NEERAJ NATH, MUMBAI V. ITO 28 (2)(3), MUMBAI

ITA 4210/MUM/2019

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 0221 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 6 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-12-2020
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2009-2010
• Appeal Filed On: 12-06-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: AGAINST TH E DATED PASSED
• Section: 201; 13

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, MUMBAI BEFORE SHRI AMARJIT SINGH, JM AND SHRI MANOJ KUMAR AGGARWAL , AM / I .T.A. NO. 4210 / MUM/ 201 9 ( / ASSESSMENT YEAR: 20 09 - 10 ) SH. NEERAJ NATH PLOT NO.153, SECT OR - 21, NERUL NAVI MUMBAI - 400706. / VS. ITO 28(2)(3) ROOM NO.331, 3 RD FLOOR, TOWER NO.6, VASHI STATION COMPLEX, VASHI, NAVI MUMBAI - 400703. ./ ./ PAN/GIR NO. : AABPN 6775 A ( / APPELLANT ) .. ( / RESPONDENT ) / DATE OF HEARING: 21 / 1 2 / 20 20 /DATE OF PRONOUNCEMENT: 21 / 1 2 / 20 20 / O R D E R PER AMARJIT SINGH, JM: THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST TH E ORDER DATED 13 . 0 5 .201 9 PASSED BY THE COMMISSIONER OF INCOME TAX (APPEALS), 26 MUMBAI [HEREINAFTER REFERRED TO AS THE CIT(A)]. RELEVANT TO THE A.Y. 2009 - 10 . 2. THE ASSESSEE H AS RAISED THE FOLLOWING GROUNDS.: - I. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) ERRED IN CONFIRMING DISALLOWANCE OF INTEREST OF RS.10,44,245/ - THOUGH THE SAID INTEREST WAS PAID FOR LOAN USED FOR GIVING LOAN AND THERE WAS A D IRECT NEXUS BETWEEN LOAN TAKEN AND UTILIZATION . ASSES SEE BY : SHRI RAJESH SHAH (AR) REVENUE BY: SHRI SANJAY J. SETHI (DR) ITA NO. 4210 /M/201 9 A.Y.20 09 - 10 2 2. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) ERRED IN CONFIRMING DISALLOWANCE OF RS.10,44,245 BEING INTEREST PAID FOR THE LOAN AGAINST INTEREST INCOME WITHOUT FULLY APPRECIATIN G THE FACTS OF THE CASE. 3. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) ERRED IN CONFIRMING DISALLOWANCE OF RS.20,892/ - BEING 10% OF THE EXPENSES INCURRED AMOUNTING TO RS.2,08,913/ - ON AD - HOC BASIS. 4. THE APPELLANT CRAVES LEA VE TO ADD, AMEND, MODIFY, SUBSTITUTE AND/OR CANCEL ANY OF THE GROUNDS OF APPEAL. 3 . WHEN THIS APPEAL WAS CALLED OUT FOR HEARING, THE LD. COUNSEL OF THE ASSESSEE SUBMITTED THAT HE HAS FILED THE NECESSARY DECLARATION UNDER DIRECT TAX VIVAD SE VISHWAS ACT, 2020 (ACT 3 OF 2020) AND IS AWAITING FOR FINAL RESOLUTION OF THE MATTER UNDER THE SAID SCHEME. HE SUBMITTED THAT UPON COMPLETION OF THE NECESSARY FORMALITIES, HE WILL WITHDRAW THE APPEAL. IN RESPONSE TO THE SUGGESTION FROM THE BENCH, HE FAIRLY ACCEPTED TH AT HE HAS NO OBJECTION TO THE APPEAL BEING DISMISSED AS WITHDRAWN AS LONG AS HIS RIGHT FOR REVIVAL OF THE APPEAL ARE PROTECTED, IN THE EVENT OF, FOR SOME UNFORTUNATE REASON, THE MATTER BEING NOT SETTLED UNDER THE VIVAD SE VISHWAS SCHEME. 4 . THE LD. DR ALSO DID NOT OBJECT TO DISGRACE SO SUGGESTED. 5 . IN VIEW OF THE ABOVE, WE DISMISS THE APPEAL AS WITHDRAWN, SUBJECT TO BE RIDER THAT IN THE UNLIKELY EVENT OF MATTER NOT BEING RESOLVED UNDER THE VIVAD SE VISHWAS SCHEME , THE ASSESSEE SHALL HAVE LIBERTY TO APPROAC H THE TRIBUNAL FOR RESTORATION OF HIS APPEAL. ITA NO. 4210 /M/201 9 A.Y.20 09 - 10 3 6 . IN THE RESULT, THE APPEAL IS DISMISSED AS WITHDRAWN SUBJECT TO THE OBSERVATION ABOVE. ORDER PRONOUNCED IN THE OPEN COURT ON 21 / 1 2 /2020 SD/ - SD/ - ( MANOJ KUMAR AGGARW AL (AMARJIT SINGH) / ACCOUNTANT MEMBER / JUDICIAL MEMBER MUMBAI; DATED : 21 / 12 / 2020 V IJAY PAL SINGH ( SR.PS ) / COPY OF THE ORD ER 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// / /(DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI