ITO - 2(1)(2), MUMBAI V. CITY CAT OVERSEAS CHEMICALS LTD., MUMBAI

ITA 3820/MUM/2018

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 3881 (ITAT-MUMBAI)
• Duration Of Justice: 2 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-08-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2014-2015
• Appeal Filed On: 31-05-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: D G
• Keywords: Audit objection; Tax effect

Judgement Text

E IN THE INCOME TAX APPELLATE TRIBUNAL E BENCH, MUMBAI , . BEFORE SRI MAHAVIR SINGH, JM AND SRI G MANJUNATHA , AM AAYAKR APILA SAM . / ITA NO. 7112 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2010 - 11 ) ITO - 8(1)(2) ROOM NO. 662, M.K. ROAD, MUMBAI - 400 020 VS. RISHI LASER LTD. 612, V.K. IND ESTATE 10/14, PAIS STREET, BYCULLA (W), MUMBAI - 400 011 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAACR 2715 C / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 7138 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2010 - 11 ) DCIT - CC 1(4) ROOM NO. 902, P RATISTHA BHAVAN, 9 TH FLOOR, OLD CGO BUILDING ANNEXE, MUMBAI - 20 VS. SAKET INFRAPROJECTS LTD. 2/2 VALLABH NI WAS, MALVIYA NAGAR, VILE PARLE(E ), MUMBAI - 400 057 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAKCS 4532 L / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 7139 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2009 - 10 ) AAYAKR APILA SAM . / ITA NO. 7132/MUM/2017 ( INAQA - ARNA BAYA - / ASSESSM ENT YEAR 2010 - 11) DCIT, CENTRAL CIRCLE - 1(4), ROOM NO. 902, PRATISTHA BHAVAN, 9 TH FLOOR, OLD CGO BUILDING ANNEXE, MUMBAI - 400 020 VS. M/S SHAH & PARIKH , C - 113, SHYAM KAMAL BUILDING, 27, TEJPAL ROAD, AGARWAL MARKET, VILE PARLE (E), MUMBAI - 400 057 2 ( APILAAQA I - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAJFS 4684 D / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 7149 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2010 - 11 ) DCIT, CC - 5(1), CENT. CIR - 5(1), R.NO. 1928, 19 TH FLOOR, AIR INDIA BUILDING, NARIMAN POINT, MUMBAI - 21 VS. RPS INFRAPROJECTS PVT. LTD. C - 113, SHYAM KAMAL BLDG.,27, TEJPAL ROAD, AGARWAL MARKET, VILLE - PARLE(E), MUMBAI57 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AADCR 3607 E / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 7281 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2009 - 10 ) ITO - 17(1)(2) ROOM NO. 116, 1 ST FLO OR, AAYAKAR BHAVAN, M.K. MARG, MUMBAI - 400 020 VS. MR. BABULAL K. DADHI, GROUND FLOOR, JASWANTI NIWAS, 153, MODY STREET, FORT, MUMBAI - 400 001 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AGSPD 7516 N / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE 3 AAYAKR APILA SAM . / ITA NO. 7350 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2012 - 13 ) ACIT, CIR 11(3)(1) ROOM NO, 204, AAYAKAR BHAVAN, 2 ND FLOOR, M.K. MARG, MUMBAI - 20 VS. M/S TRIGYN TECHNOLOGIES LTD. 27 - A, SDF - 1, SEEPZ - SEZ, ANDHERI (EAST), MUMBAI - 400 096 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAACL 2065 K / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 6839 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 20 13 - 14 ) DCIT, CC - 6(4), ROOM NO. 1925, 19 TH FLOOR, AIR INDIA BUILDING, NARIMAN POINT, MUMBAI - 21 VS. SHRI VIRENDRA JAIN 82, MAKER CHAMBER III NAR IMAN POINT, MUMBAI - 2 1 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AABPJ 1882 E / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : SHRI ANURAG AGARWAL , A R AAYAKR APILA SAM . / ITA NO. 6843 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2007 - 08 ) AAYAKR APILA SAM . / ITA NO. 6844/MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2008 - 09) ACIT, CIRCLE 2(3)(1) R. NO. 552, 5 TH FLOOR, AAYAKAR BHAVAN, M.K. ROAD, MUMBAI - 20 VS. VOCATION INVE STMENT & FINANCE CO. PVT. LTD 72A, MITTAL TOWER, NARIMAN POINT, MUMBAI - 21 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAACV 1199 A 4 / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : N O NE AAYAKR APILA SAM . / ITA NO. 6876 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2011 - 12 ) DCIT, CIR 5(1)(1) ROOM NO. 470 , 4 TH FLOOR, AAYAKAR BHAVAN, MUMABI VS. EXCELLHONE MFG. (I) PVT. LTD. R - 606, TTC INDUSTRIAL AREA, MIDC, THANE BELAPUR ROAD, RABALE, NAVI MUMBAI - 400 701 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AABCA 4747 K / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 6942 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2012 - 13) ITO, WARD 1(1)(4) ROOM NO. 531A, M.K. ROAD, AAYAKAR BHAVAN, MUMBAI - 20 VS. HDFC TRUSTEE COMPANY LTD., HUL HOUSE, 2 ND FLOOR, H.T.PAREKH MARG, 165 - 166, BACKBAY RECLAMATION, CHURCHGATE, MUMBAI - 20 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAACH 7615 M / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : SHRI JAYESH DESAI , A R AAYAKR APILA SAM . / ITA NO. 7000 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2014 - 15 ) DCIT, CC 7(2) ROOM NO. 655, 6 TH FLOOR, AAYAKAR BHAVAN, M.K. ROAD, MUMBAI - 20 VS. MA NBA BROKING SERVICES PVT. LTD 324, RUNWAL HEIGHT, OPP. NIRMAL LIFESTYLE, MULUND (WEST), MUMBAI - 80 5 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAECM 5981 D / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 7001 /MUM/2017 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 201 4 - 15 ) DCIT, CC - 7(2) ROOM NO. 655, 6 TH FLOOR, AAYAKAR BHAVAN, M.K. ROAD, MUMBAI - 20 VS. MANBA INVESTMENTS AND SECURITIES PVT. LTD. 306, RUNWAL HEIGHT, OPP. NIRMAL LIFESTYLE, MULUND (WEST), MUMBAI - 80 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AACCM 4718 N / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : N ONE AAYAKR APILA SAM . / ITA NO. 371 1 /MUM/ 2018 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2010 - 11 ) ACIT - 18(1), R. NO. 202, 2 ND FLOOR, EARNEST HOUSE, NARIMAN POINT, MUMBAI - 21 VS. M/S BHAIRAV METALS 57, BINANI BUILDING, GR. FL., BHULESHWAR, MUMBAI - 02 ( APILAAQA I - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAAFB 4213 E / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 3716 /MUM/ 2018 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2012 - 13 ) DCIT - 2(2)(1) ROOM NO. 545, 5 TH FLOOR, AAYAKAR BHAVAN,M.K. ROAD, CHURCHGATE, MUMBAI - 20 VS. JAGUAR SERVICES PVT. LTD. 65, MURZBAN ROAD, FORT, MUMBAI - 01 6 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAACJ 1950 H / APPELLANT BY : S HRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 3801 /MUM/ 2018 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2009 - 10 ) ITO - 25(1)(1) BLDG. NO. C - 10, 4ND FLOOR, ROOM NO. 405, PRATYAKSHAKAR BHAVAN, BANDRA KURLA COMPLEX, BAND RA (EAST), MUMBAI - 400 051 VS. SHRI SANDEEP BABULAL GADA, 1301, AAWEZ HEIGHTS, NEAR CORPORATION BANK, S.V. ROAD, ANDHERI (W), MUMBAI - 400 058 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AIWPG 9544 R / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE AAYAKR APILA SAM . / ITA NO. 3820 /MUM/ 2018 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2014 - 15 ) ITO - 2(1)(2), 543, AAYAKAR BHAVAN, 5 TH FLOOR, M.K. MARG, MUMBAI - 400 020 VS. CITY CAT O VERSEAS CHEMICALS LTD. 195, SAHEB BLDG, 5 TH FLOOR, DN ROAD, FORT, MUMBAI - 400 001 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAACC 8123 B / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE 7 AAYAKR APILA SAM . / ITA NO. 5495 /MUM/ 2011 ( INAQA - ARNA BAYA - / ASSESSMENT YEAR 2006 - 07 ) ACIT - 1(1) ROOM NO. 579, AAYAKAR BHAVAN, MUMBAI - 20 VS. HARSHIT FINLEASE & INV. LTD. THE INTERNATIONAL, 16, NEW MARINE LINES, CROSS ROAD NO.1, M UMBAI - 400 020 ( APILAAQAI - / APPELLANT) .. ( P`%YAQAAI - / RESPONDENT) . / PAN NO. AAACH 8737 Q / APPELLANT BY : SHRI DG PANSARI, DR / RESPONDENT BY : NONE / DATE OF HEARING: 10 - 08 - 2018 / DATE OF PRONOUNCEMENT : 10 - 08 - 2018 AADOSA / O R D E R PER BENCH : ALL THESE APPEALS PERTAINS TO REVENUE AND WHEN CALLED FOR HEARING AND POINTED OUT TO THE LEARNED SR. DR THAT THE TAX EFFECT IN THESE APPEALS IS BELOW THE PRESCRIBED LIMIT AS PRESCRIBED BY THE CENTRAL BOARD OF DIRECT TAXES (CBDT) VIDE CIRCULAR F.NO. 279/MISC. 142/2007 - ITJ (PT) DATED 11.07.2018, WHEREIN MONETARY LIMITS AND OTHER CONDITIONS FOR FILING OF DEPARTMENTAL APPEAL BEFORE TR IBUNAL HAS BEEN REVISED AND FIXED AT 20 LACS FOR FILING OF THE DEPARTMENTAL APPEAL , T HE LEARNED SR. DR COULD NOT CONTROVERT THE FACT THAT THE TAX EFFECT IN ALL THESE APPEALS OF REVENUE IS BELOW THE PRESCRIBED LIMIT AS PRESCRIBED BY CBDT CIRCULAR DATED 11 .07.2018 . 2. WE HAVE GONE THROUGH THE CIRCULAR AND NOTICED THAT THIS CIRCULAR WILL APPLY TO PENDING APPEALS ALSO & WE ARE REFERRING TO PARA 13 OF THE CIRCULAR FOR THIS PROPOSITION , WHICH READS AS UNDER: - 8 13. THIS CIRCULAR WILL APPLY TO SLPS/APPEALS/ CROSS OBJECTIONS/ REFERENCES TO BE FILED HENCEFORTH IN SC/HCS/TRIBUNAL AND IT SHALL ALSO APPLY RETROSPECTIVELY TO PENDING SLPS/ APPEALS/CROSS OBJECTIONS/ REFERENCES. PENDING APPEALS BELOW THE SPECIFIED TAX LIMITS IN PARA 3 ABOVE MAY BE WITHDRAWN/ NOT PRESSED . 3. I N VIEW OF THE ABOVE, WE ARE OF THE VIEW THAT THE REVENUES APPEAL S ARE FULLY COVERED BY CBDT CIRCULAR NO. 3 OF 20 1 8 AND THERE IS NO EXCEPTION BROUGHT OUT BY THE REVENUE THAT TH E S E APPEAL S FALLS UNDER ANY OF THE EXCEPTION AS PROVIDED IN PARA 10 WHICH READS AS UNDER: - 10. ADVERSE JUDGMENTS RELATING TO THE FOLLOWING ISSUES SHOULD BE CONTESTED ON MERITS NOTWITHSTANDING THAT THE TAX EFFECT ENTAILED IS LESS THAN THE MONETARY LIMITS SPECIFIED IN PARA 3 ABOVE OR THERE IS NO TAX EFFECT: (A) WHERE THE CONSTITUTIONA L VALIDITY OF THE PROVISIONS OF AN ACT OR RULE IS UNDER CHALLENGE, OR (B) WHERE BOARD'S ORDER, NOTIFICATION, INSTRUCTION OR CIRCULAR HAS BEEN HELD TO BE ILLEGAL OR ULTRA VIRES, OR (C) WHERE REVENUE AUDIT OBJECTION M THE CASE HAS BEEN ACCEPTED BY THE DEPA RTMENT, OR (D) WHERE THE ADDITION RELATES TO UNDISCLOSED FOREIGN ASSETS/ BANK ACCOUNTS. 4. WHEN THIS WAS CONFRONTED TO THE LEARNED SR. DEPARTMENTAL REPRESENTATIVE SHRI DG PANSARI , HE COULD NOT POINT OUT THAT TH ESE APPEALS 9 FALLS UNDER ANY OF THE EXCEPTION AS PROVIDED IN CIRCULAR NO. 3 OF 2018 BUT HE ONLY REQUESTED THAT A LIBERTY BE GIVEN TO REVENUE FOR RECALLING OF THE ORDER IN CASE THE AO FOUN D THAT THESE CASE S FALLS UNDER ANY OF THE EXCEPTIONS AS PROVIDED IN THIS CIRCULAR . ADMITTEDLY, THE TAX EFFECT IN THES E APPEALS OF REVENUE IS MUCH BELOW THE PRESCRIBED LIMIT OF FILING APPEAL BEFORE THE TRIBUNAL I.E. 20 LACS AS PER CBDT CIRCULAR NO. 3 OF 20 1 8. IN VIEW OF THE ABOVE, TH ESE APPEAL S OF REVENUE ARE DISMISSED AS WITHDRAWN I N VIEW OF CIRCULAR NO 3 OF 201 8. HOWE VER, THE REVENUE IS AT LIBERTY TO GET THE ORDER RECALLED IN CASE ANY OF THE ABOVE APPEAL S FALLS UNDER THE EXCEPTIONS AS PROVIDED IN ABOVE CBDT CIRCULAR. 5. IN THE RESULT, ALL TH ESE APPEALS OF REVENUE ARE DISMISSED AS WITHDRAWN . ORDER PRONOUNCED IN THE OPEN COURT ON 10 - 08 - 2018 . AADOSA KI GAAO YANAA KULAO MAO IDNAMK 10 - 08 - 2018 KAO KI GA[ - . SD/ - SD/ - ( . / G MANJUNATHA) ( / MAHAVIR SINGH) ( / ACCOUNTANT MEMBER ) ( / JUDICIAL MEMBER ) , / MUMBAI, DATED: 10 - 08 - 2018 , . / SUDIP SARKAR, SR.PS 10 / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) 4. / CIT 5. , , / DR, ITAT, MUMBAI 6. / GUARD FILE. / BY ORDER, //TRUE COPY// / ( ASSTT. REGISTRAR) , / ITAT, MUMBAI