ASST CIT 1(2)(1), MUMBAI V. KARMA ENERGY LTD, MUMBAI

ITA 2206/MUM/2017

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 4144 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 7 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-10-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: H
• Assessment Year: 2012-2013
• Appeal Filed On: 29-03-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Earning of tax free income
• Section: 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH H , MUMBAI BEFORE SHRI C.N. PRAS AD, HON'BLE JUDICIAL MEMBER AND SHRI N.K. PRADHAN , HON'BLE ACCOUNTANT MEMBER ITA NO. 2206 /MUM/201 7 (A.Y: 2012 - 13 ) A .C.I.T 1(2) (1) ROOM NO. 535 , 5 TH FLOOR, AAYAKAR BHAVAN, M.K. ROAD, MUMBAI - 400 020 V. M /S. KARMA ENERGY LTD., 214, EMPIRE HOUSE, DR. D.N. ROAD, FORT, MUMBAI 400 001 PAN: AADCK 1232 G (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI ANUJ KISNADWALA DEPARTMENT BY : SHRI MANOJ KUMAR SINGH DATE OF HEARING : 08 .08.2018 DATE OF PRONOUNCEMENT : 30 . 10 .2018 O R D E R PER C. N. PRASAD (JM) 1. THIS APPEAL IS FILED BY THE REVENUE AGAINST THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) 2, MUMBAI [HEREINAFTER IN SHORT LD.CIT(A)] DATED 16.1 2.2016 F OR THE ASSESSMENT YEAR 2012 - 13. 2. IN THIS APPEAL THE REVENUE CHALLENGED THE ORDER OF THE LD.CIT(A) IN RESTRICTING THE DISALLOWANCE U/S. 14A OF THE ACT TO THE EXEMPT INCOME EARNED BY THE ASSESSEE. 3. LD. DR VEHEMENTLY PLACED RELIANCE ON THE ORDER OF THE ASSESSING OFFICER WHEREAS THE LD. COUNSEL FOR THE ASSESSEE RELIED ON THE ORDER OF THE LD.CIT(A). 2 ITA NO.2206/MUM/2017 (A.Y: 2012 - 13) M/S. KARMA ENERGY LTD., 4. WE HAVE PERUSED THE ORDER OF THE LD.CIT(A) AND FIND THAT THE DISALLOWANCE U/S. 14A OF THE ACT WAS RESTRICTED TO THE EXEMPT INCOME EARNED BY THE ASSESSEE FOLLOW ING THE DECISION OF THE DELHI BENCH OF THE TRIBUNAL IN THE CASE OF M/S. SAHARA INDIA FINANCIAL CORPORATION LTD V. DCIT [41 TAXMANN.COM 251]. THIS BENCH IS CONSISTENTLY HOLDING THAT , THE DISALLOWANCE U/S. 14A OF THE ACT IF ANY SHALL BE RESTRICTED TO THE EXEMPT INCOME EARNED BY THE ASSESSEE. THE DECISION OF THE LD.CIT(A) IS IN TUNE WITH THE CONSISTENT VIEW OF THIS TRIBUNAL. HENCE WE DO NOT FIND ANY INFIRMITY IN THE ORDER PASSED BY TH E LD.CIT(A). 5. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THE 30 TH OCTOBER, 2018 SD/ - SD/ - ( N.K. PRADHAN ) (C.N. PRASAD) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI / DATED 30/ 10 / 2018 GIRIDHAR , SR . PS COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT(A), MUMBAI. 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE. //TRUE COPY// BY ORDER (ASSTT. REGISTRAR) ITAT, MUM