ITO WD 2(1)(4), MUMBAI V. GUPTA PAPER HOUSE P. LTD, MUMBAI

ITA 5338/MUM/2010

• Counselvise Citation: [2011] 140 COUNSELVISE.COM (IT) 55706 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 4 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-10-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 31-10-2011
• Assessment Year: 2007-2008
• Appeal Filed On: 29-06-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A K NAYAK
• Assessee Lawyers: RAJIV WAGLAY

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH G BEFORE SHRI J SUDHAKAR REDDY (AM) & SHRI V. DURGA RAO (JM) I.T.A.NO. 5338/MUM/2010 (ASSESSMENT YEAR : 2007-08) ITO WARD 2(1)(4) 5 TH FLOOR, ROOM NO. 553 AAYAKAR BHAVAN M.K. ROAD MUMBAI-400 020. VS. M/S. GUPTA PAPER HOUSE PVT. LTD. MEGHDOOT CHAMBERS 2 ND FLOOR 85, MODI STREET MUMBAI-400 001. PAN/GIR NO. : AAACG2445E ASSESSEE BY : SHRI RAJIV WAGLAY DEPARTMENT BY : SHRI A.K. NAYAK DATE OF HEARING : 31.10.2011 DATE OF PRONOUNCEMENT : 31.10.2011 ORDER PER J. SUDHAKAR REDDY, (AM) :- THIS IS AN APPEAL FILED BY THE REVENUE DIRECTED AG AINST THE ORDER OF LEARNED CIT(A)-4, MUMBAI DATED 5.4.2010 FOR A.Y. 20 07-08 ON THE FOLLOWING GROUNDS :- 1) THE ORDER OF LEARNED CIT(A) IS OPPOSED TO LAW AND F ACTS OF THE CASE. 2) ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN L AW, LEARNED CIT(A) ERRED IN DELETING THE ADDITION OF ` 12,47,416/- BEING THE AMOUNT RECEIVABLE BY THE ASSESSEE ON ACCOUNT OF DEB IT NOTE RAISED DURING THE PREVIOUS YEAR BUT NOT ACCOUNTED I N THE INCOME OF THE YEAR. 3) ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN L AW, LEARNED CIT(A) ERRED IN DELETING THE ADDITION OF ` 9,84,548/- BEING THE INTEREST RECEIVABLE BY THE ASSESSEE FROM VARIOUS CU STOMERS BUT NOT ACCOUNTED IN THE INCOME OF THE PREVIOUS YEAR. 4) ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN L AW, LEARNED CIT(A) FAILED TO APPRECIATED THAT ASSESSEE IS FOLLO WING MERCANTILE SYSTEM OF ACCOUNTING DISCOUNT RECEIVABLE OF ` 12,47,416/- AND INTEREST RECEIVABLE OF ` 9,84,548/- WERE TO BE INCLUDED IN THE INCOME OF THE PREVIOUS YEAR ON ACCR UAL BASIS. M/S. GUPTA PAPER HOUSE PVT. LTD. 2 5) FOR THESE AND OTHER GROUNDS THAT MAY BE URGED AT TH E TIME OF HEARING, THE DECISION OF LEARNED CIT(A) MAY BE SET ASIDE AND THAT OF THE ASSESSING OFFICER RESTORED. 2. BOTH PARTIES SUBMITTED THAT SIMILAR ISSUES HAVE COME UP BEFORE THE G BENCH OF THE TRIBUNAL IN ASSESSEES OWN CAS E FOR A.Y. 2005-06 IN ITA NO. 2771/MUM/2009 DATED 22.1.2010 WHEREIN THE T RIBUNAL HAS DECIDED THE ISSUE IN FAVOUR OF THE ASSESSEE. IN VIE W OF MUTUALLY AGREED POSITION, RESPECTFULLY FOLLOWING THE ABOVE REFERRED TRIBUNAL ORDER IN ITA NO. 2771/MUM/2009 DATED 22.1.2010, WE DISMISS THIS APPEAL OF THE REVENUE. 3. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSE D. PRONOUNCED IN THE OPEN COURT ON 31.10.2011. SD/- (V.DURGA RAO) JUDICIAL MEMBER SD/- (J.SUDHAKAR REDDY) ACCOUNTANT MEMBER DATED : 31 ST OCTOBER, 2011. COPY TO : 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A)-CONCERNED. 4. THE CIT, CONCERNED. 5. THE DR CONCERNED, MUMBAI 6. GUARD FILE BY ORDER TRUE COPY ASSTT. REGISTRAR, ITAT, MUMBAI PS