Dinkar Maheshwar, Kolkata V. A.C.I.T.,Circle-30, Kolkata

ITA 291/KOL/2020

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 5430 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 2 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-05-2021
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 12-05-2021
• Assessment Year: 2013-2014
• Appeal Filed On: 06-03-2020
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: JAYANTA KHANRA
• Assessee Lawyers: DINKAR MAHESHWARI
• Keywords: Earning of tax free income; Rule 8D
• Section: 143(3); 14A; 2

Judgement Text

ITA NO. 291/KOL/2020 A.Y. 20 13-2014 DINKAR MAHESHWARI 1 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA A(SMC) BENCH, KOLKATA [VIRTUAL COURT HEARING] BEFORE SHRI P.M. JAGTAP, VICE-PRESIDENT I.T.A. NO. 291/KOL/2020 ASSESSMENT YEAR: 2013-2014 DINKAR MAHESHWARI,................................. .................................APPELLANT TIVOLI COURT, 1A, BALLYGUNGE CIRCULAR ROAD, KOLKATA-700019 [PAN:AEZPM1510L] -VS.- ASSISTANT COMMISSIONER OF INCOME TAX,.............. ....................RESPONDENT CIRCLE-30, KOLKATA, AAYAKAR BHAWAN DAKSHIN, 2. GARIAHAT ROAD, KOLKATA-700068 APPEARANCES BY: SHRI DINKAR MAHESHWARI, A.R., APPEARED ON BEHALF OF THE ASSESSEE SHRI JAYANTA KHANRA, JCIT , APPEARED ON BEHALF OF THE REVENUE DATE OF CONCLUDING THE HEARING : MAY 12, 2021 DATE OF PRONOUNCING THE ORDER : MAY 12, 2021 O R D E R THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAI NST THE ORDER OF THE LD. COMMISSIONER OF INCOME TAX (APPEALS)-8, KOLKATA DATED 02.12.2019 AND THE SOLITARY ISSUE INVOLVED THEREIN RELATES TO THE DISALLOWANCE OF RS.2,62,708/- MADE BY THE ASSESSING OFFICER AND CON FIRMED BY THE LD. CIT(APPEALS) UNDER SECTION 14A OF THE INCOME TAX AC T, 1961 READ WITH RULE 8D OF THE INCOME TAX RULES, 1962. 2. THE ASSESSEE IN THE PRESENT CASE IS AN INDIVIDUA L, WHO FILED HIS RETURN OF INCOME FOR THE YEAR UNDER CONSIDERATION O N 28.09.2013 DECLARING TOTAL INCOME OF RS.15,92,020/-, WHICH CON STITUTED HIS SALARY. IN THE SAID RETURN, DIVIDEND INCOME RECEIVED DURING TH E YEAR ON SHARES WAS CLAIMED TO BE EXEMPT BY THE ASSESSEE. HOWEVER, NO D ISALLOWANCE UNDER ITA NO. 291/KOL/2020 A.Y. 20 13-2014 DINKAR MAHESHWARI 2 SECTION 14A ON ACCOUNT OF EXPENSES INCURRED IN RELA TION TO THE SAID EXEMPT INCOME WAS OFFERED BY THE ASSESSEE. THE ASSE SSING OFFICER, THEREFORE, INVOKED RULE 8D AND WORKED OUT SUCH EXPE NDITURE INCURRED BY THE ASSESSEE IN RELATION TO THE EXEMPT INCOME AT RS .2,62,708/-. ACCORDINGLY DISALLOWANCE OF RS.2,62,708/- WAS MADE BY HIM UNDER SECTION 14A READ WITH RULE 8D IN THE ASSESSMENT COM PLETED UNDER SECTION 143(3) OF THE ACT VIDE AN ORDER DATED 22.03.2016. O N APPEAL, THE LD. CIT(APPEALS) CONFIRMED THE DISALLOWANCE MADE BY THE ASSESSING OFFICER. AGGRIEVED BY THE ORDER OF THE LD. CIT(APPEALS), THE ASSESSEE HAS PREFERRED THIS APPEAL BEFORE THE TRIBUNAL. 3. I HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AND ALSO PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. IT IS OBSERV ED THAT THE INCOME OF THE ASSESSEE FOR THE YEAR UNDER CONSIDERATION WAS A SSESSED BY THE ASSESSING OFFICER VIDE AN ORDER PASSED UNDER SECTIO N 143(3) AT THE SAME FIGURE OF RS,15,92,020/- AS DECLARED BY THE ASSESSE E IN HIS RETURN OF INCOME AND THE DISALLOWANCE OF RS.2,62,708/- MADE U NDER SECTION 14A READ WITH RULE 8D WAS ADJUSTED BY HIM AGAINST THE L OSSES OF RS.50,41,633/- BROUGHT FORWARD FROM THE EARLIER YEA RS. THERE WAS THUS NO REVENUE IMPLICATION OF THE DISALLOWANCE MADE UNDER SECTION 14A READ WITH RULE 8D SO FAR AS THE YEAR UNDER CONSIDERATION IS CONCERNED AND WHEN THIS POSITION IS POINTED OUT TO THE ASSESSEE, WHO HAS ATTENDED THE HEARING PERSONALLY, HE HAS SUBMITTED THAT HE IS NOT INTERESTED TO PROSECUTE THIS APPEAL, WHICH MAY BE DISMISSED AS WI THDRAWN. THE LD. D.R. HAS ALSO NOT RAISED ANY OBJECTION IN THIS REGARD. T HE REQUEST OF THE ASSESSEE IS ACCEDED TO AND THIS APPEAL OF THE ASSES SEE IS DISMISSED AS WITHDRAWN. 4. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS DIS MISSED. ORDER PRONOUNCED IN THE OPEN COURT ON MAY 12, 2021. SD/- (P.M. JAGTAP) VICE-PRESIDENT KOLKATA, THE 12 TH DAY OF MAY, 2021 ITA NO. 291/KOL/2020 A.Y. 20 13-2014 DINKAR MAHESHWARI 3 COPIES TO : (1) SHRI DINKAR MAHESHWARI, TIVOLI COURT, 1A, BALLYGUNGE CIRCULAR ROAD, KOLKATA-700019 (2) ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-30, KOLKATA, AAYAKAR BHAWAN DAKSHIN, 2. GARIAHAT ROAD, KOLKATA-700068 (3) COMMISSIONER OF INCOME TAX (APPEALS)-8, KOLKA TA, (4) COMMISSIONER OF INCOME TAX , (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.