THE ACIT, CIRCLE-1(1), Vijayawada V. M/s Navata Road Transport, Vijayawada

ITA 372/VIZ/2012

• Counselvise Citation: [2015] 134 COUNSELVISE.COM (IT) 0230 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 3 year(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-10-2015
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2008-2009
• Appeal Filed On: 11-10-2012
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: D KOMALI KRISHNA

Judgement Text

ITA NO.372/VIZAG/2012 NAVATA ROAD TRANSPORT, VIJAYAWADA 1 , , IN THE INCOME TAX APPELLATE TRIBUNAL, VISAKHAPATNAM BENCH, VISAKHAPATNAM . . . . , ,, , . . . . , , , , % % % % BEFORE SHRI V. DURGA RAO, JUDICIAL MEMBER & SHRI G. MANJUNATHA, ACCOUNTANT MEMBER . .. ./ // / I.T.A.NO.372/VIZAG/2012 ( / ASSESSMENT YEAR : 2008-09 ) ACIT CIRCLE-1(1) VIJAYAWADA VS. NAVATA ROAD TRANSPORT VIJAYAWADA [ PAN: AABFN 7755J] (, , , , / APPELLANT) (-., -., -., -., / RESPONDENT ) , / / APPELLANT BY : SHRI C. SUBRAHMANYAM, AR -., / / RESPONDENT BY : SMT. D. KOMALI KRISHNA, DR / 3 / DATE OF HEARING : 19.10.2015 / 3 / DATE OF PRONOUNCEMENT : 29.10.2015 / O R D E R PER V. DURGA RAO, JUDICIAL MEMBER: THIS APPEAL IS PREFERRED BY THE ASSESSEE AGAINST TH E ORDER OF THE CIT(A), VIJAYAWADA DATED 24.5.2012 FOR THE ASSESSME NT YEAR 2008-09. 2. THE ONLY ISSUE INVOLVED IN THIS APPEAL IS RELATI NG TO THE FINANCE CHARGES PAID FOR RS.41,97,805/- IN THE ASSESSMENT Y EAR. THE ASSESSING ITA NO.372/VIZAG/2012 NAVATA ROAD TRANSPORT, VIJAYAWADA 2 OFFICER HAS OBSERVED THAT THE ASSESSEE HAS PAID THE FINANCE CHARGES OF RS.41,97,805/- WITHOUT DEDUCTING THE TDS AND THE AS SESSING OFFICER HAS INVOKED THE SECTION 40A(IA) OF THE INCOME-TAX ACT, 1961 AND DISALLOWED THE ENTIRE PAYMENT. ON APPEAL, THE LD. CIT(A) BY F OLLOWING THE DECISION OF THE JURISDICTIONAL SPECIAL BENCH OF INCOME TAX A PPELLATE TRIBUNAL, VISAKHAPATNAM IN THE CASE OF M/S. MERILYN SHIPPING & TRANSPORTS VS. ACIT DATED 9.4.2012 ALLOWED THE APPEAL OF THE ASSES SEE. FURTHER, AGAINST THE DECISION OF THE HONBLE ALLAHABAD HIGH COURT IN THE CASE OF CIT V. VECTOR SHIPPING SERVICES P. LTD. 357 ITR 642 (ALL), WHEREIN, THE DECISION IN THE CASE OF MYERLIN SHIPPING AND TRANSP ORTS V. ADDL.CIT (SUPRA) HAS BEEN CONSIDERED AND DECIDED THE ISSUE I N FAVOUR OF THE ASSESSEE, THE DEPARTMENT HAS PREFERRED SLP BEFORE T HE HONBLE SUPREME COURT AND THE HONBLE SUPREME COURT HAS DIS MISSED THE SLP IN CC NO. 8068/2014 VIDE ORDER DATED 02.07.2014. IN VI EW OF THE DISMISSAL OF THE SLP FILED BY THE DEPARTMENT, THE ORDER PASSE D BY THE HONBLE ALLAHABAD HIGH COURT HAS BECOME FINAL. THEREFORE, I T CAN BE SAFELY CONCLUDED THAT THE ISSUE IS DECIDED IN FAVOUR OF TH E ASSESSEE. IN VIEW OF THE ABOVE, WE FIND NO INFIRMITY IN THE ORDER OF THE CIT(A). ITA NO.372/VIZAG/2012 NAVATA ROAD TRANSPORT, VIJAYAWADA 3 3. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED . THE ABOVE ORDER WAS PRONOUNCED IN THE OPEN COURT ON 29 TH OCT15. SD/- SD/- ( (( ( . . . . ) ( ) ( ) ( ) ( . .. . ) )) ) ( (( ( G. MANJUNATHA) ( (( ( V. DURGA RAO ) )) ) / // / ACCOUNTANT MEMBER / // / JUDICIAL MEMBER /VISAKHAPATNAM: 6 / DATED : 29.10.2015 VG/SPS / - 7 / COPY OF THE ORDER FORWARDED TO :8 1. , / THE APPELLANT THE ACIT, CIRCLE-1(1), VIJAYAWADA 2. -., / THE RESPONDENT M/S. NAVATA ROAD TRANSPORT, DR.NO.4-76/4, BOSE BUILDINGS, KANURU, VIJAYAWADA 3. ; / THE CIT, VIJAYAWADA 4. ; () / THE CIT(A), VIJAYAWADA 5. -, , / // / DR, ITAT, VISAKHAPATNAM 6 . . . . / GUARD FILE / BY ORDER // TRUE COPY // AB ( SR.PRIVATE SECRETARY ) , / // / ITAT, VISAKHAPATNAM