I.T.O 16(2)(2), MUMBAI V. LALIT P. SHAH(HUF), MUMBAI

ITA 6528/MUM/2013

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 2397 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 8 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-07-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 07-10-2015
• Assessment Year: 2009-2010
• Appeal Filed On: 07-11-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: R S CHOKSI
• Keywords: Tax effect
• Section: 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES A, MUMBAI BEFORE SHRI G.S.PANNU (AM) AND SHRI RAM LAL NEGI (J M) ITA NO 6528/MUM/2013 ASSESSMENT YEAR: 2009-10 THE ITO 1 6 (2)(2), 2 ND FLOOR, ROOM NO. 214, MATRU MANDIR, TARDEO ROAD, MUMBAI- 400 007. VS. M/S. LALIT P. SHAH (HUF), B-2, 27-B, AMALFI, L.D. RUPAREL MARG, MALABAR HILL, MUMBAI- 400 006. PAN:- AABFM7783R (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI. JAVED AKHTAR. RESPONDENT BY : SHRI . R.S. CHOKSI. DATE OF HEARING: 2 2 /07/ 2016 DATE OF PRONOUNCEMENT: 22/07/20 16 O R D E R PER RAM LAL NEGI, JM THE PRESENT APPEAL HAS BEEN FILED BY THE REVEN UE AGAINST ORDER DATED 13/08/2013 PASSED BY THE LD. CIT(APPEALS)-27 MUMBAI FOR THE ASST. YEAR 2009-10. 2. THE REVENUE HAS CHALLENGED THE IMPUGNED ORDER O N THE FOLLOWING EFFECTIVE GROUNDS OF APPEAL:- 1. WHETHER ON FACTS AND CIRCUMSTANCES OF THE CASE A ND IN LAW, LD CIT(A) HAS ERRED IN DELETING THE DISALLOWANCE U/S 1 4A READ WITH RULE 8D OF THE ACT OF RS. 18,70,271/- 2 ITA NO 6528/MUM/2013 ASSESSMENT YEAR: 2009-10 2. WHETHER ON FACTS AND CIRCUMSTANCES OF THE CASE A ND IN LAW, LD CIT(A) HAS ERRED IN DELETING THE DISALLOWANCE U/S 1 4A READ WITH RULE 8D OF THE ACT OF RS. 18,70,271/- AND RESTRICTING TH E SAME TO DIVIDEND EARNED AT RS. 2,57,193/- IN CONTRAVENTION OF U/S 14A? 3. THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THA T THE TAX EFFECT IN THIS CASE IS BELOW RS.10,00,000/- AS THE TOTAL DISALLOWANCE MADE BY THE AO U/S 14A READ WITH RULE 8D OF THE INCOME TAX RULES 1962 IS RS. 18 ,70,271/-. HENCE, AS PER THE CBDT CIRCULAR NO. 21 OF 2015, DATED 10/12/2015, THE PRESENT APPEAL IS NOT MAINTAINABLE. 4. THE LD. DR FAIRLY ADMITTED THAT THE TAX EFFECT I N DEPARTMENTS APPEAL IS BELOW RS.10 LAKHS, WE FIND THAT THE ISSUE RAISED IN APPEAL DOES NOT FALL UNDER ANY OF THE EXCEPTIONS SPECIFIED IN PARA 8 OF THE C IRCULAR. SINCE, IT HAS BEEN SPECIFICALLY CLARIFIED IN THE CIRCULAR AFORESAID TH AT THE INSTRUCTION WILL APPLY RETROSPECTIVELY TO ALL THE PENDING APPEALS; THE PRE SENT APPEAL FILED BY THE REVENUE IS NOT MAINTAINABLE. WE, THEREFORE, DISMIS S THE SAME IN LIMINE . ORDER PRONOUNCED IN THE OPEN COURT ON 22 ND JULY, 2016 SD/- SD/- ( G.S.PANNU ) ( RAM LAL NEGI ) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI; DATED: 22/07/2016 3 ITA NO 6528/MUM/2013 ASSESSMENT YEAR: 2009-10 / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. ( ) / THE CIT(A)- 4. / CIT 5. !' , $ !'% , / DR, ITAT, MUMBAI 6. &' ( / GUARD FILE. / BY ORDER, ) //TRUE COPY// / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI PRAMILA