M/S. AOFINA CATALYST I LTD, V. THE ITO (OSD) RG 6(1),

ITA 2187/MUM/2005

• Counselvise Citation: [2009] 115 COUNSELVISE.COM (IT) 1575 (ITAT-MUMBAI)
• Duration Of Justice: 4 year(s) 8 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-11-2009
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 17-11-2009
• Assessment Year: 2001-2002
• Appeal Filed On: 21-03-2005
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: M SUBRAMANIAN SHRI S K SINGH
• Keywords: Depreciation
• Section: 80HHC

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH, MUMBAI BEFORE S/SHRI R.K. GUPTA, J.M. AND PRAMOD KUMAR, A. M I.T.A. NO.2187/MUM./2005 (ASSESSMENT YEAR : 2001-02 ) DATE OF HEARING: 17.11.2009 ATOFINA CATALYST INDIA LTD., M/S. ARKEMA CATALYST INDIA LTD. 6, RUBY HOUSE, B WING, J.K. SAWANT MARG DADAR (W), MUMBAI 400 028 [PANAAACE6078K] VS ITO (OSD), RANGE-6(1) MUMBAI APPELLANT RESPONDENT ASSESSEE BY : SHRI M. SUBRAMANIAN REVENUE BY : SHRI S.K. SINGH O R D E R PER PRAMOD KUMAR, A.M. THIS IS AN APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER DATED 16.1.2005, PASSED BY THE LD. CIT(A)VI, MUMBA I, FOR A.Y. 2001-02. 2. GROUND NO.1, READS AS UNDER:- 1. DEDUCTION U/S 80HHC OF THE INCOME TAX ACT, 1961, SHOULD BE ALLOWED AT RS.9,80,035/- ON THE NORMAL COMPUTATION AND ALSO ON THE BOOK PROFITS TAXED U/S 115JB. 3. BEFORE US, THE LD. COUNSEL FOR THE ASSESSEE FAIRLY CONCEDED THAT THIS ISSUE IS COVERED AGAINST THE ASSESSEE BY THE JUDGME NT OF THE HON'BLE BOMBAY HIGH COURT IN THE CASE OF CIT VS AJANTA PHAR MACEUTICALS, 223 CTR 441. THEREFORE, THE GRIEVANCE RAISED BY THE ASSESSE E IS DISMISSED. 4. GROUND NO.2, READS AS UNDER:- 2. DEPRECIATION ON INTANGIBLE ASSETS AMOUNTING TO R S.22,50,000/- SHOULD BE ALLOWED WHILE COMPUTING TAXABLE INCOME. 5. THE INTANGIBLE ASSET IN RESPECT OF WHICH DEPRECIATI ON IS CLAIMED IS DISTRIBUTION NETWORK. LD. COUNSEL FAIRLY SUBMITTED THAT IN VIEW OF THE JUDGMENT OF THE HON'BLE BOMBAY HIGH COURT IN THE CA SE OF CIT VS TECHNO SHARES & STOCK LTD., (2009) 28 DTR 201, THE ASSESSE E IS NOT ELIGIBLE FOR ARKEMA CATALYST INDIA LTD. I.T.A. NO.2187/MUM./2005 2 DEPRECIATION ON THE SAID INTANGIBLE ASSET. THEREFOR E, THIS GROUND IS ALSO DISMISSED. 6. IN THE RESULT, ASSESSEES APPEAL STANDS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 25.11.2009. SD/- R.K. GUPTA JUDICIAL MEMBER SD/- PRAMOD KUMAR ACCOUNTANT MEMBER MUMBAI, DATED: 25.11.2009 COPY TO : (1) THE ASSESSEE (2) THE RESPONDENT (3) THE CIT(A), MUMBAI, CONCERNED (4) THE CIT, MUMBAI CITY CONCERNED (5) THE DR, C BENCH, ITAT, MUMBAI TRUE COPY BY ORDER ASSISTANT REGISTRAR ITAT, MUMBAI BENCHES, MUMBAI PRADEEP PRADEEP PRADEEP PRADEEP ARKEMA CATALYST INDIA LTD. I.T.A. NO.2187/MUM./2005 3 DATE INITIAL 1. DRAFT DICTATED ON 18.11.2009 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 19.11.2009 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER 19.11.2009 JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER 19.11.2009 JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS 19.11.2009 SR.PS/PS 6. DATE OF PRONOUNCEMENT 25.11.2009 SR.PS 7. FILE SENT TO THE BENCH CLERK 25.11.2009 SR.PS 8. DATE ON WHICH FILE GOES TO THE HEAD CLERK 9. DATE OF DISPATCH OF ORDER