Deputy Commissioner of Income Tax Circle-7(1)(1), Bangalore V. M/s Central Distilleries and Breweries Limited, Bangalore

ITA 320/BANG/2018

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 2185 (ITAT-BANGALORE)
• Duration Of Justice: 9 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-11-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2004-2005
• Appeal Filed On: 02-02-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SWAPNA DAS
• Assessee Lawyers: VAIDEHI G
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : BANGALORE BEFORE SHRI ARUN KUMAR GARODIA, ACCOUNTANT MEMBER A ND SHRI LALIET KUMAR, JUDICIAL MEMBER ITA NO. 320 /BANG/201 8 ASSESSMENT YEAR : 20 04 - 05 THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 7 (1) (1), BANGALORE. VS. M/S. CENTRAL DISTILLERIES AND BREWERIES LTD. (NOW MERGED WITH M/S. UNITED SPIRITS LTD.), UB TOWERS, # 24, VITTAL MALLYA ROAD, BANGALORE 560 001. PAN: AACCM8043J APPELLANT RESPONDENT APPELLANT BY : SMT. SWAPNA DAS, ADDL. CIT (DR) RESPONDENT BY : SMT. VAIDEHI .G, CA DATE OF HEARING : 12 . 11 .2018 DATE OF PRONOUNCEMENT : 16 . 11 .2018 O R D E R PER SHRI A.K. GARODIA, ACCOUNTANT MEMBER THIS APPEAL IS FILED BY THE REVENUE AND THE SAME IS DIRECTED AGAINST THE ORDER OF LD. CIT (A), MYSORE DATED 30.09.2016 FOR A SSESSMENT YEAR 2004- 05. 2. THE GROUNDS RAISED BY THE REVENUE ARE AS UNDER. 1. THE ORDER OF THE LEARNED CIT(A) IS OPPOSED TO LA W AND FACTS OF THE CASE. 2. 'WHETHER ON THE FACTS AND IN THE CIRCUMSTANCES O F THE CASE, THE CIT(A) WAS JUSTIFIED IN LAW IN NOT CONSIDERING THAT THE RE- ASSESSMENT ORDER WAS PASSED IN THE NAME OF M/S. CEN TRAL DISTILLERIES & BREWERIES LTD., (NOW AMALGAMATED WIT H M/S. UNITED SPIRITS LTD.,)'? 3. 'THE CIT(A) ERRED IN NOT CONSIDERING THAT THERE WAS NO PROCEDURAL DEFECT IN THE ORDER SINCE THE NAME OF TH E AMALGAMATED ENTITY HAS ALSO BEEN MENTIONED IN THE NOTICE AND AL SO IN THE RE- ASSESSMENT ORDER'. 4. 'THE CIT(A) ERRED IN LAW IN NOT CONSIDERING THAT THE ASSESSEE HAD ITSELF MENTIONED THE NAME OF THE COMPANY AS M/S . CENTRAL DISTILLERIES & BREWERIES LTD,(SINCE AMALGAMATED WIT H MAHARASHTRA DISTILLERIES LTD.,.NOW RENAMED AS UN ITED SPIRITS LTD.,), VIDE ITS LETTER DATED 15.12.2011, F ILED BEFORE THE ITA NO. 320/BANG/2018 PAGE 2 OF 2 ASSESSING OFFICER'? 5. FOR THESE AND OTHER GROUNDS THAT MAY BE URGED AT THE TIME OF HEARING, IT IS PRAYED THAT THE ORDER OF THE CIT(A) IN SO FAR AS IT RELATES TO THE ABOVE GROUNDS MAY BE REVERSED AND TH AT OF THE ASSESSING OFFICER MAY BE RESTORED. 6. THE APPELLANT CRAVES LEAVE TO ADD, ALTER, AMEND AND/OR DELETE ANY OF THE GROUNDS MENTIONED ABOVE. 3. AT THE VERY OUTSET, THE LD. AR OF ASSESSEE SUBMI TTED A WORKING OF TAX EFFECT IN THE PRESENT CASE AS PER WHICH THE TAX EFFECT IS ONLY RS. 16.17 LAKHS I.E. THE TAX EFFECT IS BELOW RS. 20 LACS AND THEREFORE, AS PER THE RECENT CBDT INSTRUCTIONS AS PER CIRCULAR NO. 3/2018 DATED 11.07 .2018, THIS APPEAL OF THE REVENUE IS NOT MAINTAINABLE. LEARNED DR OF THE REV ENUE HAD NOTHING TO SAY. 4. WE HAVE CONSIDERED THE SUBMISSIONS OF THE LEARNE D AR OF THE ASSESSEE AND WE ALSO FIND THAT IN THIS APPEAL, THE TAX EFFEC T IS BELOW RS. 20 LACS AND THEREFORE, AS PER THE RECENT CBDT INSTRUCTIONS AS P ER CIRCULAR NO. 3/2018 DATED 11.07.2018, THIS APPEAL OF THE REVENUE IS NOT MAINTAINABLE. ACCORDINGLY, THIS APPEAL OF THE REVENUE IS DISMISSE D BECAUSE OF LOW TAX EFFECT. 5. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THE DATE MENT IONED ON THE CAPTION PAGE. SD/- SD/- (LALIET KUMAR) (ARUN KUMAR GARODIA) JUDICIAL MEMBER ACCOUNTANT MEMBER BANGALORE, DATED, THE 16 TH NOVEMBER, 2018. /MS/ COPY TO: 1. APPELLANT 4. CIT(A) 2. RESPONDENT 5. DR, ITAT, BANGALORE 3. CIT 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, BANGALORE.