DCIT, Coimbatore V. Roots Multiclean Ltd., Coimbatore

ITA 323/CHNY/2015

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 95874 (ITAT-CHENNAI)
• Duration Of Justice: 6 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-08-2015
• Appeal Filed By: Department
• Bench Allotted: C
• Next Hearing Date: 04-08-2015
• Assessment Year: 2011-2012
• Appeal Filed On: 06-02-2015
• Court: TRIBUNAL
• Department Lawyers: A V SREEKANTH

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH : CHENNAI . . . , ! , ' #$ % [ BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER ] ./ I.T.A.NO.323/MDS/2015 / ASSESSMENT YEAR : 2011-12 THE DY. COMMISSIONER OF INCOME-TAX CORPORATE CIRCLE-1 COIMBATORE VS. M/S ROOTS MULTICLEAN LTD RKG INDUSTRIAL ESTATE GANAPATHY COIMBATORE 641 006 [PAN AABCR 0315 F] ( &' / APPELLANT) ( ()&' /RESPONDENT) / APPELLANT BY : SHRI A.V. SREEKANTH, JCIT /RESPONDENT BY : NONE / DATE OF HEARING : 04-08-2015 / DATE OF PRONOUNCEMENT : 07-08-2015 / O R D E R PER N.R.S.GANESAN, JUDICIAL MEMBER THIS APPEAL OF THE REVENUE IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME-TAX (APPEALS)-1, COIMBA TORE, DATED 25.11.2014 AND PERTAINS TO ASSESSMENT YEAR 2011- 12 2. NOTICE OF HEARING WAS SERVED ON THE ASSESSEE BY R PAD. THE REGISTRY HAS PLACED ON RECORD THE POSTAL ACKNOW LEDGEMENT AS A PROOF OF SERVICE OF NOTICE ON THE ASSESSEE. EVEN THOUGH THE ASSESSEE ITA NO.323/15 :- 2 -: RECEIVED THE NOTICE OF HEARING, NO ONE APPEARED FOR THE ASSESSEE WHEN THE APPEAL WAS TAKEN UP FOR HEARING. THEREFORE , WE HEARD SHRI A.V. SREEKANTH, LD. DEPARTMENTAL REPRESENTATIVE AN D PROCEEDED TO DISPOSE OF THE APPEAL ON MERIT. 3. THE ASSESSING OFFICER DISALLOWED THE CLAIM OF DEPR ECIATION ON THE WINDMILL ON THE GROUND THAT THE REVENUE HAS FILED AN APPEAL BEFORE THE APEX COURT AGAINST THE JUDGMENT OF THE M ADRAS HIGH COURT IN VELAYUDHASWAMY SPINNING MILLS LTD. VS ACIT, 231 CTR 368. THE ASSESSING OFFICER ADMITS IN THE ASSESSMENT ORDER TH AT THE ISSUE BEFORE HIM IS SIMILAR TO ONE THAT WAS DECIDED BY THE MADRA S HIGH COURT. NEVERTHELESS, MERELY BECAUSE A SPECIAL LEAVE PETITI ON WAS PENDING BEFORE THE APEX COURT, HE DISALLOWED THE CLAIM OF T HE ASSESSEE. HOWEVER, ON APPEAL BY THE ASSESSEE, BY FOLLOWING T HE JUDGMENT OF THE MADRAS HIGH COURT IN VELAYUDHASWAMY SPINNING MILLS LTD. (SUPRA), THE CIT(A) ALLOWED THE CLAIM OF THE ASSESSEE. 4. HAVING HEARD THE LD. DR, WE DO NOT FIND ANY INFIRMI TY IN THE ORDER OF THE LOWER AUTHORITY IN FOLLOWING THE BIND ING JUDGMENT OF THE JURISDICTIONAL HIGH COURT. A MERE PENDENCY OF SLP BEFORE THE APEX COURT CANNOT BE A REASON FOR NOT FOLLOWING THE JUDG MENT OF THE JURISDICTIONAL HIGH COURT. IT IS NOT THE CASE OF T HE REVENUE THAT THE OPERATION OF THE JUDGMENT OF THE MADRAS HIGH COURT WAS STAYED BY THE ITA NO.323/15 :- 3 -: APEX COURT. IN THOSE CIRCUMSTANCES, THIS TRIBUNAL DO NOT FIND ANY INFIRMITY IN THE ORDER OF THE LOWER AUTHORITY. ACC ORDINGLY, THE SAME IS CONFIRMED. 5. IN THE RESULT, THE APPEAL OF THE REVENUE STANDS DI SMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 07 TH OF AUGUST, 2015, AT CHENNAI. SD/- SD/- ( ! ) (CHANDRA POOJARI) ' / ACCOUNTANT MEMBER ( . . . ! ) (N.R.S. GANESAN) / JUDICIAL MEMBER '# / CHENNAI $% / DATED: 07 TH AUGUST, 2015 RD %&'' ()'*) / COPY TO: ' 1 . / APPELLANT 4. ' + / CIT 2. / RESPONDENT 5. ),-' . / DR 3. ' +'/! / CIT(A) 6. -0'1 / GF