DCIT 1(3), MUMBAI V. TULSI GLOBAL LOGISTICS P.LTD, MUMBAI

ITA 3495/MUM/2013

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 7974 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 3 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-08-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2008-2009
• Appeal Filed On: 03-05-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: HITESH A TRIVEDI

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL E B ENCH, MUMBAI , ! '# $ $ $ $ , % && , , '# ' BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER AND SHRI SANJAY GARG, JUICIAL MEMBER ./ I.T.A. NO. 3495/MUM/2013 ( ( ( ( ( / ASSESSMENT YEAR :2008-09 THE DCIT-1(3), AAYAKAR BHAVAN, MUMBAI-400 020 / VS. M/S. TULSI GLOBAL LOGISTICS PVT. LTD., C/O G&P LTD., ORIENTAL HOUSE, 7-J, TATA ROAD, CHURCHGATE MUMBAI-400 020 #) ! ./ %* ./ PAN/GIR NO. : AABCN 0633L ( )+ / APPELLANT ) .. ( ,-)+ / RESPONDENT ) )+ . / APPELLANT BY: SHRI KISHORE DHULE ,-)+ / . / RESPONDENT BY: SHRI HITESH A TRIVEDI / 01! / DATE OF HEARING :11.08.2014 23( / 01! / DATE OF PRONOUNCEMENT :13.08.2014 '4 / O R D E R PER N.K. BILLAIYA, AM: THIS APPEAL BY THE REVENUE IS PREFERRED AGAINST T HE ORDER OF THE LD. CIT(A)-2, MUMBAI DT. 25.2.2013 PERTAINING TO A. Y. 2008-09. ITA NO. 3495/M/13 2 2. THE SOLE GRIEVANCE OF THE REVENUE IS THAT THE LD . CIT(A) ERRED IN DELETING THE DISALLOWANCE OF INSURANCE CHARGES OF R S. 16,67,744/- MADE BY THE AO. IT IS THE SAY OF THE REVENUE THAT A SIM ILAR DISALLOWANCE IN A.Y. 2007-08 WAS UPHELD BY THE LD. CIT(A). 3. AT THE OUTSET, THE LD. COUNSEL FOR THE ASSESSEE STATED THAT IN A.Y. 2007-08, THE TRIBUNAL HAS SET ASIDE THE FINDINGS OF THE LD. CIT(A) AND ALLOWED THE CLAIM OF DEDUCTION OF INSURANCE PREMIUM . 4. WE HAVE CAREFULLY PERUSED THE ORDERS OF THE AUTH ORITIES BELOW. THE LD. CIT(A) HAS CONSIDERED THIS ISSUE AT PARA-5 ON P AGE-6 OF HIS ORDER WHEREIN HE HAS GIVEN A SPECIFIC FINDING THAT INSURA NCE CHARGES COLLECTED BY THE ASSESSEE AMOUNTING TO RS. 20,85,597/- IS FOR MING PART OF WAREHOUSING INCOME IN THE P&L ACCOUNT AND THE INSU RANCE CHARGES PAID BY THE ASSESSEE AMOUNTING TO RS. 16,67,744/- HAVE B EEN CHARGED TO THE P&L ACCOUNT. ON THESE FACTS, THE LD. CIT(A) DIRECT ED THE AO TO DELETE THE ADDITION OF RS. 16,67,414/-. 5. AGGRIEVED BY THIS, THE REVENUE IS BEFORE US. 6. WE FIND THAT AN IDENTICAL ISSUE CAME UP FOR HEAR ING BEFORE THE TRIBUNAL IN ASSESSEES OWN CASE FOR A.Y. 2007-08 IN ITA NO. 8761/M/11. THE TRIBUNAL HAS DECIDED THIS ISSUE IN FAVOUR OF T HE ASSESSEE AT PARA-4 ON PAGE-3 OF ITS ORDER. FURTHER, THE CASE IN HAND CLE ARLY SHOWS THAT THE ASSESSEE IS RECOVERING INSURANCE CHARGES AND SHOWIN G IT AS INCOME UNDER THE HEAD WAREHOUSE INCOME. THE INSURANCE CHARGES PAID BY THE ASSESSEE ARE MUCH LESS THAN THE INCOME SHOWN BY THE ASSESSEE FROM THE RECOVERY OF INSURANCE CHARGES. WE, THEREFORE, DO NO T FIND ANY REASON TO INTERFERE WITH THE FINDINGS OF THE LD. CIT(A). ITA NO. 3495/M/13 3 7. IN THE RESULT, THE APPEAL FILED BY THE REVENUE I S DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 13 TH AUGUST, 2014 SD/- SD/- (SANJAY GARG ) (N.K. BILLAIYA) '# / JUDICIAL MEMBER ! '# / ACCOUNTANT MEMBER MUMBAI; 5' DATED : 13 TH AUGUST, 2014 . . ./ RJ , SR. PS '4 '4 '4 '4 / // / ,0 ,0 ,0 ,0 6(0 6(0 6(0 6(0 / COPY OF THE ORDER FORWARDED TO : 1. )+ / THE APPELLANT 2. ,-)+ / THE RESPONDENT. 3. 7 ( ) / THE CIT(A)- 4. 7 / CIT 5. 8& ,0 , , / DR, ITAT, MUMBAI 6. &9 : / GUARD FILE. '4 '4 '4 '4 / BY ORDER, -0 ,0 //TRUE COPY// ; ;; ; / < < < < % % % % (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI