Assistant Commissioner of Income-tax, Central Circle - 1(2), Pune V. M/s. Finolex Cables Ltd, Pune

ITA 2257/PUN/2017

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 7455 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 4 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-01-2020
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2014-2015
• Appeal Filed On: 27-09-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SHRI
• Assessee Lawyers: J G PENDSE
• Section: 201; 80IC; 80IC

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, PUNE BEFORE SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER AND SHRI S.S. VISWANETHRA RAVI, J UDICIAL MEMBER . / ITA NO . 2257 /PUN/201 7 / ASSESSMENT YEAR : 20 1 4 - 15 ASSISTANT COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE 1( 2 ), PUNE ....... / APPELLANT / V/S. M/S. FINOLEX CABLES LTD., 26/27, MUMBAI PUNE ROAD, PIMPRI, PUNE 411018 PAN : AAACF2637D / RESPONDENT ASSESSEE BY : SHRI J.G. PENDSE REVENUE BY : SHRI PANKAJ GARG / DATE OF HEARING : 1 6 - 01 - 2020 / DATE OF PRONOUNCEMENT : 27 - 01 - 20 20 / ORDER PER S.S. VISWANETHRA RAVI, JM : TH IS APPEAL BY THE REVENUE AGAINST THE ORDER DATED 27 - 07 - 2017 PASSED BY THE COMMISSIONER OF INCOME TAX (APPEALS) - 11 , PUNE [CIT(A)] FOR ASSESSMENT YEAR 201 4 - 15. 2. THE ONLY ISSUE TO BE DECIDED IS AS TO WHETHER THE CIT(A) JUSTIFIED IN ALLOWING THE CLAIM OF ASSESSEE U/S. 80IC OF THE ACT ON INCOME EARNED F ROM SALE OF SCRAP WHEN IT WAS NOT DERIVED FROM THE ACTIVITIES OF THE ELIGIBLE BUSINESS. 2 ITA NO. 2257/PUN/2017, A.Y. 2014 - 15 3. HEARD BOTH PARTIES AND PERUSED THE MATERIAL AVAILABLE ON RECORD. THE AO DENIED THE CLAIM OF ASSESSEE IN CLAIMING DEDUCTION U/S. 80IC OF THE ACT IN RESPECT OF INCO ME FROM SALE OF MANUFACTURING SCRAP AT ROORKEE PLANT. THE CIT(A) BY PLACING RELIANCE ON THE ORDER DATED 06 - 03 - 2012 OF THIS TRIBUNAL IN ASSESSEES OWN CASE FOR A.Y. 2003 - 04 AND ALSO FOR A.YS. 2002 - 03, 2004 - 05 AND ALLOWED THE CLAIM OF ASSESSEE BY HOLDING THAT THE INCOME EARNED FROM SALE OF SCRAP IS AN ELIGIBLE BUSINESS AND THE ASSESSEE IS ENTITLED TO CLAIM THE SAID INCOME AS DEDUCTION U/S. 80IC OF THE ACT VIDE PARA 5.2 OF IMPUGNED ORDER . NO CONTRARY ORDER WAS BROUG HT ON RECORD BY THE APPELLANT - REVENUE. THEREFORE, WE FIND NO INFIRMITY IN THE ORDER OF CIT(A) AND IT IS JUSTIFIED. THUS, ONLY GROUND RAISED BY THE REVENUE IS DISMISSED. 4. IN THE RESULT, THE APPEAL OF REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE O PEN COURT ON 27 TH JANUARY, 2020 . SD/ - SD/ - (ANIL CHATURVEDI) (S.S. VISWANETHRA RAVI) ACCOUNTANT MEMBER JUDICIAL MEMBE R / PUNE; / DATED : 27 TH JANUARY, 20 20 RK / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) - 11 , PUNE 4. THE PR. COMMISSIONER OF INCOME TAX (CENTRAL), PUNE 5. , , , / DR, ITAT, B BENCH, PUNE. 6. / GUARD FILE. // TRU E COPY // / BY ORDER, / PRIVATE SECRETARY, , / ITAT, PUNE