DCIT CEN CIR 4(1), MUMBAI V. HIMANSHU B. KANAKIA, MUMBAI

ITA 5521/MUM/2016

• Counselvise Citation: [2018] 121 COUNSELVISE.COM (IT) 7494 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 7 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-04-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: Not Allotted
• Assessment Year: 2012-2013
• Appeal Filed On: 09-09-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ARJU GARODIA
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH J, MUMBAI BEFORE SHRI G.S. PANNU, ACCOUNTANT MEMBER AND SHRI RAM LAL NEGI , JUDICIAL MEMBER ITA NO. 5521/MUM/2016 : A.Y : 2012 - 13 DCIT, CENTRAL CIRCLE - 4(1), MUMBAI (APPELLANT) VS. SHRI HIMANSHU B. KANAKIA 10 TH FLOOR, 215, ATRIUM, B WING, A.K. ROAD, ANDHERI (E), MUMBAI 400 056. PAN : AASPK5262C (RESPONDENT) APPELLANT BY : MS. ARJU GARODIA RESPONDENT BY : SHRI ANUJ KISNADWALA DATE OF HEARING : 09/04/2018 DATE OF PRONOUNCEMENT : 11 /04/2018 O R D E R PER G.S. PANNU , AM : THE CAPTIONED APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF CIT(A) - 52 , MUMBAI DATED 20.06.2016 , PERTAINING TO THE ASSESSMENT YEAR 2012 - 13 , WHICH IN TURN HAS ARISEN FROM THE ORDER DATED 27.02.2015 PASSED BY THE A SSESSING OFFICER, MUMBAI UNDER SECTION 143(3) OF THE INCOME TAX ACT, 1961 (IN SHORT THE ACT). 2. IN ITS APPEAL, REVENUE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL : - 2 ITA NO. 5521/MUM/2016 SHRI HIMANSHU B. KANAKIA 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) ERRED IN HOLDING THAT THERE EXISTED A NEXUS BETWEEN THE INTEREST EXPENSE AND INTEREST INCOME SOLELY ON THE BASIS OF THE BANK STATEMENTS? 2. THE APPELLANT CRAVES TO LEAVE, TO ADD, TO AMEND AND/OR TO ALTER ANY OF GROUNDS OF APPEAL, IF NEED BE. THE APPELLANT, THEREFORE, PRAYS THAT ON THE GROUND STATED ABOVE, THE ORDER OF THE CIT(A) - 52, MUMBAI MAY BE SET ASIDE AND THAT OF THE ASSESSING OFFICER RESTORED. 3. THE SOLITARY DISPUTE INVOLVED IN THIS APPEAL RELATES TO THE ACTION OF CIT(A) IN DELETING THE DISALLOWANCE MADE BY THE ASSESSING OFFICER ON ACCOUNT OF DEDUCTION CLAIMED BY ASSESSEE U/S 57(III) OF THE ACT. 4. AT THE TIME OF HEARING, THE LEARNED REPRESENTATIVE FOR THE ASSESSEE POINTED OUT THAT THE ISSUE IN DISPUTE IS COVERED IN FAVOUR OF THE ASSESSEE BY THE DEC ISION OF THE TRIBUNAL IN ASSESSEES OWN CASE FOR ASSESSMENT YEAR 2011 - 12 VIDE ORDER DATED 16.03.2016 WHEREBY THE TRIBUNAL HAS UPHELD THE DECISION OF THE CIT(A) ALLOWING THE ASSESSEES CLAIM OF DEDUCTION U/S 57(III) OF THE ACT. THE LEARNED REPRESENTATIVE F URTHER SUBMITTED THAT, IN VIEW OF THE ABOVE, THE CIT(A) MADE NO MISTAKE IN ALLOWING THE CLAIM OF THE ASSESSEE. 5. THE LD. DR APPEARING FOR THE REVENUE DID NOT OBJECT TO THE FACTUAL MATRIX BROUGHT OUT BY THE LEARNED REPRESENTATIVE. 6. HAVING CONSIDERED TH E RIVAL SUBMISSIONS, IN OUR VIEW, THE ORDER OF CIT(A) DOES NOT REQUIRE ANY INTERFERENCE INASMUCH AS THE CIT(A) HAS FOLLOWED HIS OWN DECISION DATED 18.02.2014 IN THE ASSESSEES CASE FOR ASSESSMENT 3 ITA NO. 5521/MUM/2016 SHRI HIMANSHU B. KANAKIA YEAR 2011 - 12, WHICH HAS BEEN UPHELD BY THE TRIBUNAL VIDE ITS ORDER DATED 16.03.2016 (SUPRA). THUS, THE REVENUE FAILS IN ITS APPEAL. 7. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 1 1 T H APRIL, 2018. SD/ - SD/ - (RAM LAL NEGI) JUDICIAL MEMBER (G.S. PANNU) ACCOUNTANT MEMBER MUMBAI, DATE : 1 1 T H APRIL, 2018 *SSL* COPY TO : 1) THE APPELLANT 2) THE RESPONDENT 3) THE CIT(A) CONCERNED 4) THE CIT CONCERNED 5) THE D.R, J BENCH, MUMBAI 6) GUARD FILE BY ORDER DY./ASSTT. REGISTRAR I.T.A.T, MUMBAI