Quippo Oil and Gas Infrastructure Ltd., New Delhi V. DCIT, New Delhi

ITA 4314/DEL/2015

• Counselvise Citation: [2021] 109 COUNSELVISE.COM (IT) 2624 (ITAT-DELHI)
• Duration Of Justice: 5 year(s) 7 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-02-2021
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2011-2012
• Appeal Filed On: 03-07-2015
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SUSHMA SINGH
• Keywords: Competent authority
• Section: 43B; 40(a)(ia)

Judgement Text

ITA NO.-4314/DEL/2015 QUIPPO OIL AND GAS INFRASTRUCTURE LTD. PAGE 1 OF 4 IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH: F: NEW DELHI) (THROUGH VIDEO CONFERENCING) BEFORE SH. SUDHANSHU SRIVASTAVA, JUDICIAL MEMBE R AND SHRI ANADEE NATH MISSHRA, ACCOUNTANT MEMBER ITA NO:- 4314/DEL/2015 ( ASSESSMENT YEAR: 2011-12) QUIPPO OIL AND GAS INFRASTRUCTURE LIMITED D-2, 5 TH FLOOR, SOUTHERN PARK, SAKET PALACE, SAKET, NEW DELHI-110017 VS. DEPUTY COMMISSIONER OF INCOME TAX- CIRCLE -14(1), NEW DELHI APPELLANT RESPONDENT PAN NO: AAACP5431H REVENUE BY : SMT. SUSHMA SINGH, CIT-DR ASSESSEE BY : SMT. ALKA ARREN , ADV. PER ANADEE NATH MISSHRA, A.M.: (A) THIS APPEAL BY THE ASSESSEE IS FILED AGAINST THE OR DER OF LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-VII, NEW DELHI, [LD. CIT(A), FOR SHORT], DATED 17/03/2015 FOR ASSESSMENT YEAR 2011-12. GROUNDS TAKEN IN THIS APPE AL OF ASSESSEE ARE AS UNDER : 1.0 THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) [HERE- IN-AFTER REFERRED TO AS LD. CIT (APPEALS)] WAS NOT JUSTIFIED & GROSSLY ERRED IN CONFIRMING THE DISALLOWANCE OF PROVISION FOR LEA VE ENCASHMENTOF RS. 15,77,630/-U/S 43B OF THE ACT. ITA NO.-4314/DEL/2015 QUIPPO OIL AND GAS INFRASTRUCTURE LTD. PAGE 2 OF 4 2.0 THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE, THE LD. CIT(APPEALS) WAS NOT JUSTIFIED & GROSSLY ERRED IN CONFIRMING DISALLOWANCE OF INTEREST U/S 36(L)(III) AMOUNTING T O RS. 14,80,867/- IN COMPUTING TOTAL INCOME UNDER NORMAL PROVISIONS OF THE ACT. 3.0 THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE, THE LD. CIT(APPEALS) WAS NOT JUSTIFIED AND GROSSLY ERRE D IN CONFIRMING DISALLOWANCE OF INTEREST BASED ON FACTS PERTAINING TO EARLIER YEARS AND NOT BASED ON FACTS FOR THE CURRENT YEAR. 4.0 THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE, AND WITHOUT PREJUDICE TO GROUND NO. 2.0 & 3.0 TAKEN HERE-IN- ABOVE, THE LD. CIT(APPEALS) WAS NOT JUSTIFIED & GRO SSLY ERRED IN NOT CONSIDERING THE CONSEQUENTIAL CLAIM OF DEPRECIA TION ON ACCOUNT OF INCREASE IN ACTUAL COST OF THE ASSET. 5.0 THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE, THE LD. CIT(APPEALS) WAS NOT JUSTIFIED & GROSSLY ERRED IN CONFIRMING DISALLOWANCE OF MOBILIZATION EXPENSES U/S 40(A)(IA) OF RS. 3,68,76,730/- FOR NON DEDUCTION OF TAX WITHOUT CONS IDERING THE FACT THAT THE APPELLANT WAS NOT LIABLE TO DEDUCT TD S ON ENTIRE AMOUNT. 6.0 THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(APPEALS) WAS NOT JUSTIFIED IN HOLDING T HAT THE APPELLANT WAS NOT COVERED BY SECTION 194C(6) OF THE ACT WITHOUT PROVIDING ANY REASON FOR SUCH CONCLUSION AN D WITHOUT CONSIDERING THE SUBMISSIONS OF THE APPELLANT. 7.0 THAT THE APPELLANT CRAVES LEAVE TO ADD, TO AMEND, M ODIFY, RESCIND, SUPPLEMENT OR ALTER ANY OF THE GROUNDS STA TED HERE-IN- ABOVE, EITHER BEFORE OR AT THE TIME OF HEARING OF T HIS APPEAL. (B) AT THE TIME OF HEARING, AT THE OUTSET, THE LEARNED COUNSEL FOR THE ASSESSEE INFORMED US THAT THE ASSESSEE HAS OPTED TO SETTLE T HE AFOREMENTIONED APPEALS UNDER VIVAD SE VISHWAS SCHEME, 2020 (VSVS, FOR SHORT) AND THA T THE ASSESSEE HAS ALREADY FILED THE RELEVANT FORMS. SHE ALSO INFORMED THAT FORM-3 HAS BEEN ISSUED ALREADY BY COMPETENT AUTHORITY UNDER VSVS. THE LD. COUNSEL FOR ASSESSEE ALSO DREW OUR ATTENTION TO LETTER ITA NO.-4314/DEL/2015 QUIPPO OIL AND GAS INFRASTRUCTURE LTD. PAGE 3 OF 4 DATED 4 TH FEBRUARY, 2021 FILED IN INCOME TAX APPELLATE TRIB UNAL (ITAT, FOR SHORT) GIVING INTIMATION FOR THE SAME, AND REQUESTING TO WITHDRAW THIS APPEAL. (B.1) AT THE TIME OF HEARING BEFORE US, THE LD. COUNSEL F OR ASSESSEE AS WELL AS THE LEARNED COMMISSIONER OF INCOME TAX (DEPARTMENTAL RE PRESENTATIVE) (LD. CIT- DR, FOR SHORT) SUBMITTED BEFORE US THAT THIS APPEAL MAY BE TREATED AS WITHDRAWN AND MAY BE DISMISSED ON ACCOUNT OF THE AFORESAID VSVS. AFTER DUE CONSIDERATION, AND IN VIEW OF THE FOREGOING; AND AS BOTH SIDES HAVE AGREED TO THIS; W E ARE OF THE VIEW THAT THIS APPEAL HAS BECOME INFRUCTUOUS, AND TREAT THIS APPEAL AS WITHDR AWN ON ACCOUNT OF THE AFORESAID VSVS. ACCORDINGLY, THIS APPEAL HAVING BECOME INFRUCTUOUS, IS HEREBY DISMISSED AS WITHDRAWN, SUBJECT TO SETTLEMENT OF THE DISPUTES IN THE APPEAL S UNDER THE AFORESAID VSVS. (C) BEFORE WE PART, WE HEREBY CLARIFY, BY WAY OF AB UNDANT CAUTION, THAT IF FOR SOME REASON THE DISPUTES UNDER THIS APPEAL BEFORE U S ARE NOT SETTLED UNDER THE AFORESAID VSVS, THEN THE ASSESSEE WILL BE AT LIBERTY TO APPRO ACH ITAT FOR RESTORATION OF THIS APPEAL, IN ACCORDANCE WITH LAW. (D) OUR ORDER WAS ALREADY PRONOUNCED ORALLY IN OPEN COU RT ON 22.02.2021 IN THE PRESENCE OF THE REPRESENTATIVES OF BOTH SIDES; AFTE R THE CONCLUSION OF HEARING. NOW THIS ORDER IN WRITING IS BEING RELEASED TODAY ON 23/02/2 1. SD/- SD/- (SUDHANSHU SRIVASTAVA) (ANAD EE NATH MISSHRA) JUDICIAL MEMBER ACCOUNTA NT MEMBER DATED: 23/02/2021 *BINITA* COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT