ASST CIT (TDS) 2(2), MUMBAI V. PIRAMAL LIFE SCIENCES LTD, MUMBAI

ITA 2449/MUM/2014

• Counselvise Citation: [2016] 121 COUNSELVISE.COM (IT) 3255 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 9 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-01-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2009-2010
• Appeal Filed On: 10-04-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRAKESH OJHA
• Assessee Lawyers: RONAK G DOSHI
• Keywords: Tax effect
• Section: 201(1)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL ' C ' BENCH, MUMBAI BEFORE SHRI JASON P. BOAZ, ACCOUNTANT MEMBER AND SHRI SANDEEP GOSAIN , JUDICIAL MEMBER ITA NO. 2449 /MUM/201 4 (ASSESSMENT YEAR: 2009 - 10 ) ACIT (TDS) - 2(2) VS. M/S. PIRAMAL LIFE SCIENCES LTD. ROOM NO. 703, 7 TH FLOOR SMT. K.G. MITTAL AYURVDEDI HOSPITAL BLDG., CHARNI ROAD MUMBAI 400002 1, NIRLON COMPLEX, OFF WESTERN EXPRESS HIGHWAY, GOREGAON (E) MUMBAI 400063 PAN - AABCN8532E APPELLANT RESPONDENT APPELLANT BY: SHRI PRAKESH OJHA RESPONDENT BY: SHRI RONAK G. DOSHI DATE OF HEARING: 18 .01 .2016 DATE OF PRONOUNCEMENT: 18 .01 .2016 O R D E R PER JASON P. BOAZ, A.M . THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER DATED 27.01.2014 PASSED BY THE CIT(A) - 13 , MUM BAI IN RESPECT OF ORDER UNDER SECTION 201 R.W.S 40(A)(IA) OF THE ACT FOR A.Y. 2009 - 10 , ON THE FOLLOWING GROUNDS: - (I) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) HAS ERRED IN DELETING THE AMOUNT OF NON/SHORT DEDUCTION DETERMINED U/S 201(1) R.W.S 40(A0(IA) AND CONSEQUENTIAL INTEREST U/S 201(1A) BY HOLDING THAT NO TAXES REQUIRED TO BE DEDUCTED ON EXPENDITURE DISALLOWED WITHOUT APPRECIATING THAT THE AO HAS DETERMINED THE SHORT/NON DEDUCTION BY DISCUSS ING AT LENGTH VARIOUS ISSUES IN THE ORDER U/S 201( 1) R.W.S. 40(A)(IA). (II ) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) HAS ERRED IN DELETING THE INTEREST DEMAND WITHOUT PROPERLY APPRECIATING THE FACTUAL & LEGAL MATRIX OF THE CASE AS CLEARLY BROUGHT OUT BY THE A.O. IN ORD ER U/S. 201(1) R.W.S. 40(A)(IA) OF THE I.T. ACT, 1961. 2. AT THE OUTSET, IT IS NOTICED THAT, THE DISPUTED ISSUE OF DISALLOWANCE UNDER SECTION 40(A)(IA) R.W.S. 201(1) OF THE ACT IS ONLY FOR ` 6,05,170/ - AND THE ITA NO. 22449/MUM/2014 M/S. PIRAMAL LIFE SCIENCES LTD. 2 TAX EFFECT ON THIS AMOUNT IS BELOW THE MONETARY LIMIT OF ` 10 LAKHS. AS PER THE LATEST CBDT CIRCULAR NO. 21 OF 2015, DATED 10 TH DECEMBER, 2015, NEW GUIDELINES OF MONETARY LIMIT FOR FILING OF APPEALS BY THE DEPARTMENT HAS BEEN ISSUED, WHEREBY THE TAX EFFECT FOR FILING OF APPEAL BEFORE THE ITAT HAS BEEN PRESCRIBED AT ` 10 LAKHS. IN THE SAID CIRCULAR, IT HAS BEEN SPECIALLY CLARIFIED THAT THE SAID INSTRUCTION WILL APPLY RETROSPECTIVELY TO ALL THE PENDING APPEALS. ACCORDINGLY, THE APPEAL FILED BY THE REVENUE IS NO T MAINTAINABLE AND IS DISMISSED IN LIMINE. ORDER PRONOUNCED IN THE OPEN COURT ON 18 TH JANUARY, 2016 . SD/ - SD/ - ( SANDEEP GOSAIN ) ( JASON P. BOAZ ) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI, DATED: 18 TH JANUARY, 2016 COPY TO: 1 . THE APPELLANT 2 . THE RESPONDENT 3 . THE CIT(A) 13 , MUMBAI 4 . THE CIT (TDS) , MUMBAI 5 . THE DR, C BENCH, ITAT, MUMBAI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT, MUMBAI BENCHES, MUMBAI N.P.