The DCIT, Gandhinagar Circle, Gandhinagar V. Sardar Sarovar Narmada Nigam Ltd., Gandhinagar

ITA 265/AHD/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 8558 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 7 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-09-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 19-06-2017
• Assessment Year: 2011-2012
• Appeal Filed On: 04-02-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Revenue expenditure; Capital expenditure

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD C BENCH (BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER & SHRI MAHAVIR PRASAD, JUDICIAL MEMBER) ITA. NO: 265/AHD/2015 (ASSESSMENT YEAR: 2011-12) DEPUTY COMMISSIONER OF INCOME-TAX, GANDHINAGAR CIRCLE, GANDHINAGAR V/S SARDAR SAROVAR NARMADA NIGAM LTD. 7 TH FLOOR, BLOCK NO. 12, NEW SACHIVALAYA COMPLEX, GANDHINAGAR- 382010 (APPELLANT) (RESPONDENT) PAN: AACCS6704L APPELLANT BY : SHRI PRASOON KABRA, SR. D. R. RESPONDENT BY : SMT. ARTI N. SHAH ( )/ ORDER DATE OF HEARING : 11 -09-201 7 DATE OF PRONOUNCEMENT : 15 -09-2017 PER N.K. BILLAIYA, ACCOUNTANT MEMBER: 1. THIS APPEAL BY THE REVENUE IS PREFERRED AGAINST THE ORDER OF THE LD. CIT(A)- GANDHINAGAR, AHMEDABAD DATED 27.11.2014 PERTAINING TO A.Y. 2011-12. ITA NO. 265/ AHD/2015 . A.Y. 2010-1 1 2 2. THE GRIEVANCE OF THE REVENUE IS TWO-FOLD. FIRSTLY, THE REVENUE IS AGGRIEVED BY THE DELETION OF THE ADDITION MADE ON ACCOUNT OF DEP RECIATION AS THE MAIN CANAL WAS NOT PUT TO USE AND SECONDLY, THE REVENUE IS AGG RIEVED BY THE DELETION OF THE ADDITION MADE ON ACCOUNT OF COMMON EXPENDITURE AS T HESE WERE NOT REVENUE EXPENDITURE AND WERE TOWARDS CAPITAL EXPENDITURE. 3. AT THE VERY OUTSET, THE LD. COUNSEL FOR THE ASSESSE E STATED THAT BOTH THE ISSUES RAISED BY THE REVENUE HAVE BEEN DECIDED AGAINST THE REVENUE AND IN FAVOUR OF THE ASSESSEE IN EARLIER ASSESSMENT YEARS. 4. THE LD. D.R. FAIRLY CONCEDED TO THIS. 5. WE HAVE CAREFULLY CONSIDERED THE ORDER OF THE LD. C IT(A). WE FIND FORCE IN THE CONTENTION OF THE LD. COUNSEL. THE HONBLE HIGH COU RT OF GUJARAT IN ASSESSEES OWN CASE IN TAX APPEAL NO. 449 OF 2004 WITH 477 OF 2004 WITH 479 OF 2004 TO 488 OF 2004 HAD THE OCCASION TO CONSIDER SIMILAR IS SUES AND HAS DECIDED THE ISSUES IN FAVOUR OF THE ASSESSEE AND AGAINST THE RE VENUE. THIS HAS BEEN FOLLOWED BY THE CO-ORDINATE BENCH IN ITA NO. 717 AND 911/AHD /2014. 6. THE ISSUE RELATING TO THE COMMON EXPENDITURE HAS BE EN CONSIDERED BY THE CO- ORDINATE BENCH IN ITA NOS. 420 AND C.O. NO. 80/AHD/ 2012 AND DECIDED IN FAVOUR OF THE ASSESSEE AND AGAINST THE REVENUE. 7. AS THE ISSUE STAND COVERED IN FAVOUR OF THE ASSESSE E BY THE ORDER OF THE HONBLE JURISDICTIONAL HIGH COURT (SUPRA) AND THE C O-ORDINATE BENCHES (SUPRA), WE DO NOT FIND ANY REASON TO INTERFERE WITH THE FIN DINGS OF THE LD. CIT(A). ITA NO. 265/ AHD/2015 . A.Y. 2010-1 1 3 8. APPEAL FILED BY THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON 15 - 09- 20 17 SD/- SD/- (MAHAVIR PRASAD) (N. K. BILLAIYA) JUDICIAL MEMBER TRUE COPY ACCOUNTANT MEMBER AHMEDABAD: DATED 15 /09/2017 RAJESH COPY OF THE ORDER FORWARDED TO: - 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT (APPEALS) 4. THE CIT CONCERNED. 5. THE DR., ITAT, AHMEDABAD. 6. GUARD FILE. BY ORDER DEPUTY/ASSTT.REGISTRAR ITAT,AHME DABAD