KESLA Poultry Sahakari my., Sukhtawa V. ACIT , Circle , Itarsk

ITA 655/Ind/2017

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 9058 (ITAT-INDORE)
• Duration Of Justice: 1 year(s) 11 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-09-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 13-08-2019
• Assessment Year: 2014-2015
• Appeal Filed On: 09-10-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: K G GOYAL
• Keywords: Set aside

Judgement Text

[ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] , , IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER ITA NOS.654&655/IND/2017 ASSESSMENT YEAR: 2013-14 & 2014-15 KESLA PO ULTRY SAHAKARI MARYADIT PRADAN CAMPUS SUKHTAWA ITARSI TEHSIL, DIST. HOSHANGABAD (M.P.) / VS. ACIT CIRCLE ITARSI(M.P.) ( APPELLANT ) ( REVENUE ) P.A. NO. AAAAK2388N APPELLANT BY SHRI HITESH CHIMNANI, A.R. RESPONDENT BY SHRI K.G. GOYAL, SR. D.R. DATE OF HEARING: 13.08.2019 DATE OF PRONOUNCEMENT: 27.09.2019 / O R D E R PER KUL BHARAT, J.M: THESE TWO APPEALS BY THE ASSESSEE ARE DIRECTED AGAINST COMMON ORDER OF THE CIT(A)-1, BHOPAL DATED 11.8.2017 FOR THE ASSESSMENT YEARS 2013-14 & 2014-15. SINCE THE ISSUES ARE SAME AND GROUNDS ARE IDENTICAL, THE APPEALS [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 2 WERE TAKEN UP TOGETHER AND ARE BEING DISPOSED OF BY WA Y OF THIS CONSOLIDATED ORDER. FIRST WE TAKE UP ITA NO.654/IND/2017. IN THIS APPEAL, THE ASSESSEE HAS RAISE D FOLLOWING GROUNDS OF APPEAL: 1. THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE A PPELLANTS CASE AND IN LAW, THE LD. CIT(A) ERRED IN CONFIRMING THE DISA LLOWANCE OF RS.11,68,222/- MADE BY THE LD. A.P. U/S 80P(2)(VI) AS CLAIMED BY THE APPELLANT IN ITS RETURN OF TOTAL INCOME. 2. WITHOUT PREJUDICE TO ABOVE, THE LD. CIT(A) FAILED T O DECIDE AND CONSIDER THE ALTERNATE CLAIM OF DEDUCTION U/S 80P(2)(A)(III) OF THE INCOME TAX ACT AS CLAIMED BY THE APPELLANT SOCIETY. 2. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE IS A COOPERATIVE SOCIETY WHICH IS ENGAGED IN THE BUSINESS OF POULTRY FARMING. DURING THE COURSE OF SCRUTINY PROCEEDINGS, THE A.O. OBSERVED THAT THE ASSESSEE HAD CLAIMED DEDUCTION OF RS.11,68,222/- U/S 80P(2)(A)(VI) OF THE INCOME TAX ACT, 1961 (HEREINAFTER CALLED AS THE ACT) . THE A.O. ON SCRUTINY, DISALLOWED THE CLAIM OF DEDUCTION U /S 80P(2)(A)(VI) OF THE ACT. AGGRIEVED AGAINST THIS, THE ASSESSEE APPEARED BEFORE THE LD. CIT(A), WHO AFTER CONSIDERING THE SUBMISSIONS OF THE ASSESSEE CONFIRMED THE ORDER OF T HE A.O. BY OBSERVING AS UNDER: [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 3 [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 4 3. AGGRIEVED AGAINST THIS ORDER, THE ASSESSEE IS BE FORE THIS TRIBUNAL. LD. COUNSEL FOR THE ASSESSEE SUBMITTED A WRITTEN SY NOPSIS WHICH IS REPRODUCED AS UNDER: [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 5 [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 6 [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 7 [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 8 [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 9 [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 10 4. THE LD. D.R. OPPOSED THESE SUBMISSIONS AND RELIED ON THE ORDER OF THE LD. CIT(A). 5. WE HAVE HEARD THE RIVAL SUBMISSIONS, PERUSED THE MATERIALS AVAILABLE ON RECORD AND GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. THE CONTENTION OF THE LD . COUNSEL FOR THE ASSESSEE IS THAT THE A.O. OUGHT TO HA VE ALLOWED DEDUCTION. IT IS STATED THAT ASSESSEE IS A CO- OPERATIVE SOCIETY ENGAGED IN THE COLLECTIVE DISPOSAL O F LABOUR AND ALSO ENGAGED IN PROVIDING MARKETING OF AGRICULTURAL PRODUCE GROWN BY ITS MEMBERS. IT IS [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 11 CONTENDED THAT THE AUTHORITIES BELOW HAVE NOT CONSIDER ED THE SUBMISSIONS IN RIGHT PERSPECTIVE. LD. COUNSEL SUBMITTED THAT IF THE ASSESSEE WAS NOT ELIGIBLE FOR ON E CLAUSE, IT WOULD CERTAINLY ELIGIBLE FOR ANOTHER CLAUSE OF THE SAME SECTION. IT IS INCUMBENT UPON THE ASSESSING OFF ICER TO PROVIDE DEDUCTION, IF IT IS AVAILABLE. 6. WE HAVE CONSIDERED THE SUBMISSIONS OF THE ASSESSEE . FACTS ON RECORD SUGGEST THAT THE SUBMISSIONS OF THE ASSESSEE OUGHT TO HAVE BEEN CONSIDERED BY THE AUTHORIT IES BELOW. WE THEREFORE, SET ASIDE THE IMPUGNED ORDER O F THE LD. CIT(A) AND RESTORE THE ISSUE TO THE FILE OF THE A.O. TO DECIDE AFTER CONSIDERING ALL THE SUBMISSIONS OF THE AS SESSEE AND VERIFYING ITS CLAIM. THE GROUNDS RAISED IN THE APP EAL ARE ALLOWED FOR STATISTICAL PURPOSES. [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 12 7. NOW WE TAKE UP ASSESSEES APPEAL IN ITA NO.655/IND/2017 FOR THE A.Y. 2014-15. THE ASSESSEE HAS RAISED FOLLOWING GROUNDS OF APPEAL: 1. THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE A PPELLANTS CASE AND IN LAW, THE LD. CIT(A) ERRED IN CONFIRMING THE DISALLO WANCE OF RS.15,63,594/- MADE BY THE LD. A.O. U/S 80P(2)(A)(VI) AS CLAIMED B Y THE APPELLANT IN ITS RETURN OF TOTAL INCOME. 2. WITHOUT PREJUDICE TO ABOVE, THE LD. CIT(A) FAILED T O DECIDE AND CONSIDER THE ALTERNATE CLAIM OF DEDUCTION U/S 80P(2)(A)(III) OF THE INCOME TAX ACT AS CLAIMED BY THE APPELLANT SOCIETY. 8. AT THE OUTSET, LD. COUNSEL FOR THE ASSESSEE HAS SUBMITTED THAT THE FACTS ARE IDENTICAL AS WERE IN THE ASSESSMENT YEAR 2013-14. HE SUBMITTED THAT THE FACTS A RE SIMILAR EXCEPT THE FIGURE. LD. D.R. ALSO ADOPTED THE SAME ARGUMENT AS WERE IN ITA NO.654/IND/2017 FOR THE A.Y. 2013-14. 9. WE HAVE HEARD THE LD. REPRESENTATIVES OF THE PARTIES AND PERUSED THE MATERIALS ON RECORD. THE FACTS ARE IDENTICAL AS WERE IN ITA NO.654/IND/2017, WHEREIN WE HAVE DECIDED THE ISSUE OF ALLOWANCE OF DEDUCTION, WHER EIN [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 13 WE HAVE RESTORED THE ISSUE OF ALLOWANCE OF DEDUCTION U /S 80P(2) OF THE ACT FOR DECISION AFRESH TO THE A.O. BY OBSERVING AS UNDER: 5. WE HAVE HEARD THE RIVAL SUBMISSIONS, PERUSED TH E MATERIALS AVAILABLE ON RECORD AND GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. THE CONTENTION OF THE LD. COUNSEL FOR THE ASSESSEE IS THAT THE A.O. OUGHT TO HAVE ALLOWED DEDUCTION. IT IS ST ATED THAT ASSESSEE IS A CO-OPERATIVE SOCIETY ENGAGED IN THE COLLECTIVE DISPOSAL OF LABOUR AND ALSO ENGAGED IN PROVIDING MARKETING OF AGRICULT URAL PRODUCE GROWN BY ITS MEMBERS. IT IS CONTENDED THAT THE AUT HORITIES BELOW HAVE NOT CONSIDERED THE SUBMISSIONS IN RIGHT PERSPE CTIVE. LD. COUNSEL SUBMITTED THAT IF THE ASSESSEE WAS NOT ELIG IBLE FOR ONE CLAUSE, IT WOULD CERTAINLY ELIGIBLE FOR ANOTHER CLA USE OF THE SAME SECTION. IT IS INCUMBENT UPON THE ASSESSING OFFICE R TO PROVIDE DEDUCTION IF IT IS AVAILABLE. 6. WE HAVE CONSIDERED THESE SUBMISSIONS OF THE ASSE SSEE. FACTS ON RECORD SUGGEST THAT THE SUBMISSIONS OF THE ASSES SEE OUGHT TO HAVE BEEN CONSIDERED BY THE AUTHORITIES BELOW. WE THEREFORE, SET ASIDE THE IMPUGNED ORDER OF THE LD. CIT(A) AND REST ORE THE ISSUE TO THE FILE OF THE A.O. TO DECIDE AFTER CONSIDERING AL L THE SUBMISSIONS OF THE ASSESSEE AND VERIFYING ITS CLAIM. THE GROUNDS RAISED IN THE APPEAL ARE ALLOWED FOR STATISTICAL PURPOSES. 10. TAKING A CONSISTENT VIEW, THE ISSUE IN THIS YEAR IS ALSO RESTORED TO THE FILE OF THE A.O. FOR TAKING DECISION AFRESH. [ITA NOS.654&655/IND/2017] [KESLA POULTRY SAHAKARI MARYADIT PRADAN CAMPUS, SKH TAWA] 14 11. IN THE RESULT, THE APPEALS FILED BY THE ASSESSEE A RE ALLOWED FOR STATISTICAL PURPOSES. ORDER WAS PRONOUNCED IN THE OPEN COURT ON 27 . 09.2019. SD/- (MANISH BORAD) SD/- (KUL BHARAT) A CCOUNTANT MEMBER JUDICIAL MEMBER INDORE; DATED : 27/09/2019 VG/SPS COPY TO: ASSESSEE/AO/PR. CIT/ CIT (A)/ITAT (DR)/GUAR D FILE. BY ORDER ASSISTANT REGISTRAR, INDORE