DCIT, Central Circle - 2(1), , Kolkata V. M/s. Shalimar Pellet Feeds Ltd., , Kolkata

ITA 2202/KOL/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 8511 (ITAT-KOLKATA)
• Duration Of Justice: 5 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-04-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2009-2010
• Appeal Filed On: 16-10-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Depreciation; Additional depreciation; Tax effect
• Section: 143(3); 153A; 263; 12; 10; 11

Judgement Text

I.T.A. NOS. 22 01, 2202, 2197-2199/KOL/2018 ASSESSMENT YEARS: 2008-09, 2009-10, 201 0-11, 2011-12, 2013-14 M/S. S HALIMAR PELLET FEEDS LIMITED 1 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA D BENCH, KOLKATA BEFORE SHRI P.M. JAGTAP, VICE-PRESIDENT (KZ) AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER I.T.A. NOS. 2201, 2202, 2197, 2198, 2199/KOL/2018 ASSESSMENT YEARS: 2008-2009, 2009-10, 2010-11, 2011 -12 & 2013-2014 DEPUTY COMMISSIONER OF INCOME TAX,...... .........APPELLANT CENTRAL CIRCLE-2(1), KOLKATA, AAYAKAR BHAWAN POORVA, 3 RD FLOOR, E.M. BYE PASS, 110, SHANTI PALLY, KOLKATA-700 107 -VS.- M/S. SHALIMAR PELLET FEEDS LIMITED,................ .............................RESPONDENT EVEREST HOUSE, 17 TH FLOOR, ROOM NO. 17B & C, 46C, CHOWRINGHEE ROAD, KOLKATA-700 071 [PAN: AADCS 8617 H] APPEARANCES BY: SHRI RADHEY SHYAM, CIT (D.R.), FOR THE APPELLANT SHRI A.K. TULSYAN, FCA, FOR THE RESPONDENT DATE OF CONCLUDING THE HEARING : APRIL 09, 2019 DATE OF PRONOUNCING THE ORDER : APRIL 09, 2019 O R D E R PER BENCH:- THESE FIVE APPEALS ARE PREFERRED BY THE REVENUE AG AINST FIVE SEPARATE ORDERS PASSED BY THE LD. COMMISSIONER OF I NCOME TAX (APPEALS)- 20, KOLKATA DATED 22.08.2018 FOR A.YS. 2008-09 & 20 09-10 AND DATED 23.08.2018 FOR A.YS. 2010-11, 2011-12 & 2013-14 AND SINCE THE ISSUES INVOLVED THEREIN ARE COMMON THEREFORE, THE SAME ARE BEING DISPOSED OF BY A SINGLE CONSOLIDATED ORDER. 2. THE ASSESSEE IN THE PRESENT CASE IS A COMPANY, W HICH IS ENGAGED IN THE BUSINESS OF MANUFACTURING OF POULTRY. THE ASSES SMENTS IN THE CASE OF THE ASSESSEE FOR ALL THE FIVE YEARS UNDER CONSIDERA TION WERE ORIGINALLY COMPLETED BY THE ASSESSING OFFICER AS UNDER:- I.T.A. NOS. 22 01, 2202, 2197-2199/KOL/2018 ASSESSMENT YEARS: 2008-09, 2009-10, 201 0-11, 2011-12, 2013-14 M/S. S HALIMAR PELLET FEEDS LIMITED 2 ASSESSMENT YEAR DATE OF ORDER SECTION UNDER WHICH THE ORDER WAS PASSED 2008 - 09 27.03.2015 SECTION 143(3) READ WITH SECTION 153A 2009 - 10 27.03.2015 SECTION 143(3) READ WITH SECTION 153A 2010 - 11 27.03.2015 SECTION 143(3) READ WITH SECTION 153A 2011 - 12 27.03.2015 SECTION 143(3) READ WITH SECTION 153A 2013 - 14 27.03.2015 SECTION 143(3) ALL THE ABOVE ASSESSMENTS MADE ORIGINALLY BY THE AS SESSING OFFICER FOR THE FIVE YEARS UNDER CONSIDERATION WERE SUBSEQUENTLY SE T ASIDE BY THE CONCERNED LD. CIT VIDE HIS ORDERS PASSED UNDER SECT ION 263 WITH A DIRECTION TO THE ASSESSING OFFICER TO MAKE THE ASSE SSMENTS AFRESH AFTER EXAMINING THE CLAIM OF THE ASSESSEE FOR ADDITIONAL DEPRECIATION ON PLANT AND MACHINERY. ACCORDINGLY FRESH ASSESSMENTS WERE M ADE BY THE ASSESSING OFFICER IN PURSUANCE OF THE ORDERS PASSED BY THE LD. CIT UNDER SECTION 263 FOR ALL THE FIVE YEARS UNDER CONSIDERAT ION, WHEREIN HE MADE THE FOLLOWING ADDITIONS TO THE TOTAL INCOME OF THE ASSESSEE ON ACCOUNT OF DISALLOWANCE OF ADDITIONAL DEPRECIATION:- ASSESSMENT YEAR AMOUNT OF ADDITION 2008 - 09 RS. 4,80,499/ - 2009 - 10 RS. 7,14,441/ - 2010 - 11 RS. 2,08,801/ - 2011 - 12 RS. 93,307/ - 2013 - 14 RS.1,64,48,649/ - IN A.Y. 2009-10, THE ASSESSING OFFICER ALSO MADE FU RTHER ADDITIONS OF RS.3,24,49,403/- AND RS.14,68,279/- ON ACCOUNT OF D IFFERENCE IN SALE TO M/S. SHALIMAR HATCHERIES LIMITED AND DISALLOWANCE O F DEPRECIATION ON LORRIES TO THE EXTENT OF 15% RESPECTIVELY. I.T.A. NOS. 22 01, 2202, 2197-2199/KOL/2018 ASSESSMENT YEARS: 2008-09, 2009-10, 201 0-11, 2011-12, 2013-14 M/S. S HALIMAR PELLET FEEDS LIMITED 3 3. AGAINST THE ORDERS PASSED BY THE ASSESSING OFFIC ER MAKING THE FRESH ASSESSMENTS FOR ALL THE FIVE YEARS UNDER CONSIDERAT ION IN PURSUANCE OF THE ORDERS PASSED BY THE LD. CIT UNDER SECTION 263, APP EALS WERE PREFERRED BY THE ASSESSEE BEFORE THE LD. CIT(APPEALS). MEANWHILE THE APPEALS FILED BY THE ASSESSEE AGAINST THE ORDERS PASSED BY THE LD. C IT UNDER SECTION 263 FOR ALL THE FIVE YEARS UNDER CONSIDERATION CAME TO BE DISPOSED OF BY THE TRIBUNAL VIDE A COMMON ORDER DATED 17.10.2017 PASSE D IN ITA NOS. 948 TO 952/KOL/2017, WHEREIN THE ORDERS PASSED BY THE L D. CIT UNDER SECTION 263 WERE QUASHED BY THE TRIBUNAL ALLOWING THE APPEA LS OF THE ASSESSEE. CONSEQUENTLY THE ASSESSMENT ORDERS ORIGINALLY PASSE D BY THE ASSESSING OFFICER STOOD RESTORED AND THE ORDERS PASSED BY HIM IN PURSUANCE OF THE ORDERS UNDER SECTION 263 WERE BECOME NON-EST . THE LD. CIT(APPEALS) ACCORDINGLY CANCELLED THE ASSESSMENTS MADE BY THE A SSESSING OFFICER IN PURSUANCE OF THE ORDERS OF THE LD. CIT PASSED UNDER SECTION 263 AND ALLOWED THE APPEALS OF THE ASSESSEE. AGGRIEVED BY T HE ORDERS OF THE LD. CIT(APPEALS), THE REVENUE HAS PREFERRED THESE APPEA LS BEFORE THE TRIBUNAL. 4. WE HAVE HEARD THE ARGUMENTS OF BOTH THE SIDE AND ALSO PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. AS ALREADY N OTED BY US, THE ORDERS PASSED BY THE CONCERNED LD. CIT UNDER SECTION 263 H AVING BEEN QUASHED BY THE TRIBUNAL VIDE ITS ORDER DATED 17.10.2017 PAS SED IN ITA NOS. 948 TO 952/KOL/2017, THE ORDERS PASSED BY THE ASSESSING OF FICER IN PURSUANCE OF THE ORDERS OF LD. PRINCIPAL CIT PASSED UNDER SEC TION 263 BECAME NON- EST IN THE EYES OF LAW AND THE LD. CIT(APPEALS), IN OU R OPINION, WAS FULLY JUSTIFIED IN CANCELLING THE SAME AND IN ALLOWING TH E APPEALS OF THE ASSESSEE FILED AGAINST THE SAID ORDER. EVEN THE LD. CIT (DR) HAS NOT BEEN ABLE TO DISPUTE THIS POSITION. HE HAS ALSO NOT BROU GHT ANYTHING ON RECORD TO SHOW THAT THE RELEVANT ORDER OF THE TRIBUNAL QUA SHING THE ORDERS OF THE LD. CIT PASSED UNDER SECTION 263 HAS BEEN REVERSED OR DISTURBED IN ANY MANNER BY THE HONBLE CALCUTTA HIGH COURT. WE, THE REFORE, UPHOLD THE I.T.A. NOS. 22 01, 2202, 2197-2199/KOL/2018 ASSESSMENT YEARS: 2008-09, 2009-10, 201 0-11, 2011-12, 2013-14 M/S. S HALIMAR PELLET FEEDS LIMITED 4 IMPUGNED ORDERS PASSED BY THE LD. CIT(APPEALS) AND DISMISS THESE APPEALS FILED BY THE REVENUE. 5. AS RIGHTLY POINTED OUT BY THE LD. COUNSEL FOR TH E ASSESSEE, THE APPEALS FILED BY THE REVENUE FOR A.Y. 2008-09, 2010 -11 & 2011-12 INVOLVE A TAX EFFECT OF LESS THAN THE MONETARY LIMIT OF RS. 20 LAKHS AS PRESCRIBED BY THE CBDT FOR FILING REVENUES APPEALS BEFORE THE TR IBUNAL AND SAID APPEALS ARE ACCORDINGLY LIABLE TO BE DISMISSED EVEN ON ACCOUNT OF LOW TAX EFFECT. 6. IN THE RESULT, ALL THE APPEALS FILED BY THE REVE NUE ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON APRIL 09, 201 9. SD/- SD/- (S.S. VISWANETHRA RAVI) (P.M. JAGTAP) JUDICIAL MEMBER VICE -PRESIDENT (KZ) KOLKATA, THE 9 TH DAY OF APRIL, 2019 COPIES TO : (1) DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-VII, KOLKATA, AAYAKAR BHAWAN POORVA,3 RD FLOOR, E.M. BYE PASS, 110, SHANTI PALLY, KOLKATA-700 107 (2) M/S. SHALIMAR PELLET FEEDS LIMITED, EVEREST HOUSE, 17 TH FLOOR, ROOM NO. 17B & C, 46C, CHOWRINGHEE ROAD, KOLKATA-700 071 (3) COMMISSIONER OF INCOME TAX (APPEALS)-20, KOLKA TA, (4) COMMISSIONER OF INCOME TAX- , (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.