M/s. Dependable Transport Pvt. Ltd., New Delhi V. ACIT, New Delhi

ITA 2309/DEL/2014

• Counselvise Citation: 230920114 RSA 2014
• Duration Of Justice: 1 year(s) 5 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-10-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC 1
• Next Hearing Date: 21-09-2015
• Assessment Year: 2006-2007
• Appeal Filed On: 16-04-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AMRIT LAL
• Assessee Lawyers: SURENDER KUMAR
• Keywords: Earning of tax free income
• Section: 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL DELHI DELHI DELHI DELHI BENCH BENCH BENCH BENCH SMC SMC SMC SMC- -- -1 11 1 : NEW DELHI : NEW DELHI : NEW DELHI : NEW DELHI BEFORE SHRI G.C. GUPTA BEFORE SHRI G.C. GUPTA BEFORE SHRI G.C. GUPTA BEFORE SHRI G.C. GUPTA, VICE , VICE , VICE , VICE PRESIDENT PRESIDENT PRESIDENT PRESIDENT ITA NO ITA NO ITA NO ITA NO . .. . 2309/DEL/2014 2309/DEL/2014 2309/DEL/2014 2309/DEL/2014 ASSESSMENT YEAR ASSESSMENT YEAR ASSESSMENT YEAR ASSESSMENT YEAR : : : : 2006 2006 2006 2006 - -- - 07 0707 07 M/S DEPENDABLE TRANSPORT M/S DEPENDABLE TRANSPORT M/S DEPENDABLE TRANSPORT M/S DEPENDABLE TRANSPORT PVT.LTD., PVT.LTD., PVT.LTD., PVT.LTD., 1027, TOP FLOOR, WARD NO.8, 1027, TOP FLOOR, WARD NO.8, 1027, TOP FLOOR, WARD NO.8, 1027, TOP FLOOR, WARD NO.8, MEHRA CHOWK, MEHRAULI, MEHRA CHOWK, MEHRAULI, MEHRA CHOWK, MEHRAULI, MEHRA CHOWK, MEHRAULI, NEW DEL NEW DEL NEW DEL NEW DELHI HI HI HI 110 030. 110 030. 110 030. 110 030. PAN : AACCD0468Q. PAN : AACCD0468Q. PAN : AACCD0468Q. PAN : AACCD0468Q. VS. VS. VS. VS. ASSISTANT COMMISSIONER OF ASSISTANT COMMISSIONER OF ASSISTANT COMMISSIONER OF ASSISTANT COMMISSIONER OF INCOME TAX, INCOME TAX, INCOME TAX, INCOME TAX, CENTRAL CIRCLE CENTRAL CIRCLE CENTRAL CIRCLE CENTRAL CIRCLE- -- -13, 13, 13, 13, NEW DELHI. NEW DELHI. NEW DELHI. NEW DELHI. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI SURENDER KUMAR, CA. RESPONDENT BY : SHRI AMRIT LAL, DR. DATE OF HEARING : 21.09.2015 21.09.2015 21.09.2015 21.09.2015 DATE OF PRONOUNCEMENT : 05.10.2015 05.10.2015 05.10.2015 05.10.2015 ORDER ORDER ORDER ORDER THIS APPEAL BY THE ASSESSEE FOR THE ASSESSMENT YEAR 2006-0 7 IS DIRECTED AGAINST THE ORDER OF LEARNED CIT(A)-XXV, NE W DELHI DATED 6 TH JANUARY, 2014. 2. THE ONLY GROUND OF APPEAL OF THE ASSESSEE IS AS UNDER :- THAT THE ORDER DATED 16-01-2014 PASSED U/S 250(6) OF THE INCOME TAX ACT, 1961 BY THE LEARNED COMMISSIONER OF INCOME-TAX (APPEALS) XXV, NEW DELHI IS AGAINST LAW AND FACTS ON THE FILE IN AS MUCH AS HE WAS NOT JUSTIFIED TO UPHOLD THE ACTION OF THE LEARNED ASSTT COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-13, NEW DELHI IN MAKING ADDITION OF ADDITIONAL SUM OF RS.79,845/- BY TAKING RECOURSE TO THE PROVISIONS OF SECTION 14A OF THE INCOM E-TAX ACT, 1961 READ TOGETHER WITH RULE 8D OF THE INCOME TAX RULES, 1962 ON ACCOUNT OF EXPENSES INCURRED FOR EARNIN G EXEMPT INCOME. ITA-2309/DEL/2014 2 3. LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE ON LY ADDITION IN THIS CASE WAS OF `79,845/-. HE SUBMITTED T HAT THERE WAS NO EXEMPT INCOME DURING THE YEAR AND THEREFORE, THE PR OVISIONS OF SECTION 14A DO NOT APPLY. HE REFERRED TO SCHEDULE-9 OF THE AUDITED ACCOUNT FILED WITH THE ASSESSING OFFICER WHEREIN THERE WAS NO EX EMPT INCOME. 4. LEARNED DR COULD NOT CONTROVERT THE SUBMISSIONS OF THE LEARNED COUNSEL FOR THE ASSESSEE. 5. I HAVE CONSIDERED THE RIVAL SUBMISSIONS AND HAVE PERU SED THE ORDER OF THE ASSESSING OFFICER AND THE LEARNED CIT(A). IT IS AN ADMITTED FACT THAT THERE WAS NO EXEMPT INCOME EARNED BY THE ASSESSEE AS IS ALSO EVIDENT FROM SCHEDULE-9 OF THE ACCOUNTS AND, THE REFORE, THE PROVISIONS OF SECTION 14A WERE NOT APPLICABLE TO THE CASE OF THE ASSESSEE. ACCORDINGLY, THE GROUND OF APPEAL OF THE ASSESSE E IS ALLOWED. 6. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWED. DECISION PRONOUNCED IN THE OPEN COURT ON 05.10.2015. SD/- (G. (G. (G. (G. C. GUPTA C. GUPTA C. GUPTA C. GUPTA ) )) ) VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VK. COPY FORWARDED TO: - 1. APPELLANT : M/S DEPENDABLE TRANSPORT PVT.LTD. , M/S DEPENDABLE TRANSPORT PVT.LTD., M/S DEPENDABLE TRANSPORT PVT.LTD., M/S DEPENDABLE TRANSPORT PVT.LTD., 1027, TOP FLOOR, WARD NO.8, 1027, TOP FLOOR, WARD NO.8, 1027, TOP FLOOR, WARD NO.8, 1027, TOP FLOOR, WARD NO.8, MEHRA CHOWK, MEHRAULI, NEW DELHI MEHRA CHOWK, MEHRAULI, NEW DELHI MEHRA CHOWK, MEHRAULI, NEW DELHI MEHRA CHOWK, MEHRAULI, NEW DELHI 110 030. 110 030. 110 030. 110 030. 2. RESPONDENT : ASSISTANT COMMISSIONER OF INCOME TAX, ASSISTANT COMMISSIONER OF INCOME TAX, ASSISTANT COMMISSIONER OF INCOME TAX, ASSISTANT COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE CENTRAL CIRCLE CENTRAL CIRCLE CENTRAL CIRCLE- -- -13, NEW DELHI. 13, NEW DELHI. 13, NEW DELHI. 13, NEW DELHI. 3. CIT 4. CIT(A) 5. DR, ITAT ASSISTANT REGISTRAR