GOLDEN CROSS PHARMA P.LTD, MUMBAI V. ASST CIT RG 6(3), MUMBAI

ITA 448/MUM/2013

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 78713 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 2 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-04-2014
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: G
• Assessment Year: 2009-2010
• Appeal Filed On: 15-01-2013
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: R K SAHU
• Assessee Lawyers: V MOHAN
• Section: 80IB

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL 'G' BENCH, MUMBAI BEFORE SHRI VIJAY PAL RAO, JUDICIAL MEMBER AND SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER ITA NO. 448/MUM/2013 (ASSESSMENT YEAR: 2009-10) GOLDEN CROSS PHARMA PVT. LTD. 12, GUNBOW STREET, FORT MUMBAI-400 001. VS. THE ASSTT. COMMISSIONER OF INCOME TAX, RANGE-6(3) 5 TH FLOOR, AAYAKAR BHAVAN, ROOM NO.509/562 M.K. ROAD MUMBAI-400 020. (APPELLANT) (RESPONDENT) PERMANENT ACCOUNT NO. : AABCG 0541 J ASSESSEE BY : SHRI V. MOHAN REVENUE BY : SHRI R.K. SAHU DATE OF HEARING : 02/04 /2014 DATE OF PRONOUNCEMENT : 09/04/2014 O R D E R PER VIJAY PAL RAO, JUDICIAL MEMBER: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER DATED 30/10/2012 OF CIT(A) FOR THE ASSESSMENT YEAR 2009-1 0. THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS :- 1. THE CIT(A)-12, MUMBAI ERRED IN NOT DELETING THE ADDITION OF UNUTILIZED MODVAT CREDIT ON CLOSING STOCK OF RS.20, 25,489/- MADE BY THE LD. ACIT, CIRCLE 6(3). 2. THE CIT(A) ERRED IN RESTORING THE ISSUE OF DEDUC TION FOR MODVAT ON OPENING STOCK AT RS.584/- AS AGAINST APPELLANTS CLAIM OF RS.84,24,682/- (BEING UNUTILIZED MODVAT CREDIT ADD ED TO CLOSING STOCK BY AO IN AY 2008-09 U/S. 145A) ITA NO.448/M/13 AY:09-10 2 3. THE LD. CIT(A) HAS ERRED IN NOT GIVING DIRECTION TO ASSESSING OFFICER FOR ALLOWING CONSEQUENTIAL DEDUCTION U/S. 8 0IB OF THE ACT ON THE ADDITIONS CONFIRMED BY HER ON ACCOUNT OF UNUTIL IZED MODVAT CREDIT OF RS.20,25,489/- 2. AT THE TIME OF HEARING THE LD. AUTHORIZED REPRES ENTATIVE OF THE ASSESSEE STATED THAT THE ASSESSEE DOES NOT WANT TO PRESS GROUND NO.1 AND 2 AND THE SAME MAY BE DISMISSED AS NOT PRESSED. THE LD. DR RAISED NO OBJECTION IF GROUND NO.1 AND 2 OF ASSESSEES APP EAL ARE DISMISSED AS NOT URGED. ACCORDINGLY GROUND NO.1 AND 2 ARE DISMIS SED BEING NOT PRESSED. 3. GROUND NO.3 IS REGARDING CONSEQUENTIAL DEDUCTION U/S. 80IB OF THE ACT ON THE ADDITION CONFIRMED BY CIT(A) ON ACCOUNT OF UNUTILIZED MODVAT CREDIT. 4. WE HAVE HEARD THE LD. AUTHORIZED REPRESENTATIVE OF THE ASSESSEE AS WELL AS THE LD. DR AND CONSIDERED RELEVANT MATERIAL ON RECORD. THE LD. CIT(A) HAS DEALT WITH THIS ISSUE IN PARA 7.1 OF THE IMPUGNED ORDER AS UNDER :- BEING CONSEQUENTIAL THIS GROUND OF APPEAL DOES NOT NEED ANY ADJUDICATION. THE AO TO TAKE ACTION REGARDING CALCU LATION OF DEDUCTION UNDER SECTION 80IB OF THE INCOME TAX ACT, 1961 ACCORDINGLY. THE LD. AR OF THE ASSESSEE HAS SUBMITTED THAT THE C IT(A) HAS NOT ADJUDICATED THIS ISSUE TO ALLOW DEDUCTION UNDER SEC TION 80IB, BUT SIMPLY MENTIONED THAT THE AO IS TO TAKE ACTION AS THIS ISS UE IS CONSEQUENTIAL. THUS, IT IS URGED THAT SPECIFIC DIRECTION BE GIVEN TO THE AO IN THIS REGARD. 5. WE FIND THAT, FROM THE ORDER OF CIT(A) THE ONLY INFERENCE THAT CAN BE DRAWN IS THAT THE DEDUCTION UNDER SECTION 80IB(1 0) IN RESPECT OF THE ADDITION MADE ON ACCOUNT OF UNUTILIZED MODVAT CREDI T IS ALLOWABLE. ITA NO.448/M/13 AY:09-10 3 ACCORDINGLY THE AO IS DIRECTED TO ALLOW THE CLAIM O F THE ASSESSEE TO THE EXTENT OF ADDITION MADE ON ACCOUNT OF UNUTILIZED MO DVAT CREDIT. 6. IN THE RESULT THE APPEAL IS PARTLY ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 09 TH APRIL, 2014. SD/- SD/- (N.K. BILLAIYA) ACCOUNTANT MEMBER (VIJAY PAL RAO ) JUDICIAL MEMBER MUMBAI, DATED: 09/04/2014 JV. COPY TO: THE APPELLANT THE RESPONDENT THE CIT, CONCERNED, MUMBAI THE CIT(A) CONCERNED, MUMBAI THE DR BENCH TRUE COPY BY ORDER DY/ASSTT. REGISTRAR, ITAT, MUMBAI. ITA NO.448/M/13 AY:09-10 4 S.NO. DETAILS DATE INITIALS DESIGNATION 1 DRAFT DICTATED ON 02/04/14 JM/AM 2 DRAFT PLACED BEFORE AUTHOR 02/04/14 JM/AM 3 DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4 DRAFT DISCUSSED/APPROVED BY SECOND MEMBER JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS/PS 6. KEPT FOR PRONOUNCEMENT ON SR.PS/PS 7. FILE SENT TO THE BENCH CLERK SR.PS/PS 8 DATE ON WHICH THE FILE GOES TO THE HEAD CLERK 9 DATE OF DISPATCH OF ORDER 10. DRAFT / SHORTHAND SCRIPT ENCLOSED IN FILE YES