Appeal Details
Counselvise Citation
[2015] 134 COUNSELVISE.COM (IT) 1360 (ITAT-PANAJI)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
1 month(s) 11 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
14-09-2015
Appeal Filed By
Department
Order Result
Dismissed
Bench Allotted
DB
Assessment Year
2011-2012
Appeal Filed On
03-08-2015
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL PANAJI BENCH, PANAJI BEFORE SHRI N.S. SAINI, HON'BLE ACCOUNTANT MEMBER AND SHRI GEORGE MATHAN, HONBLE JUDICIAL MEMBER ITA NO. 307/PNJ/2015 : (A.Y 2011 - 12) ASST. COMMISSIONER OF INCOME TAX CIRCLE - 2(1), BELAGAVI (APPELLANT) VS. SHRI VILAS CHANDRAKANT DESAI H.NO. 154/2, GEN BEWOOR MARG, CAMP, DIST. BELAGAVI. PAN : ABKPD4695B (RESPONDENT) ITA NO. 308/PNJ/2015 : (A.Y 2011 - 12) ASST. COMMISSIONER OF INCOME TAX CIRCLE - 2(1), BELAGAVI (APPELLANT) VS. SMT. SUBHANGI VILAS DESAI H.NO. 154/2, GEN BEWOOR MARG, CAMP, DIST. BELAGAVI. PAN : ACAPD1421H (RESPONDENT) ASSESSEES BY : OMKAR S. GODBOLE, CA REVENUE BY : K.M. MAHESH, DR DATE OF HEARING : 14/09/2015 DATE OF PRONOUNCEMENT : 14/09/2015 O R D E R PER GEORGE MATHAN : 1. ITA NO. 307/PNJ/2015 IS AN APPEAL FILED BY THE REVENUE IN THE CASE OF SHRI VILAS CHANDRAKANT DESAI AGAINST THE ORDER OF THE LD. CIT(A) IN ITA NO. 542/BGM/2014 - 15 DT. 11.5.2015 FOR THE A.Y 2011 - 12 AND ITA NO. 308 /PNJ/2015 IS AN APPEAL FILED BY THE REVENUE IN THE CASE OF SMT. SUBHANGI 2 ITA NOS. 307 & 308/PNJ/2015 (A.Y : 2011 - 12) VILAS DESAI AGAINST THE ORDER OF THE LD. CIT(A) IN ITA NO. 18/BGM/2014 - 15 DT. 18.5.2015 FOR THE A.Y 2011 - 12. 2. AS BOTH THE APPEALS INVOLVE IDENTICAL ISSUE, THEY ARE BEING DISPOSED OFF BY THIS COMMON ORDER. SHRI OMKAR S. GODBOLE, CA REPRESENTED ON BEHALF OF THE ASSESSEES AND SHRI K.M. MAHESH, LD. DR REPRESENTED ON BEHALF OF THE REVENUE. 3. IT WAS SUBMITTED BY THE LD. DR THAT THE ONLY ISSUE IN THE REVENUES APPEALS WERE AGAINST THE ACTION OF THE LD. CIT(A) IN ALLOWING THE CLAIM OF DEDUCTION U/S 54EC TO THE EXTENT OF RS. 1 CRORE DESPITE THE LIMITATION OF RS. 50 LACS AVAILABLE IN THE SAID PROVISION. IT WAS THE SUBMISSION THAT THE ASSESSEES HAD INVESTED RS. 50 LACS ON 31.3.2011 AND AN OTHER AMOUNT OF RS. 50 LACS ON 30.4.2011 IN REC BONDS ELIGIBLE FOR DEDUCTION U/S 54EC OF THE ACT. IT WAS THE SUBMISSION THAT IN THE COURSE OF THE ASSESSMENT THE AO HAD ALLOWED THE ASSESSEES CLAIM FOR DEDUCTION U/S 54EC ONLY TO THE EXTENT OF RS. 50 LACS D EPOSITED ON 31.3.2011 . IT WAS THE SUBMISSION THAT THE LD. CIT(A) HAD DIRECTED ALLOWANCE OF DEDUCTION OF 54EC EVEN IN RESPECT OF THE INVESTMENTS MADE BY THE ASSESSEES ON 30.4.2011. IT WAS THE SUBMISSION THAT THE ORDER OF THE LD. CIT(A) WAS LIABLE TO BE RE VERSED. 4. IN REPLY, THE LD. AR SUBMITTED THAT THE ISSUE WAS SQUARELY COVERED BY THE DECISION OF THE HON'BLE MADRAS HIGH COURT IN THE CASE OF COROMANDEL INDUSTRIES LTD. REPORTED IN 370 ITR 586 WHEREIN THE HON'BLE MADRAS HIGH COURT HAS CATEGORICALLY HELD T HAT THE AMENDMENT TO THE PROVISIONS OF SEC. 54EC WOULD TAKE EFFECT FROM 1.4.2015 AND BEFORE THE SAID DATE, THE DEDUCTION U/S 54EC WOULD BE AVAILABLE EVEN IF THE ASSESSEE HAS MADE INVESTMENT IN TWO DIFFERENT FINANCIAL YEARS PROVIDED THE SAME IS WITHIN 6 MON THS PERIOD FROM THE DATE OF THE TRANSFER. 3 ITA NOS. 307 & 308/PNJ/2015 (A.Y : 2011 - 12) 5. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. AS IT IS NOTICED THAT THE LD. CIT(A) HAS FOLLOWED THE DECISION OF THE HON'BLE MADRAS HIGH COURT IN THE CASE OF COROMANDEL INDUSTRIES LTD. REFERRED TO SUPRA AND AS T HE REVENUE HAS NOT BEEN ABLE TO POINT OUT ANY DECISION TO THE CONTRARY, WE ARE OF THE VIEW THAT THE FINDING OF THE LD. CIT(A) ON THIS ISSUE IS ON A RIGHT FOOTING AND DOES NOT CALL FOR OUR INTERFERENCE. 6. IN THE RESULT, BOTH THE APPEALS OF THE REVENUE STA ND DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 14/09/2015. S D / - (N.S. SAINI) ACCOUNTANT MEMBER S D / - ( GEORGE MATHAN ) JUDICIAL MEMBER PLACE : PANAJI / GOA DATED : 14/09/ 201 5 *SSL* COPY TO : (1) APPELLANT (2) RESPONDENT S (I) SHRI VILAS CHANDRAKANT DESAI & (II) SMT. SUBHANGI VILAS DESAI (3) CIT(A) CONCERNED (4) CIT CONCERNED (5) D.R (6) GUARD FILE TRUE COPY, BY ORDER , 4 ITA NOS. 307 & 308/PNJ/2015 (A.Y : 2011 - 12) DATE INITIAL ORIGINAL DICTATION PAD & DRAFT ORDER ARE ENCLOSED IN THE FILE 1. DRAFT DICTATED ON 14/09/2015 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 1 5 /09/2015 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER 1 5 /09/2015 JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER 1 5 /09/2015 JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS 1 5 /09/2015 SR.PS 6. DATE OF PRONOUNCEMENT 14/09/2015 SR.PS 7. FILE SENT TO THE BENCH CLERK 1 5 /09/2015 SR.PS 8. DATE ON WHICH FILE GOES TO THE HEAD CLERK 9. DATE OF DISPATCH OF ORDER
Mehul