The DCIT, Circle-3, Ahmedabad V. M/s. Japan International, Ahmedabad

ITA 287/AHD/2014

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 6222 (ITAT-AHMEDABAD)
• Duration Of Justice: 4 year(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-01-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Next Hearing Date: 27-01-2017
• Assessment Year: 2007-2008
• Appeal Filed On: 29-01-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R P MAURYA
• Keywords: Tax effect

Judgement Text

ITA NO.287/AHD/2014 ASSESSMENT YEAR: 2007-08 PAGE 1 OF 2 IN THE INCOME TAX APPELLATE TRIBUNAL, AHMEDABAD SMC BENCH, AHMEDABAD [CORAM: PRAMOD KUMAR AM] ITA NO.287/AHD/2014 ASSESSMENT YEAR: 2007-08 DY. COMMISSIONER OF INCOME TAX, CIRCLE 3, AHMEDABAD. .....................APPELLANT VS. JAPAN INTERNATIONAL, ................. RESPONDENT RANJIT HOSIERY MILL COMPOUND, NEAR BANSIDHAR MILL, NARODA ROAD, AHMEDABAD 380 025. [PAN: AABFJ 3465 H] APPEARANCES BY R.P. MAURYA FOR THE APPELLANT URVASHI SHODHAN FOR THE RESPONDENT DATE OF CONCLUDING THE HEARING : 29.01.2018 DATE OF PRONOUNCING THE ORDER : 29.01.2018 O R D E R 1. BY WAY OF THIS APPEAL, THE ASSESSING OFFICER HAS CHALLENGED CORRECTNESS OF THE ORDER DATED 11.11.2013, PASSED BY THE LEARNED CIT(A )-VI, AHMEDABAD FOR THE ASSESSMENT YEAR 2007-08, ON THE FOLLOWING GROUNDS : - (1) THE CIT(A) HAS ERRED IN LAW AND ON FACTS BY DE LETING THE ADDITION TO THE VALUE OF FRINGE BENEFIT AMOUNTING TO RS.28.69 LACS BY WAY OF ADVERTISEMENT, CAR MAINTENANCE AND TRAVELLING EXPEN SES. (2) THE CIT(A) HAS NOT APPRECIATED THE FACT THAT EX PENDITURE INCURRED ON ADVERTISEMENT, SALES PROMOTION AND SALES COUPON HAS AN ELEMENT OF FRINGE BENEFIT TO EMPLOYEES WHICH IS COVERED BY THE DEEMING PROVISION OF SECTION 115WB(2)(D). ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE A ND IN LAW, THE CIT(A) OUGHT TO HAVE UPHELD THE ORDER OF THE ASSESSING OFFICER TO T HE EXTENT MENTIONED ABOVE SINCE THE ASSESSEE HAS FAILED TO DISCLOSE HIS TRUE INCOME/BOOK PROFIT ITA NO.287/AHD/2014 ASSESSMENT YEAR: 2007-08 PAGE 2 OF 2 2. I HAVE NOTICED THAT THE TAX EFFECT INVOLVED IN T HIS APPEAL IS LESS THAN RS.10,00,000/-. IN VIEW OF THIS UNDISPUTED FACT AN D IN THE LIGHT OF CBDT CIRCULAR NO.21/2015 DATED 10 TH DECEMBER, 2015, I AM OF THE CONSIDERED VIEW THAT T HIS APPEAL IS LIABLE TO BE DISMISSED AS WITHDRAWN FOR THE SIMPLE REASON THAT TAX EFFECT INVOLVED IN THIS APPEAL IS LESS THAN RS.10,00,000/-. 3. IN THE RESULT, APPEAL IS DISMISSED. PRONOUNCED IN THE OPEN COURT ON THIS 29 TH DAY OF JANUARY, 2018. SD/- PRAMOD KUMAR (ACCOUNTANT MEMBER) DATED: AHMEDABAD, THE 29 TH DAY OF JANUARY, 2018. PBN/* COPIES TO: (1) THE APPELLANT (2) THE RESPONDENT (3) CIT (4) CIT(A) (5) DR (6) GUARD FILE BY ORDER ASSISTANT REGISTRAR INCOME TAX APPELLATE TRIBUNAL AHMEDABAD BENCHES, AHMEDABAD