TOPAZ HOLDINGS P. LTD, MUMBAI V. DCIT CC 31, MUMBAI

ITA 3432/MUM/2011

• Counselvise Citation: 343219914 RSA 2011
• Duration Of Justice: 2 year(s) 3 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-08-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 14-08-2013
• Assessment Year: 2004-2005
• Appeal Filed On: 29-04-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR P DANNEL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH E, MUMBAI BEFORE SHRI P.M. JAGTAP, ACCOUNTANT MEMBER AND DR. S.T.M. PAVALAN, JUDICIAL MEMBER ITA NO. 3432/MUM/2011 ASSESSMENT YEAR: 2004-05 M/S. TOPAZ HOLDINGS P. LTD. 32, MADHULI, 3 RD FLOOR DR. ANNIE BESANT ROAD, NEHRU CENTRE, WORLI, MUMBAI-400018 PAN AAACT 5152 F VS. DCIT CC 31 MUMBAI (APPELLANT) (RESPONDENT) & ITA NO. 3433/MUM/2011 ASSESSMENT YEAR: 2005-06 M/S. TOPAZ HOLDINGS P. LTD. 32, MADHULI, 3 RD FLOOR DR. ANNIE BESANT ROAD, NEHRU CENTRE, WORLI, MUMBAI-400018 PAN:AAACT 5152 F VS. DCIT CC 31 MUMBAI (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI DHARMESH SHAH REVENUE BY : DR. P. DANNEL DATE OF HEARING : 14.08.2013 DATE OF PRONOUNCEMENT : 23.08.2013 O R D E R PER DR. S.T.M. PAVALAN, JM: THESE TWO APPEALS FILED BY THE ASSESSEE ARE DIRECT ED AGAINST THE ORDER OF THE LD.CIT(A)-IV, MUMBAI DATED 13.10.2008 & 01.10.2008 RESPECTIVELY FOR THE ASSESSMENT YEARS 2004-05 & 2005-06. BOTH THE APPEAL S ARE DISPOSED OFF BY THIS COMMON ORDER. ITA NOS. 3432/MUM/2011 & 3433/MUM/2011 M/S. TOPAZ HOLDINGS P. LTD. ASSESSMENT YEARS: 2005-06 &2004-05 2 2. GROUNDS NO. 1, 2 & 3 IN BOTH THE APPEALS ARE NOT PRESSED AND HENCE THE SAME DO NOT REQUIRE ADJUDICATION. 3. GROUND NO. 3 IN BOTH THE APPEALS RELATE TO THE A CTION OF THE LD.CIT(A) IN CONFIRMING THE LIABILITIES AMOUNTING TO RS. 2,05,11 2/- AND RS. 2,05,799/- RESPECTIVELY FOR THE AYS 2004-05 & 2005-06 TOWARDS INTEREST EXPE NDITURE CLAIMED BY THE ASSESSEE. IT IS PERTINENT TO MENTION THAT THE ITAT IN THE CASE OF HITESH MEHTA IN ITA NOS 7726 & 7727/MUM/2010 WHILE DECIDING A SIMILAR ISSUE HAS HELD AS FOLLOWS: GROUND NO. 4 RELATES TO THE ACTION OF THE LD.CIT(A) IN CONFIRMING THE LIABILITIES AMOUNTING TO RS.11,24,99,052/- AND RS.1 2,61,36,245/- RESPECTIVELY FOR THE A.YS 2005-06 AND 2006-07 TOWARDS INTEREST EXPENDITURE CLAIMED BY THE ASSESSEE. IT IS PERTINENT TO NOTE THAT THE FIND INGS GIVEN IN PARA 3.3 ABOVE IN RESPECT OF REJECTION/RELIABILITY OF THE BOOKS OF ACCOUNTS AND THE PROPOSED ADJUDICATION OF THE LD.CIT(A) IN VIEW OF THE SAID D IRECTION MAY HAVE DIRECT IMPACT ON THE ISSUE OF THE IMPUGNED LIABILITY, WE S ET ASIDE THIS ISSUE ALSO TO THE FILES OF THE LD.CIT(A) TO ADJUDICATE AFRESH ALO NG WITH THE ADJUDICATION OF THE RESPECTIVE GROUND PERTAINING TO THE REJECTION/R ELIABILITY OF THE BOOKS OF ACCOUNTS. IN VIEW OF THE FACT THAT THE PRESENT ASSESSEE IS AL SO LINKED TO THE GROUP ASSESSEE CONNECTED WITH THE SIMILAR SET OF FACTS AND ISSUES AS THAT OF THE PRESENT ASSESSEE IN THE SAID ORDER OF THE ITAT, WE, BY FOLLOWING THE FI NDINGS OF THE TRIBUNAL IN THE AFOREMENTIONED CASE, SET ASIDE THE ISSUES TO THE FI LE OF THE LD.CIT(A) TO ADJUDICATE AFRESH IN THE LINE OF SIMILAR DIRECTION GIVEN BY TH E ITAT IN ITA NOS. 7726 & 7727. ACCORDINGLY, GROUND NOS. 3 IN BOTH THE APPEALS ARE ALLOWED FOR STATISTICAL PURPOSE. 4. IN THE RESULT, THE APPEALS FILED BY THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 23 RD DAY OF AUGUST, 2013. SD/- SD/- (P.M. JAGTAP) (DR. S.T.M. PAVALAN) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATED: 23.08.2013. *SRIVASTAVA ITA NOS. 3432/MUM/2011 & 3433/MUM/2011 M/S. TOPAZ HOLDINGS P. LTD. ASSESSMENT YEARS: 2005-06 &2004-05 3 COPY TO: THE APPELLANT THE RESPONDENT THE CIT, CONCERNED, MUMBAI THE CIT (A) CONCERNED, MUMBAI THE DR E BENCH //TRUE COPY// [ BY ORDER DY/ASSTT. REGISTRAR, ITAT, MUMBAI.