M/s Linkwell Telesystems Private Limited, Hyderabad V. DCIT, Circle -16(1), Hyderabad

ITA 2233/HYD/2011

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 61824 (ITAT-HYDERABAD)
• Duration Of Justice: 3 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-04-2012
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: B
• Assessment Year: 2008-2009
• Appeal Filed On: 30-12-2011
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: RAO
• Assessee Lawyers: V SIVA KUMAR
• Keywords: Competent authority

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH B', HYDERABAD BEFORE SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER AND SMT. ASHA VIJAYARAGHAVAN, JUDICIAL MEMBER ITA NO.2233/HYD/2011 : ASSESSMENT YEAR 2008-09 M/S. LINKWELL TELE-SYSTEMS PVT. LTD., HYDERABAD. ( PAN - AAACL 3452 E ) V/S. DY. COMMISSIONER OF INCOME-TAX CIRCLE 16(1), HYDERABAD (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI V.SIVAKUMAR RESPONDENT BY : SHRI M.S.RAO DATE OF HEARING 11.4.2012 DATE OF PRONOUNCEMENT 11.4.2012 O R D E R PER CHANDRA POOJARI, ACCOUNTANT MEMBER: THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AG AINST THE ORDER OF THE CIT(A) V, HYDERABAD DATED 1.12.2011 FOR THE ASSESSM ENT YEAR 2008-09. 2. EFFECTIVE GROUND OF THE ASSESSEE IN THIS APPEA L READS AS FOLLOWS=- 1.THE LEARNED CIT(A) ERRED IN SUSTAINING ADDITION OF RS.7,03,681 ON ACCOUNT OF PAYMENT OF LIC OF INDIA GRATUITY FUND MERELY BECAUSE THE FUND HAS NOT GOT APPROVAL BY CHIEF COMM ISSIONER OF INDIA, ALTHOUGH THE APPELLANT HAD APPLIED FOR SAID APPROVAL WHICH IS PENDING FOR APPROVAL BY CCIT FOR NO FAULT OF THE AP PELLANT. 3. WE HEARD THE PARTIES AND PERUSED THE ORDERS OF THE LOWER AUTHORITIES AND OTHER MATERIAL ON RECORD. THE POIN T IN DISPUTE RELATES TO DISALLOWANCE OF THE ASSESSEES CLAIM FOR DEDUCTION OF RS.7,03,681 BEING PAYMENT ON ACCOUNT OF LIC OF INDIA GRATUITY FUND, A ND THE SAID DISALLOWANCE WAS MADE BY THE ASSESSING OFFICER AND CONFIRMED BY THE CIT(A) ON THE GROUND THAT THE SAME HAS NOT BEEN APP ROVED BY THE COMPETENT AUTHORITY. IT IS THE CONTENTION OF THE A SSESSEE THAT IT HAS IN FACT APPLIED FOR SUCH APPROVAL TO THE CHIEF COMMISSIONER OF INCOME-TAX AND ITA NO2233/HYD/11 M/S. LINKWELL TELE-SYSTEMS PVT. LTD., HYDERABAD. 2 THE MATTER IS PENDING DISPOSAL WITH THAT AUTHORITY, AND IN THE MEANWHILE DISALLOWANCE IN QUESTION WAS MADE. RELIANCE IS ALSO PLACED ON THE DECISION OF THE TRIBUNAL IN THE CASE OF J.B. EDUCATIONAL SOC IETY V/S. ASSTT. DIRECTOR OF INCOME-TAX(EXEMPTION) IN ITA NO.1144/HYD/2003 DA TED 26.7.2004. ON CONSIDERATION OF TOTALITY OF FACTS AND CIRCUMSTANCE S OF THE CASE, WE FIND IT FAIR AND JUST TO SET ASIDE THE IMPUGNED ORDERS OF T HE LOWER AUTHORITIES, AND RESTORE THE MATTER TO THE FILE OF THE ASSESSING OFF ICER, WITH A DIRECTION TO RECONSIDER THE CLAIM OF THE ASSESSEE IN CONSONANCE WITH THE DECISION THAT THE COMPETENT AUTHORITY, VIZ. CHIEF COMMISSIONER OF INCOME-TAX MAY TAKE ON THE APPLICATION OF THE ASSESSEE FOR APPROVAL. T HE ASSESSING OFFICER SHALL ACCORDINGLY RE-EXAMINE THE MATTER IN ACCORDANCE WIT H LAW AND AFTER GIVING DUE OPPORTUNITY OF HEARING TO THE ASSESSEE. 3. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOW ED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE COURT AT THE CONCLUSION O F HEARING OF THE APPEAL ON 11 APRIL, 2012 SD/- SD/- (ASHA VIJAYARAGHAVAN) (CHANDRA POOJARI) JUDICIAL MEMBER ACCOUNTANT MEMBER DT/- 11 TH APRIL, 2012 COPY FORWARDED TO: 1. M/S. LINKWELL TELE-SYSTEMS PVT. LTD., 1-11-252/1 /A, GOWARA KLASSIC, BEGUMPET, HYDERABAD 500 016. 2. DY. COMMISSIONER OF INCOME-TAX CIRCLE 16(1), HYD ERABAD 3. COMMISSIONER OF INCOME - TAX(APPEALS) V, HYDERABAD. 4. COMMISSIONER OF INCOME - TAX IV, HYDERABAD 5. DEPARTMENTAL REPRESENTATIVE, ITAT, HYDERABAD. B.V.S