS CHALLENGED THE DISALLOWANCE OF RS. 50,0 00/ - MADE BY THE AO AND CONFIRMED BY THE ID. CIT(A ) OUT OF MOTOR CAR AND CONVEYANCE EXPENSES. 3. IN THE ABSENCE OF LOG BOOK OR ANY OTHER RECORD MAINTAINED BY THE ASSESSEE COMPANY, THE DISALLOWANCE OF RS. 50,000 / - WAS MADE BY THE A. O . OUT OF MOTOR CAR AND C ONVEYANCE EXPENSES CLAIMED BY IT. THE ID. CIT(A) CONF IRM ED THE SAID DISALLOWANCE ON THE GRO UND THAT SIMILAR DISALLOWANCE MADE IN ASSESSEE'S OWN CASE IN THE EARLIER YEARS WAS UPHELD BY HIM. AS POINTED OUT BY THE LEARNED COUNSEL FOR THE ASSESSEE AT THE TIME OF HEARING BEFORE US, A SIMILAR DISALLOWANCE MADE OUT OF MOTOR CAR AND CONVEYANCE EXPENSES IN ASSESSEE'S OWN CASE IN EARLIER YEARS HAS ALREADY BEEN DELETED BY THE TRIBUNAL. HE HAS ALSO FILED COPIES OF THE TRIBUNAL'S ORDER FOR A.Y. 1995 - 96, 2003 - 04 AND 2004 - 05 AND A PERUSAL OF THE SAME SHOWS THAT A SIMILAR DISALLOWANCE MADE IN THESE YEARS OUT OF MOTOR CAR AND CONVEYANCE EXPENSES FOR IDENTICAL REASONS HAS BEEN DELETED BY THE TRIBUNAL. RESPECTFULLY FOLLOWING THE SAID ORDERS OF THE TRIBUNAL, WE DELETE THE DISAL LOWANCE MADE BY THE A.O. AND CONFIRMED BY THE LD. CIT(A) OUT OF MOTOR CAR AND CONVEYANCE EXPENSES IN THE YEAR UNDER CONSIDERATION AND ALLOW GROUND NO.1 OF ASSESSEE'S APPEAL. 5. N O DIFFEREN CE HAS BEEN POINTED OUT IN THE FACTS OF THE PRESENT CASE AND THE FACTS OF ASSESSMENT YEAR 2005 - 06 DECIDED BY THE TRIBUNAL VIDE AFOREMENTIONED ORDER DATED 12 - 1 - 2011 . T HEREFORE, RESPECTFULLY FOLLOWING THE SAME, WE DELETE THE ADDITION. ACCORDINGLY , GROUND NO.2 IS ALLOWED. ITA NO. 2172 /20 1 2 3 6 . IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS PARTLY ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 2 ND JANUARY . 201 4 . 2 ND JAN,2014 SD/ - SD/ - ( ) ( D.KARUNAKARA RAO ) ( ) ( I.P.BANSAL ) / ACCOUNTANT MEMBER / JUDICIALMEMBER MUMBAI ; DATED 02 / 01/2014 /PKM , PS COPY OF THE OR DER FORWARDED TO : / BY ORDER, ( ASSTT. REGISTRAR) / ITAT, MUMBAI 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / THE CIT(A) - X, MUMBAI. 4. / CIT 5. / DR, ITAT, MUMBAI 6. GUARD FILE. //TRUE COPY//