DCIT, Circle - 8(1), Kolkata, Kolkata V. M/s. Mercury Travels Ltd., Kolkata

ITA 236/KOL/2016

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 1255 (ITAT-KOLKATA)
• Duration Of Justice: 2 year(s) 1 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-03-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2008-2009
• Appeal Filed On: 17-02-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SAURABH KUMAR
• Assessee Lawyers: A K GUPTA
• Section: 14A

Judgement Text

ITA NO.236/KOL/2016 M/S MERCURY TRAVELS LTD A.Y.200 8-09 1 IN THE INCOME TAX APPELLATE TRIBUNAL, BENCH C KOL KATA [BEFORE HONBLE SHRI J.SUDHAKAR REDDY, AM & SHRI A.T.VARKEY, JM ] ITA NO.236/KOL/2016 ASSESSMENT YEAR : 2008-09 D.C.I.T., CIRCLE-8 (1) -VERSUS- M/S MERCURY TRAVELS LTD. KOLKATA KOLKATA (PAN: AABCM 7139 E) (APPELLANT) (RESPONDENT) FOR THE APPELLANT: SHRI SAURABH KUMAR, ADDL. CI T, SR.DR FOR THE RESPONDENT: SHRI A.K.GUPTA, AR DATE OF HEARING : 14.02.2018. DATE OF PRONOUNCEMENT : 21.03.2018. ORDER PER J.SUDHAKAR REDDY, AM: THIS IS AN APPEAL BY THE REVENUE DIRECTED AGAINST T HE ORDER OF THE COMMISSIONER OF INCOME TAX-(A)-8, KOLKATA RELATING TO A.Y. 2008-09. 2. AFTER HEARING RIVAL CONTENTIONS, WE FIND THAT G ROUND NO.1 IS COVERED IN FAVOUR OF THE ASSESSEE AND AGAINST THE REVENUE BY THE DECI SION OF ITAT, KOLKATA B BENCH IN ASSESSEES OWN CASE FOR A.Y.2006-07 VIDE ITA NO. 1160/KOL/2015 ORDER 26.12.2017. 3. THE LD. CIT(A) AT PARA 4 IN HIS ORDER HAS POINTE D OUT THAT THERE ARE RECURRING ISSUES AND SIMILAR ADDITIONS HAVE BEEN MADE IN THE EARLIER YEAR AND THEN THE LD. CIT(A) HAD DELETED THESE ADDITIONS. THE ITAT HAS SI NCE UPHELD THE ORDER OF THAT LD. CIT(A) FOR A.Y.2006-07. THUS RESPECTFULLY FOLLOWIN G THE DECISION OF THE COORDINATE BENCH ON THIS ISSUE WE DISMISS THIS GROUND OF REVE NUE BY UPHOLDING THE ORDER OF THE LD. CIT(A). 3. GROUND NO.2 IS AGAINST THE DELETION OF DISALLOWA NCE BY THE LD. CIT(A) RELATING TO SECTION 14A R.W.RULE 8D. THE LD. CIT(A) HAD DELE TED THE ADDITIONS BY HOLDING THAT THE AO HAS NOT FOLLOWED THE MANDATORY REQUIREMENT O F THE SECTION. THE SECTION ITA NO.236/KOL/2016 M/S MERCURY TRAVELS LTD A.Y.200 8-09 2 REQUIRES THAT THE A.O. HAS TO RECORD THAT HE IS NOT SATISFIED WITH THE CORRECTNESS OF THE CLAIM OF THE ASSESSEE ON THE ISSUE OF DISALLOWANCE U/S 14A OF THE ACT. HE APPLIED UNDER RULE 8D R.W.S. 14A OF THE ACT WITHOUT RECORDI NG OF SATISFACTION AS MANDATORY REQUIRED AS HELD IN THE JUDGMENT OF THE DECISION O F THE HONBLE DELHI HIGH COURT IN THE CASE OF MAXOPP INVESTMENT LTD. VS CIT 347 ITR 2 72 (DELHI) . WE DO NOT FIND ANY INFIRMITY IN THIS ORDER OF THE LD. CIT(A). IN THE R ESULT WE UPHOLD THE SAME AND DISMISS THIS GROUND OF THE REVENUE. 4. GROUND NO.3 IS GENERAL IN NATURE WHICH DOES NOT REQUIRE ANY ADJUDICATION. 5. IN THE RESULT THE APPEAL OF THE REVENUE IS DISMI SSED. O RDER PRONOUNCED IN THE COURT ON 21.03.2018. SD/- SD/- [A.T.VARKEY] [ J.SUDHAKAR REDDY ] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED : 21.03.2018. [RG SR.PS] COPY OF THE ORDER FORWARDED TO: 1.M/S MERCURY TRAVELS LTD., 4, MANGOE LANE, KOLKATA -700001. 2. D.C.I.T., CIRCLE-8(1), KOLKATA. 3. C.I.T.(A)- 8, KOLKATA 4. C.I.T-3, KOLKATA 5. CIT(DR), KOLKATA BENCHES, KOLKATA. TRUE COPY BY ORDER, SENIOR PRIVATE SECRETARY HEAD OF OFFICE/D.D.O, ITAT KOLKATA BENCHES ITA NO.236/KOL/2016 M/S MERCURY TRAVELS LTD A.Y.200 8-09 3