POLYNOVA INDUSTRIES LTD, MUMBAI V. DCIT RG 10(1), MUMBAI

ITA 5526/MUM/2010

• Counselvise Citation: [2010] 135 COUNSELVISE.COM (IT) 3955 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-11-2010
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2006-2007
• Appeal Filed On: 08-07-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SU RENDRA KUMAR
• Section: 234B; 115JB

Judgement Text

1 ITA 5526/M/10, M/S POLYNOVA INDUSTRIES LTD. IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES SMC BEFORE SHRI P.M. JAGTAP, (A.M.) ITA NO. 5526/MUM/2010 ASSESSMENT YEAR 2006-07 M/S POLYNOVA INDUSTRIES LTD., 159, CST ROAD, KALINA, MUMBAI. 400 098. PAN AAACP 3071F VS. D.C.I.T. 10(1), AAYAKAR BHAWAN, M.K. ROAD, MUMBAI 20. APPELLANT RESPONDENT APPELLANT BY MS. VASANTI PATEL RESPONDENT BY SHRI SURENDRA KUMAR ORDER THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST TH E ORDER OF LD. CIT(A) 21, MUMBAI DATED 26.4.10 AND THE SOLITARY ISSUE ARISING OUT OF THE SAME RELATES TO THE INTEREST CHARGED BY THE A.O. U/S 234B AND 234C AND CONFIRMED BY THE LD. CIT(A) AS A RESULT OF NON- PAYMENT OF ADVANCE TAX BY THE ASSESSEE ON INCOME CO MPUTED ON THE BASIS OF BOOK PROFIT U/S 115JB. 2. I HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AND ALSO PERUSED THE RELEVANT MATERIAL ON RECORD. IT IS OBSERVED THAT THE ISSUE INVOLVED IN THIS APPEAL IS SQUARELY COVERED BY THE DECISION OF HONBLE BOMBAY HIGH COURT IN THE CASE O F CIT VS. NATURAL GEMS LTD. 327 ITR 269 (BOM) WHEREIN WHILE DISMISSING THE APPEAL, IT WAS HELD BY THEIR LORDSHIPS THAT THE TRIBUNAL WAS CORRECT IN LAW IN DIRECTING THE A. O. TO DELETE THE AMOUNT CHARGED AS INTEREST U/S 234B & 234C ON THE MINIMUM ALTERNATE T AX LEVIED U/S 115JB ON THE BOOK PROFIT. RESPECTFULLY FOLLOWING THE SAID DECISION O F THE HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF NATURAL GEMS LTD. (SUPRA), WE DELETE THE INTEREST CHARGED BY THE A.O. AND 2 ITA 5526/M/10, M/S POLYNOVA INDUSTRIES LTD. CONFIRMED BY THE LD. CIT(A) U/S 234B AND 234C ON TH E MINIMUM ALTERNATE TAX LEVIED U/S 115JB ON THE BOOK PROFIT AND ALLOW THIS APPEAL OF T HE ASSESSEE. 3. IN THE RESULT, APPEAL OF THE ASSESSEE IS AL LOWED. ORDER PRONOUNCED ON 4 TH NOVEMBER, 2010. SD/- (P.M. JAGTAP) ACCOUNTANT MEMBER MUMBAI, DATED 4 TH NOVEMBER , 2010. RK COPY TO 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 21 - MUMBAI 4. THE CIT- -M.C. X, MUMBAI 5. THE DR BENCH, SMC 6. MASTER FILE // TUE COPY// BY ORDER DY/ASSTT. REGISTRAR ITAT, MUMBAI 3 ITA 5526/M/10, M/S POLYNOVA INDUSTRIES LTD. DATE INITIALS 1. DRAFT DICTATED 19.10.10, 25.10.10 SR.P.S./P.S. 2. DRAFT PLACED BEFORE AUTHOR 22.10.10, 25.10.10 SR.P.S./P.S. 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER. - J.M./A.M. 4.DRAFT DISCUSSED/ APPROVED BY SECOND MEMBER. J.M./A.M. 5. APPROVED DRAFT COMES TO THE SR.P.S./P.S. SR.P.S./P.S. 6. KEPT FOR PRONOUNCEMENT ON SR.P.S./P.S. 7. FILE SENT TO THE BENCH CLERK SR.P.S./P.S. 8. DATE OF WHICH FILE GOES TO THE HEAD CLERK. 9. DATE OF DISPATCH OF ORDER.