DCIT CC 3(1) CEN RG 3, MUMBAI V. WIND WORLD WIND FARMS (KRISHNA) LTD, MUMBAI

ITA 6833/MUM/2016

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 1124 (ITAT-MUMBAI)
• Duration Of Justice: 5 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-05-2017
• Appeal Filed By: Department
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Appeal Filed On: 21-11-2016
• Court: TRIBUNAL
• Department Lawyers: SUNIL JHA
• Assessee Lawyers: A K GHOSH
• Section: 143(3); 153A; 14A

Judgement Text

THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, MUMBAI BEFORE SHRI B.R. BASKARAN (AM) I.T.A. NO. 683 8 /MUM/ 201 6 (ASSESSMENT YEAR 20 1 0 - 1 1 ) I.T.A. NO. 6833/MUM/2016 (ASSESSMENT YEAR 201 1 - 12 ) DCIT CC - 3(1) CENTRAL RANGE - 3 ROOM NO. 1913/1924 19 TH FLOOR AIR INDIA BUILDING NARIMAN POINT MUMBAI - 400021. VS. M/S.WIND WORLD WIND FARMS (KRISHNA) LTD. A - 9, ENERCON TOWER VEERA DESAI ROAD VEERA INDUSTRIAL ESTATE, ANDHERI WEST MUMBAI - 400 053. ( APPELLANT ) ( RESPONDENT ) PAN NO . AAACE3529M ASSESSEE BY SHRI A.K. G HOSH DEPARTMENT BY SHRI SUNIL JHA DATE OF HEARING 4 . 5. 201 7 DATE OF PRONOUNCEMENT 4 .5 . 201 7 O R D E R BOTH THE APPEALS HAVE BEEN FILED BY THE REVENUE CHALLENGING THE ORDERS PASSED BY LD CIT(A) - 51, MUMBAI AND THEY RELATE TO THE ASSESSMENT YEAR 2010 - 11 & 2011 - 12. THE SOLITARY ISSUE URGED BY THE REVENUE IN BOTH THE YEARS UNDER CONSIDERATION IS WHETHER THE LD CIT(A) WAS JUSTIFIED IN HOLDING THAT THE ADDITION MADE BY THE ASSESSING OFFICER IS LIABLE TO BE DELETED AS THE SAME WAS NOT BASED ON ANY INC RIMINATING MATERIAL FOUND DURING THE COURSE OF SEARCH. 2. THE ASSESSEE IS ENGAGED IN THE BUSINESS OF PRODUCTION OF ELECTRICITY THROUGH WIND MILLS. THE PRESENT ASSESSMENTS WERE COMPLETED U/S 153A R.W.S. 143(3) OF THE ACT CONSEQUENT TO SEARCH OPERATIONS CONDUCTED ON 14.3.2013. HENCE BOTH THE YEARS FALL UNDER THE CATEGORY OF UNABATED ASSESSMENTS AS PER THE PROVISIONS OF SEC. 153A OF THE ACT. THE AO MADE DISALLOWANCE U/S 14A OF THE ACT IN THESE 153A ASSESSMENTS AND THERE IS NO DISPUTE THAT THE SAME IS NOT M/S. WIND WORLD WIND FARMS (KRISHNA) LTD. 2 BASED ON ANY INCRIMINATING MATERIAL FOUND DURING THE COURSE OF SEARCH. THE LD CIT(A) HELD THAT THE ABOVE SAID ADDITION MADE IN BOTH THE YEARS IS NOT SUSTAINABLE , AS THE PRESENT ASSESS MENT YEAR S ARE UNABATED ASSESSMENT YEAR S AND NO INCRIMINATING MATER IAL WARRANTING THE IMPUGNED ADDITIONS WAS FOUND DURING THE COURSE OF SEARCH. THE LD CIT(A) FOLLOWED THE DECISION RENDERED BY HONBLE JURISDICTIONAL BOMBAY HIGH COURT IN THE CASE OF CONTINENTAL WAREHOUSING/ALL CARGO LOGISTICS LTD (374 ITR 645) IN THIS REGA RD. ACCORDINGLY THE LD CIT(A) DELETED THE ADDITIONS MADE BY THE AO IN BOTH THE YEARS UNDER CONSIDERATION. AGGRIEVED, THE REVENUE HAS FILED THESE APPEALS. 3. I HEARD THE PARTIES AND PERUSED THE RECORD. THERE IS NO DISPUTE WITH REGARD TO THE FACT THAT THE REVENUE DID NOT UNEARTH ANY INCRIMINATING MATERIAL CONCERNING THE DISALLOWANCE MADE BY THE AO U/S 14A OF THE ACT IN BOTH THE YEARS. I FURTHER NOTICE THAT THE LD CIT(A) HAS FOLLOWED THE BINDING DECISION RENDERED BY THE HONBLE JURISDICTIONAL BOMBAY HIG H COURT. HENCE I DO NOT FIND ANY REASON TO INTERFERE WITH HIS ORDER. 4. IN THE RESULT, BOTH THE APPEALS OF THE REVENUE ARE DISMISSED. ORDER HAS BE EN PRONOUNCED IN THE COURT ON 4 . 5 . 201 7. SD/ - (B.R.BASKARAN) ACCOUNTANT MEMBER MUMBAI ; DATED : 4 / 5 / 20 1 7 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 4. CIT 5. DR, ITAT, MUMBAI M/S. WIND WORLD WIND FARMS (KRISHNA) LTD. 3 6. GUARD FILE. BY ORDER , //TRUE COPY// ( DY./ASSTT. REGISTRAR) PS ITAT, MUMBAI