Gangotri Sales Pvt. Ltd., , Kolkata V. ITO, Ward - 6(4), Kolkata , Kolkata

ITA 2348/KOL/2017

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 1365 (ITAT-KOLKATA)
• Duration Of Justice: 3 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-03-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Appeal Filed On: 20-11-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ROBIN CHOUDHURY CIT DR REV
• Assessee Lawyers: ANKIT JALAN
• Keywords: Earning of tax free income
• Section: 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA SMC BENCH, KOLKATA [BEFORE SRI J. SUDHAKAR REDDY, A CCOUNTANT M EMBER ] I.T.A. NO. 2 348 / KOL/201 7 ASSESSMENT YEAR: 20 1 1 - 12 GANGOTRI SALES PVT. LTD . .. . . ... APPELLANT 5/1, CLIVE ROW 2 ND FLOOR ROOM NO. 54 KOLKATA 700 001 [PAN : AACCG 4677 J ] I NCOME T AX O FFICER WARD - 6 ( 4 ) , KOLKATA ... .. .. RESPONDENT AAYAKAR BHAWAN KOLKATA 700 069 APPEARANCES BY: SHRI ANKIT JALAN , A /R , APPEAR ED ON BEHALF OF THE ASSESSEE. SHRI ROBIN CHOUDHURY , ADDL. CIT , DR APPEARING ON BEHALF OF THE REVENUE. DATE OF CONCLUDING THE HEARING : FEBRUARY 8 TH , 201 8 DATE OF PRONOUNCING THE ORDER : MARCH 14 TH , 201 8 O R D E R PER J. SUDHAKAR REDDY : - THIS APPEAL FILED BY THE ASSESSE E IS DIRECTED AGAINST THE ORDER OF THE LD. COMMISSIONER OF INCOME TAX (APPEALS) - 2 , KOLKATA , (HEREINAFTER THE LD. CIT (A)), PASSED U/S 250 OF THE INCOME TAX ACT, 1961 (THE ACT), DT. 25 / 09 /2017. 2. THE ONLY ISSUE THAT HAS TO BE ADJUDICATED IS WHETHER THE DIS ALLOWANCE U/S 14A, CAN BE MADE WHEN THE ASSESSEE HAS NO DIVIDEND INCOME. 3. HEARD RIVAL CONTENTIONS. WE FIND THAT THE HONBLE DELHI HIGH COURT IN THE CASE OF CHEMINVEST PVT. LTD. VS CIT (2009) 317 ITR 86 , WHILE DEALING WITH AN IDENTICAL ISSUE HELD AS FOLLOWS: - NO DISALLOWANCE U/S 14A CAN BE MADE IN A YEAR IN WHICH NO EXEMPT INCOME HAS BEEN EARNED OR RECEIVED BY THE ASSESSEE. S. 14A ALSO DOES NOT APPLY TO SHARES BOUGHT FOR STRATEGIC PURPOSES 4. RESPECTFULLY FOLLOWING THE SAME, WE DELETE THE ADDITION MADE BY THE ASSESSING OFFICER AND CONFIRMED BY THE LD. CIT(A) U/S 14A OF THE ACT AND ALLOW THIS APPEAL OF THE ASSESSEE. 5. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED. KOLKATA, THE 14 TH DAY OF MARCH , 201 8 SD/ - [ J. SUDHAKAR REDDY ] ACCOUNTANT MEMBER DATED : 14 . 0 3 .201 8 {SC SPS} 2 I.T.A. NO. 2348/KOL/2017 ASSESSMENT YEAR: 2011 - 12 GANGOTRI SALES PVT. LTD C OPY OF THE ORDER FORWARDED TO: 1. GANGOTRI SALES PVT. LTD 5/1, CLIVE ROW 2 ND FLOOR ROOM NO. 54 KOLKATA 700 001 2. INCOME TAX OFFICER WARD - 6(4), KOLKATA AAYAKAR BHAWAN KOLKATA 700 069 3. CIT(A) - 4. CIT - , 5. CIT(DR), KOLKATA BENCHES, KOLKATA. TRUE COPY BY ORDER SENIOR PRIVATE SECRETARY HEAD OF OFFICE/ D.D.O. ITAT, KOLKATA BENCHES