The ACIT,(Exemptions), Circle-1, Ahmedabad V. Institute for Plasma Research Society, Gandhinagar

ITA 4/AHD/2019

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 7299 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 7 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-08-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2014-2015
• Appeal Filed On: 01-01-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIRENDRA OJHA SHRI S S SHUKLA
• Keywords: Depreciation
• Section: 143(3); 43; 154

Judgement Text

, - IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD - BENCH A BEFORE SHRI RAJPAL YADAV, VICE-PRESIDENT AND SHRI WASEEM AHMED, ACCOUNTANT MEMBER ./ ITA NO.04/AHD/2019 WITH CROSS OBJECTION NO.145/AHD/2019 ASSTT.YEAR 2014-15 ACIT (EXEMPTIONS), CIR.1 AHMEDABAD. VS. INSTITUTE OF PLASMA RESEARCH SOCIETY BHAT, NR.INDIRA BRIDGE GANDHINAGAR 382 428 PAN : AAAAI 0348 C / (APPELLANT) / (RESPONDENT) REVENUE BY : SHRI VIRENDRA OJHA, CIT-DR SHRI S.S. SHUKLA, SR.DR ASSESSEE BY : MS.KINJAL SHAH, AR ! / DATE OF HEARING : 13/08/2021 '#$ ! / DATE OF PRONOUNCEMENT: 17/08/2021 %& / O R D E R PER RAJPAL YADAV, VICE-PRESIDENT REVENUE IS IN APPEAL BEFORE THE TRIBUNAL AGAINST OR DER OF THE LD.CIT(A)-9, AHMEDABAD DATED 10.10.2018 PASSED FOR ASSTT.YEAR 2014- 15. ON RECEIPT OF NOTICE IN THE REVENUES APPEAL, THE ASSESSEE HAS FILED CROSS OBJECTION BEARING NO.145/AHD/2019. 2. IT EMERGES OUT FROM THE RECORD THAT THE LD.AO HA S PASSED SCRUTINY ASSESSMENT UNDER SECTION 143(3) OF THE INCOME TAX A CT, 1961 ON 10.10.2016 DETERMINING TAXABLE INCOME OF THE ASSESS EE AT RS.27,00,89,497/-. THE AO HAS MADE ABOVE ADDITION TO THE DECLARED INCOME AT RS.NIL BY DISALLOWING THE CLAIM OF DEPREC ATION. THE AO THEREAFTER ISSUED A NOTICE UNDER SECTION 154 CONTEN DING THEREIN THAT ITA NO.4/AHD/2019 WITH CO 2 SURCHARGE WAS TO BE CALCULATED AND CHARGED, BECAUSE TOTAL INCOME EXCEEDED RS.1 CRORES, AND ACCORDINGLY, HE LEVIED SU RCHARGE OF RS.1,09,10,000/-BY WAY OF AN ORDER PASSED UNDER SEC TION 154 ON 3.10.2017. ON APPEAL, THE CIT(A) HAS DELETED THIS LEVY OF SURCHARGE BY OBSERVING THAT INCOME OF THE ASSESSEE WAS REDUCED T O NIL AFTER GIVING EFFECT TO THE ORDER OF THE CIT(A), AND THEREFORE NO SURCHARGE IS LEVIABLE. 3. ON DUE CONSIDERATION OF THE ABOVE FACTS AND CIRC UMSTANCES, WE FIND THAT DISALLOWANCE OF DEPRECIATION HAS BEEN DEL ETED ON MERIT BY THE LD.CIT(A) BY FOLLOWING DECISION OF HONBLE GUJARAT HIGH COURT IN THE CASE OF CIT VS. SHETH MANILAL RANCHHODDAS VISHRAM BHAVAN TRUST, 198 ITR 598 (GUJ). THIS ORDER OF THE CIT(A) HAS BEEN UPHEL D BY THE TRIBUNAL IN ITA NO.113/AHD/2018 AND OTHERS, WHEREIN THE TRIBUNA L AFTER PUTTING RELIANCE UPON THE DECISION OF HONBLE SUPREME COURT IN THE CASE OF ESCORT LTD. UNION OF INDIA, (1993) ITR 43 (SC) HAS HELD THAT THE ASSESSEE IS ENTITLED FOR DEPRECATION. THE APPEAL O F THE REVENUE WAS DISMISSED BY THE TRIBUNAL VIDE ITS ORDER DATED 28.1 1.2019. SINCE THE QUANTUM HAS ALREADY BEEN DELETED, THEREFORE, NOTHIN G REMAINED FOR LEVY OF SURCHARGE. THE LD.CIT(A) HAS RIGHTLY DELETED TH E LEVY OF SURCHARGE AND WE DO NOT FIND ANY MERIT IN THE APPEAL OF THE R EVENUE. 4. SO FAR AS CO IS CONCERNED, IT HAS NOT PLEADED AS TO HOW IT IS AGGRIEVED WITH ANY PART OF THE CIT(A)S ORDER. THE RESPONDENT CAN FILE CO UNDER SECTION 253(4), IF HE HAS AGGRIEVED AGAINS T ANY PART OF THE ORDER IMPUGNED IN THE APPEAL. NO SUCH THING HAS BE EN DEMONSTRATED IN THE CO. THEREFORE, CO FILED BY THE ASSESSEE IS DIS MISSED. 5. IN THE RESULT, BOTH APPEAL OF THE REVENUE AND TH E CO OF THE ASSESSEE ARE DISMISSED. PRONOUNCED IN THE COURT ON 17 TH AUGUST, 2021 AT AHMEDABAD. SD/- SD/- (WASEEM AHMED) ACCOUNTANT MEMBER (RAJPAL YADAV) VICE-PRESIDENT AHMEDABAD; DATED 17/08/2021