Mahindra Integrated Township Ltd, Kancheepuram V. ITO, Corp Ward 4(2), Chennai

ITA 393/CHNY/2019

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 1849 (ITAT-CHENNAI)
• Duration Of Justice: 4 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-06-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2014-2015
• Appeal Filed On: 15-02-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MRS D ROHINI
• Assessee Lawyers: M VISWANATHAN
• Keywords: Earning of tax free income; Rule 8D

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH: CHENNAI , . , & BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBER ./ ITA NO.393/CHNY/2019 /ASSESSMENT YEAR: 2014-15 M/S.MAHINDRA INTEGRATED- TOWNSHIP LTD., ADMINISTRATIVE BLOCK, MAHINDRA WORLD CITY, NATHAM SUB POST OFFICE, CHENGALPET, KANCHIPURAM-603 002. [PAN: AAACM 7864 P] VS. THE INCOME TAX OFFICER, CORPORATE WARD-4(2), CHENNAI. ( ( /APPELLANT) ( )*( /RESPONDENT) ( + / APPELLANT BY : MR.M.VISWANATHAN, CA )*( + /RESPONDENT BY : MRS.D.ROHINI, JCIT + /DATE OF HEARING : 17.06.2019 + /DATE OF PRONOUNCEMENT : 17.06.2019 / O R D E R PER GEORGE MATHAN, JUDICIAL MEMBER : THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST TH E ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-8, CHENNAI, IN ITA NO.449/16-17 DATED 06.12.2018 FOR THE AY 2014-15. 2. MRS.D.ROHINI, JCIT, REPRESENTED ON BEHALF OF THE REVENUE AND MR. M.VISWANATHAN, CA, REPRESENTED ON BEHALF OF THE ASS ESSEE. ITA NO.393/CHNY/2019 :- 2 -: 3. IT WAS SUBMITTED BY THE LD.AR THAT THE ASSESSEE HAS NOT EARNED ANY EXEMPT INCOME. HE DREW OUR ATTENTION TO PAGE NO.3 O F THE ORDER OF THE LD.CIT(A) IN PARA NO.4, PART-1 SUBMISSIONS OF THE A SSESSEE, IT HAS BEEN CATEGORICALLY ADMITTED THAT NO DIVIDEND HAS BEEN RE CEIVED DURING THE PREVIOUS YEAR RELEVANT TO THE ASSESSMENT YEAR. THE LD.AR PLACED BEFORE US A COPY OF THE BALANCE SHEET AND P&L A/C, WHEREIN , UNDER THE NOTE-18 TO THE BALANCE SHEET, REPRESENTING OTHER INCOME, DI VIDEND INCOME FROM SUBSIDIARIES IS SHOWN AS NIL. IT WAS A SUBMISSION THAT AS THE ASSESSEE HAS NOT EARNED ANY EXEMPT INCOME, NO DISALLOWANCE U/S.1 4A WAS CALLED FOR IN VIEW OF THE DECISION OF THE HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF CIT V. CHETTINAD LOGISTICS PVT. LTD. IN TCA NO.24 O F 2017 DATED 13.03.2017. 4. IN REPLY, THE LD.DR VEHEMENTLY SUPPORTED THE ORD ER OF THE AO AND THE LD.CIT(A). 5. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. 6. ADMITTEDLY, THE ASSESSEE HAS NOT EARNED ANY EXEM PT INCOME DURING THE PREVIOUS YEAR RELEVANT TO THE ASSESSMENT YEAR. CONSEQUENTLY, IN VIEW OF THE DECISION OF THE HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF CIT V. CHETTINAD LOGISTICS PVT. LTD., ADDITION AS MADE BY THE AO AND AS CONFIRMED BY THE LD.CIT(A) BY INVOKING THE PROVISIO NS OF SEC.14A RULE 8D STANDS DELETED. ITA NO.393/CHNY/2019 :- 3 -: 7. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON THE 17 TH DAY OF JUNE, 2019, IN CHENNAI. SD/- SD/- ( . ) ( S. JAYARAMAN ) /ACCOUNTANT MEMBER ( ) (GEORGE MATHAN) /JUDICIAL MEMBER /CHENNAI, 2 /DATED: 17 TH JUNE, 2019. TLN + )34 54 /COPY TO: 1. ( /APPELLANT 4. 6 /CIT 2. )*( /RESPONDENT 5. 4 ) /DR 3. 6 ( ) /CIT(A) 6. /GF