DCIT, Tiruppur V. Anand Hosieries, Tiruppur

ITA 598/CHNY/2014

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 6164 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-05-2014
• Appeal Filed By: Department
• Bench Allotted: B
• Next Hearing Date: 22-05-2014
• Assessment Year: 2010-2011
• Appeal Filed On: 11-03-2014
• Court: TRIBUNAL
• Department Lawyers: GURU BHASHYAM

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, C HENNAI . . . , !' , # $! % BEFORE DR. O.K. NARAYANAN, VICE PRESIDENT & SHRI VIKAS AWASTHY, JUDICIAL MEMBER . / I.T.A. NO.598/MDS/2014 / ASSESSMENT YEAR : 2010-11 THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-I, 121, 60 FEET ROAD, TIRUPUR-641 602 ( '& /APPELLANT) VS M/S.ANAND HOSIERIES, 505A, AVINASHI ROAD, TIRUPUR-641 603 [PAN: AADFA 8025 A] ( '('& /RESPONDENT) REVENUE BY : SHRI GURU BHASHYAM, ASSESSEE BY : NONE / DATE OF HEARING : 22-05-2014 / DATE OF PRONOUNCEMENT : 22-05-2014 $) / O R D E R PER VIKAS AWASTHY, J.M: THE APPEAL HAS BEEN FILED BY THE REVENUE AGAINST TH E ORDER OF THE COMMISSIONER OF INCOME TAX(APPEALS)-II, COIM BATORE DATED 23-12-2013 RELEVANT TO THE ASSESSMENT YEAR (AY) 201 0-11. I.T.A. NO. 598/MDS/2014 2 2. THE ASSESSEE-FIRM IS IN THE BUSINESS OF MANUFACT URING OF HOSIERY GARMENTS AND WIND MILL POWER GENERATION. T HE ASSESSEE FILED ITS RETURN OF INCOME FOR THE AY.2010-11 ON 30 -09-2010 DECLARING ITS TOTAL INCOME AS ` 50,16,260/-. IN ITS RETURN OF INCOME, THE ASSESSEE HAD CLAIMED DEDUCTION OF ` 29,31,891/- U/S.80IA OF THE INCOME TAX ACT, 1961 (HEREIN AFTER REFERRED TO AS THE ACT). IN SCRUTINY ASSESSMENT, THE ASSESSING OFFICER VIDE ORD ER DT.10-12- 2012, DIS-ALLOWED THE DEDUCTION U/S.80IA ON THE ISS UE OF INITIAL AY. AGGRIEVED AGAINST THE ASSESSMENT ORDER, THE ASSESS EE PREFERRED AN APPEAL BEFORE THE CIT(APPEALS). THE C IT(APPEALS), VIDE IMPUGNED ORDER ALLOWED THE AFOREMENTIONED DEDU CTION BY FOLLOWING THE JUDGMENT OF THE HONBLE MADRAS HIGH C OURT IN THE CASE OF SRI VELAYUDHASWAMY SPINNING MILLS P. LTD., REPORTED AS 231 CTR (MDS) 368. NOW, THE REVENUE HAS COME IN APPEAL ASSAILING THE ORDER OF CIT(APPEALS). 3. THE LD.DR VEHEMENTLY OPPOSED THE ORDER OF THE CIT(APPEALS) AND PRAYED FOR THE RESTORATION OF THE ORDER OF ASSESSING OFFICER. 4. WE FIND THAT THE ISSUE WHETHER INITIAL ASSESSMEN T YEAR MEANS THE YEAR OF COMMENCEMENT OR THE YEAR OF INITI AL CLAIM OF I.T.A. NO. 598/MDS/2014 3 DEDUCTION, HAS ALREADY BEEN ADJUDICATED BY THE HON BLE MADRAS HIGH COURT IN THE CASE OF SRI VELAYUDHASWAMY SPINNING MILLS P. LTD., (SUPRA). WE DO NOT FIND ANY ERROR IN THE ORDER OF THE FIRST APPELLATE AUTHORITY. ACCORDINGLY, THE APPEAL OF TH E REVENUE IS DISMISSED BEING DEVOID OF MERIT. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF H EARING ON THURSDAY, THE 22 ND MAY, 2014 AT CHENNAI. SD/- SD/- ( . . . ) ( !' ) (DR. O.K. NARAYANAN) (VIKAS AWAS THY) / VICE PRESIDENT ! / JUDICIAL MEMBER '# /CHENNAI, $ /DATED: 22 ND MAY, 2014 TNMM #% & '( )#( /COPY TO: 1. *+ /APPELLANT 2. &,*+ /RESPONDENT 3. - () /CIT(A) 4. - /CIT 5. (01 & 2 /DR 6. 13 4 /GF