Deputy Commissioner of Income Tax- 3(1), Indore V. M/s Madhya Pradesh Financial Corporation, Indore

ITA 625/Ind/2017

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 5116 (ITAT-INDORE)
• Duration Of Justice: 1 year(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-10-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2000-2001
• Appeal Filed On: 25-09-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ASHIMA GUPTA
• Assessee Lawyers: N D PATWA

Judgement Text

ITA NOS.625 TO 627 OF 2017 MPFC, INDORE 1 IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER ITA NOS. 625, 626 & 627/IND/2017 A.YS. 2000-01, 2001-02 & 2005-06 DCIT-3(1), INDORE :: APPELLANT VS M/S. MADHYA PRADESH FINANCIAL CORPORATION, INDORE PAN AADCM 6480 C :: RESPONDENT DEPARTMENT BY SMT. ASHIMA GUPTA, CIT ASSESSEES BY SHRI ASHISH GOYAL AND SHRI N.D. PATWA, ADVOCATES DATE OF HEARING 18.10.2018 DATE OF PRONOUNCEMENT 23.10.2018 O R D E R PER SHRI KUL BHARAT, JM THESE THREE APPEALS ARE FILED BY THE REVENUE AGAIN ST THE ORDERS OF LD. CIT(A)-I, INDORE DATED 15.6.2017. ITA NOS.625 & 626/IND/2017 (A.YS. 2000-01 & 2001-02 ) 2. BOTH THESE APPEALS ARE FILED BY THE REVENUE RAIS ING THE FOLLOWING COMMON GROUNDS: 1. WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CASE, LD. CIT(A) IS JUSTIFIED IN DIRECTING TO DELETE THE ADDI TIONS OF ITA NOS.625 TO 627 OF 2017 MPFC, INDORE 2 RS.4,48,44,418/- & RS.5,01,17,340/- FOR THE ASSESSM ENT YEARS 2000-01 & 2001-02, RESPECTIVELY, MADE BY THE ASSESSING OFFICER IN RESPECT OF REBATE, DECOMPOUNDI NG AND WAIVER OF INTEREST ETC. WITHOUT APPRECIATING FA CTS OF THE CASE IN TOTALITY. 2. WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CA SE, LD. CIT(A) WAS JUSTIFIED IN HOLDING THAT TAXATION AS PE R MAT PROVISIONS U/S 115JA/115JB WERE NOT APPLICABLE TO T HE ASSESSEE IN THE YEARS UNDER CONSIDERATION . 3. AT THE OUTSET OF THE HEARING, LD. COUNSEL FOR TH E ASSESSEE CONTENDED THAT THE ABOVE ISSUE IS SQUARELY COVERED BY THE DECISION OF ITAT, INDORE IN ASSESSEES OWN CASE VIDE ORDER DATE D 16.8.2016 WHICH WAS FOLLOWED BY THIS VERY BENCH IN ASSESSEES OWN C ASE VIDE ORDER DATED 26.7.2018 IN ITA NOS.50 & 144/IND/2017. LD. C IT/DR CONCEDED THE FACT THAT THE SAME ISSUE HAS BEEN DECIDED AGAIN ST THE REVENUE BY THE ITAT, INDORE. 4. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE O RDERS OF LOWER AUTHORITIES. WE FIND THAT ISSUE IS SQUARELY COVERED AGAINST THE REVENUE BY THE DECISION OF ITAT, INDORE IN ASSESSEES OWN C ASE VIDE ORDER DATED 16.8.2016 IN ITA NOS. 117 TO 119/IND/2016 & ORDER D ATED 26.7.2018 IN ITA NOS.50 & 144/IND/2017 (COPIES OF THE ORDERS ARE FILED BEFORE US). LD. CIT/DR COULD NOT CONTROVERT THIS FACT BY BRINGING A NY CONTRARY MATERIAL ON RECORD. THUS, THE ISSUE IS AGAINST THE REVENUE A ND BY FOLLOWING THE AFORESAID ORDERS OF THE ITAT, INDORE, WE CONFIRM TH E ORDERS OF THE LD. ITA NOS.625 TO 627 OF 2017 MPFC, INDORE 3 CIT(A) IN THE PRESENT ASSESSMENT YEARS. THUS, DEPA RTMENTAL APPEALS FOR BOTH THE ASSESSMENT YEARS ARE DISMISSED. ITA NOS.627/IND/2017 (A.Y. 2005-06) 5. THIS APPEAL IS FILED BY THE REVENUE RAISING THE FOLLOWING COMMON GROUNDS: 1. WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CASE, LD. CIT(A) IS JUSTIFIED IN DELETING THE ADDITION MADE B Y THE ASSESSING OFFICER UNDER NORMAL PROVISIONS OF ACT ON ACCOUNT OF INTEREST INCOME OF RS.14,84,685/- FOR TH E PERIOD PRIOR TO 31.3.1990 AND CLAIMED AS DEDUCTION EVEN WH EN THE ASSESSEE IS FOLLOWING CASH SYSTEM OF ACCOUNTING , THEREFORE HE SHOULD HAVE SHOWN THE INCOME WHICH HAS BEEN RECEIVED BY THE ASSESSEE DURING THE F.Y. 2004- 05. 2. WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CASE, LD. CIT(A) IS JUSTIFIED IN DIRECTING TO DELETE THE ADDI TION OF RS.45,45,91,163/- MADE BY THE ASSESSING OFFICER IN RESPECT OF REBATE, DECOMPOUNDING AND WAIVER OF INTE REST ETC. WITHOUT APPRECIATING FACTS OF THE CASE IN TOTA LITY. 3. WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CA SE, LD. CIT(A) WAS JUSTIFIED IN DELETING THE ADDITION MADE BY THE ASSESSING OFFICER ON ACCOUNT OF INTEREST INCOME OF RS.14,84,685/- WITHOUT APPRECIATING THE FACTUAL POS ITION OF THE ISSUE UNDER THE MAT PROVISIONS. 4. WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CA SE, LD. CIT(A) IS JUSTIFIED IN DELETING THE ADDITION MADE B Y THE ASSESSING OFFICER ON ACCOUNT OF REBATE, DECOMPOUNDI NG AND WAIVER OF INTEREST OF RS.45,45,91,163/- WITHOU T APPRECIATING THE FACTUAL POSITION OF THE ISSUE UNDE R THE MAT PROVISIONS. ITA NOS.625 TO 627 OF 2017 MPFC, INDORE 4 6 AT THE OUTSET OF THE HEARING, LD. COUNSEL FOR THE ASSESSEE CONTENDED THAT THE GROUND NO.1 IN RESPECT OF INTERE ST INCOME IS SQUARELY COVERED AGAINST THE REVENUE IN ASSESSEES OWN CASE BY THE DECISION OF JURISDICTIONAL HIGH COURT VIDE ORDER DATED 13.4.200 7 REPORTED IN (2008) 173 TAXMAN 44 (MP) WHICH WAS FOLLOWED BY THIS VERY BENCH IN ASSESSEES OWN CASE VIDE ORDER DATED 26.7.2018 IN I TA NOS.50 & 144/IND/2017. GROUND NO.2 IN RESPECT OF REBATE, DEC OMPOUNDING AND WAIVER OF INTEREST IS SQUARELY COVERED AGAINST THE REVENUE IN ASSESSEES OWN CASE BY THE DECISION OF ITAT, INDORE VIDE ORDER DATED 19.10.2006 IN ITA NOS.739 TO 743/IND/2005 WHICH WAS FOLLOWED BY T HIS VERY BENCH IN ASSESSEES OWN CASE VIDE ORDER DATED 26.7.2018 IN I TA NOS.50 & 144/IND/2017. AND GROUND NOS. 3 & 4 IN RESPECT OF A PPLICABILITY OF MAT IS ALSO SQUARELY COVERED BY THE DECISION OF ITAT, INDO RE IN ASSESSEES OWN CASE VIDE ORDER DATED 16.8.2016 WHICH WAS FOLLOWED BY THIS VERY BENCH IN ASSESSEES OWN CASE VIDE ORDER DATED 26.7.2018 I N ITA NOS.50 & 144/IND/2017. LD. CIT/DR CONCEDED THE FACT THAT THE SE GROUNDS HAVE BEEN DECIDED AGAINST THE REVENUE BY THE ITAT, INDOR E. 7. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE O RDERS OF LOWER AUTHORITIES. WE FIND THAT THE ABOVE ISSUES ARE SQUA RELY COVERED AGAINST THE REVENUE BY THE AFORESAID DECISIONS OF THE JURIS DICTIONAL HIGH COURT OR ITAT, INDORE, AS THE CASE MAY BE, IN ASSESSEES OWN CASE (COPIES OF ITA NOS.625 TO 627 OF 2017 MPFC, INDORE 5 THE ORDERS ARE FILED BEFORE US). LD. CIT/DR COULD N OT CONTROVERT THIS FACT BY BRINGING ANY CONTRARY MATERIAL ON RECORD. THUS, THE ISSUES ARE AGAINST THE REVENUE AND BY FOLLOWING THE AFORESAID ORDERS, WE CONFIRM THE ORDER OF THE LD. CIT(A) IN THE PRESENT ASSESSMENT YEAR. THUS, DEPARTMENTAL APPEAL FOR THIS YEAR TOO IS DISMISSED. 8. FINALLY, ALL THREE DEPARTMENTAL APPEALS ARE DISM ISSED. ORDER WAS PRONOUNCED IN THE OPEN COURT ON 23.10.201 8. SD/- ( MANISH BORAD) ACCOUNTANT MEMBER SD/- (KUL BHARAT) JUDICIAL MEMBER DATED : 23.10.2018 !VYAS! COPY TO: APPELLANT/RESPONDENT/CIT(A)/PR.CIT/DR, INDORE