ACIT, New Delhi V. M/s Sainik Mining & Allied Services Ltd, New Delhi

ITA 6879/DEL/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 3171 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 11 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-12-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2012-2013
• Appeal Filed On: 31-12-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Search and seizure; Document seized; Earning of tax free income; Documents seized
• Section: 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES B: DELHI BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER ITA.NO.6879/DEL./2015 ASSESSMENT YEAR 2012-2013 THE ACIT, CENTRAL CIRCLE - 17, ROOM NO.103, HALL NO.1, 1 ST FLOOR, ARA CENTRE, JHANDEWALAN EXTENSION NEW DELHI. VS., M/S. SAINIK MINING AND ALLIED SERVICES LTD., 129, TRANSPORT CENTRE, PUNJABI BAGH, NEW DELHI. PAN AAACS2791P (APPELLANT) (RESPONDENT) C.O.NO.131/DEL./2016 ARISING OUT OF ITA.NO.6879/DEL./2015 ASSESSMENT YEAR 2012-2013 M/S. SAINIK MINING AND ALLIED SERVICES LTD., 129, TRANSPORT CENTRE, PUNJABI BAGH, NEW DELHI. PAN AAACS2791P VS., THE ACIT, CENTRAL CIRCLE - 17, ROOM NO.103, HALL NO.1, 1 ST FLOOR, ARA CENTRE, JHANDEWALAN EXTENSION, NEW DELHI. (CROSS OBJECTOR) (RES PONDENT) 2 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. ITA.NO.6880/DEL./2015 ASSESSMENT YEAR 2013-2014 THE ACIT, CENTRAL CIRCLE - 17, ROOM NO.103, HALL NO.1, 1 ST FLOOR, ARA CENTRE, JHANDEWALAN EXTENSION NEW DELHI. VS., M/S. SAINIK MINING AND ALLIED SERVICES LTD., 129, TRANSPORT CENTRE, PUNJABI BAGH, NEW DELHI. PAN AAACS2791P (APPELLANT) (RESPONDENT) C.O.NO.132/DEL./2016 ARISING OUT OF ITA.NO.6880/DEL./2015 - ASSESSMENT YEAR 2013-2014 M/S. SAINIK MINING AND ALLIED SERVICES LTD., 129, TRANSPORT CENTRE, PUNJABI BAGH, NEW DELHI. PAN AAACS2791P VS., THE ACIT, CENTRAL CIRCLE - 17, ROOM NO.103, HALL NO.1, 1 ST FLOOR, ARA CENTRE, JHANDEWALAN EXTENSION NEW DELHI. (CROSS OBJECTOR) (RESPONDENT) FOR REVENUE : MS. RACHNA SINGH, CIT - D.R. FOR CROSS-OBJECTOR : SHRI SAJJAN KUMAR TULSIYAN, MS. NISHA RACHA, SHRI KARAN KUMAR, ADVOCATES. DATE OF HEARING : 30.11.2017 DATE OF PRONOUNCEMENT : 0 5 .1 2 .2017 3 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. ORDER PER BHAVNESH SAINI, J.M. THE DEPARTMENT APPEALS AS WELL AS CROSS OBJECTION S OF THE ASSESSEE ARE DIRECTED AGAINST THE COMMON ORD ER OF THE LD. CIT(A)-27, NEW DELHI, DATED 29 TH OCTOBER, 2015, FOR THE A.YS. 2012-2013 AND 2013-2014. 2. WE HAVE HEARD THE LEARNED REPRESENTATIVES OF BO TH THE PARTIES AND PERUSED THE MATERIAL ON RECORD. 3. THE ASSESSEE FILED BOTH THE CROSS-OBJECTIONS MA INLY IN SUPPORT OF THE ORDER OF THE LD. CIT(A). THE SAME ARE THEREFORE, DISMISSED. 4 BOTH THE DEPARTMENTAL APPEALS ARE DECIDED ISSUE- WISE AS UNDER. ISSUE NO.1 5. ON GROUNDS NO.1 AND 2, IN BOTH THE DEPARTMENTAL APPEALS, THE REVENUE HAS CHALLENGED THE DELETION OF ADDITION OF RS.37,57,442 AND RS.40,09,335 UNDER SECTION 14A REA D WITH 4 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. RULE 8D OF I.T. RULES, RESPECTIVELY IN BOTH THE YEA RS. THE A.O. NOTED THAT ASSESSEE-COMPANY HAS INVESTMENTS IN SHAR ES, THE INCOME OF WHICH I.E., DIVIDEND IS EXEMPT FROM TAX. THE ASSESSEE- COMPANY WAS SPECIFICALLY ASKED TO GIVE DETAILS OF T HE EXPENSES ATTRIBUTABLE FOR EARNING THIS INCOME AND ALSO TO QU ANTIFY THE DISALLOWANCE UNDER SECTION 14A READ WITH RULE 8D OF THE I.T. RULES. THE ASSESSEE-COMPANY SUBMITTED BEFORE A.O. T HAT ASSESSEE-COMPANY HAS NOT EARNED ANY DIVIDEND INCOME AND AS SUCH, QUESTION OF INCURRING OF EXPENDITURE DOES NOT ARISE. THE A.O. HOWEVER, NOTED THAT BY NOT EARNING OF INCOME D OES NOT MEAN NON-INCURRING OF EXPENSES. THERE MIGHT BE HUGE AMOUNT OF EXPENSES WHICH COULD NOT RESULT INTO EARNING OF INCOME. FURTHER, PRESENTLY, IT IS SETTLED LAW THAT RULE 8D IS APPLICABLE W.E.F. A.Y. 2008-09 IRRESPECTIVE OF EARNING INCOME. THE CBDT HAS ISSUED CIRCULAR ON THIS ISSUE IN FEBRUARY, 2014 I.E., CIRCULAR NO.5 DATED 11 TH FEBRUARY, 2014. THE ASSESSEE- COMPANY HAS NOT GIVEN ANY WORKING OF THE DISALLOWAN CES. THEREFORE, THE A.O. BY APPLYING RULE 8D OF I.T. RUL ES, MADE THE ABOVE DISALLOWANCE UNDER SECTION 14A OF THE I.T. AC T, 1961. 5 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. 5.1. BOTH THE ADDITIONS WERE CHALLENGED BEFORE LD. CIT(A). THE ASSESSEE-COMPANY REITERATED THE SUBMISSIONS MAD E BEFORE A.O. THAT ASSESSEE-COMPANY HAS NOT EARNED ANY DIVID END INCOME IN THE YEARS UNDER APPEAL. IN ADDITION TO TH E ABOVE, THE ASSESSEE-COMPANY RELIED UPON THE DECISION OF THE HO NBLE DELHI HIGH COURT IN THE CASE OF CHEMINVEST LTD., VS. CIT- VI, NEW DELHI 378 ITR 33 IN WHICH IT WAS HELD THAT SECTION 14A WILL NOT APPLY IF NO EXEMPT INCOME IS RECEIVED OR RECEIVABLE DURIN G THE RELEVANT PREVIOUS YEAR. 5.2. THE LD. CIT(A) CONSIDERING THE EXPLANATION OF ASSESSEE-COMPANY NOTED THAT SECTION 14A COMES INTO PLAY ONLY WHERE EXEMPT INCOME HAS BEEN EARED DURING THE RELEV ANT PERIOD. DURING THE ASSESSMENT YEARS UNDER APPEAL, T HE ASSESSEE -COMPANY HAD NOT EARNED ANY DIVIDEND INCOME. THEREF ORE, FOLLOWING THE DECISION OF THE HONBLE DELHI HIGH CO URT IN THE CASE OF CHEMINVEST LTD., VS. CIT-VI, NEW DELHI (SU PRA), BOTH THE ADDITIONS WERE DELETED BY THE LD. CIT(A). 6 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. 5.3. THE LD. D.R. RELIED UPON THE ORDER OF THE A.O . AND SUBMITTED THAT RULE 8D IS APPLICABLE TO ASSESSMENT YEARS UNDER APPEAL IRRESPECTIVE OF EARNING OF INCOME IN REFEREN CE. THE TAX STATUTE IS TO BE CONSIDERED STRICTLY. SECTION 14A(1 ) IS THE BASIC AND PRIMARY PROVISION, WHICH PROVIDES FOR DISALLOWA NCE OF AN EXPENDITURE INCURRED IN RELATION TO EXEMPT INCOME. THE A.O. HAS RIGHTLY DISALLOWED THE CLAIM OF EXPENDITURE PERTAIN ING TO EXEMPT INCOME WITHIN THE AMBIT OF LAW AND PROVISIONS OF IN COME TAX ACT. THE LD. D.R. ALSO FILED THE WRITTEN SUBMISSION S IN WHICH CERTAIN CASE LAW HAVE BEEN RELIED UPON. 5.4. ON THE OTHER HAND, THE LEARNED COUNSEL FOR TH E ASSESSEE, REITERATED THE SUBMISSIONS MADE BEFORE TH E AUTHORITIES BELOW AND SUBMITTED THAT IN A.YS. 2009- 10 TO 2011- 12 THE SAME ISSUE CAME UP FOR CONSIDERATION BEFORE ITAT, DELHI B BENCH IN ITA.NOS.6876 TO 6878/DEL./2015 DATED 1 5 TH SEPTEMBER, 2017, IN WHICH FOLLOWING THE DECISION OF HONBLE DELHI HIGH COURT IN THE CASE OF CHEMINVEST LTD., VS . CIT-VI, NEW DELHI (SUPRA), THE DEPARTMENTAL APPEALS WERE DISMI SSED. COPY 7 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. OF THE ORDER OF THE ITAT IS FILED. HE HAS SUBMITTED THAT THE ISSUE IS COVERED IN FAVOUR OF THE ASSESSEE-COMPANY. 6. AFTER CONSIDERING THE RIVAL CONTENTIONS, WE DO NOT FIND ANY MERIT IN THE DEPARTMENTAL APPEAL ON THIS ISSUE. IT IS NOT IN DISPUTE THAT ASSESSEE-COMPANY HAS NOT EARNED ANY DI VIDEND INCOME IN ASSESSMENT YEARS UNDER APPEAL. THE HONBL E DELHI HIGH COURT IN THE CASE OF CHEMINVEST LTD., VS. CIT- VI, NEW DELHI (SUPRA) HAS HELD THAT IF THERE IS NO EXEMPT INCOME, THERE CAN BE NO QUESTION OF MAKING ANY DISALLOWANCE UNDER SECTIO N 14A OF THE I.T. ACT. THE LD. CIT(A) HAS PASSED THE IMPUGNE D ORDER FOR A.YS. 2008-2009 TO 2013-2014 AND DELETED THE SIMILA R ADDITION. IN A.YS. 2009-2010 TO 2011-2012, THE DEPARTMENTAL A PPEAL HAS BEEN DISMISSED BY THE TRIBUNAL VIDE ORDER DATED 15 TH SEPTEMBER, 2017. THE TRIBUNAL FOLLOWING THE DECISIO N OF THE HONBLE DELHI HIGH COURT IN THE CASE OF CHEMINVEST LTD., VS. CIT-VI, NEW DELHI (SUPRA) AND FINDING THAT THERE IS NO EXEMPT INCOME EARNED BY THE ASSESSEE-COMPANY, DISMISSED TH E DEPARTMENTAL APPEALS. THE ISSUE IS COVERED IN FAVOU R OF THE 8 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. ASSESSEE BY THE ORDER OF THE ITAT AS WELL AS JUDGME NT OF THE HONBLE DELHI HIGH COURT IN THE CASE OF CHEMINVEST LTD., VS. CIT-VI, NEW DELHI (SUPRA). THE CONTENTION OF THE LD . D.R. THEREFORE, REJECTED. GROUNDS NO.1 AND 2 OF APPEALS OF THE REVENUE IN BOTH THE APPEALS ARE DISMISSED. ISSUE NO .1 IS DECIDED AGAINST THE REVENUE. ISSUE NO.2 7. IN A.Y. 2012-2013, THE REVENUE ON GROUND NO.3 CHALLENGED THE DELETION OF ADDITION OF RS.69,61,660 MADE ON THE BASIS OF THE SEIZED MATERIAL. IN THIS CASE, SEARCH AND SEIZURE OPERATION WAS CONDUCTED ON 12 TH APRIL, 2012. DURING THE COURSE OF ASSESSMENT PROCEEDINGS, ASSESSEE-COMPANY WAS ASK ED TO EXPLAIN THE PAYMENT MENTIONED AT PAGES 18 AND 19 OF THE SEIZED PAPER A-1. THE ASSESSEE-COMPANY SUBMITTED BEFORE A. O. THAT FINANCIAL JOTTINGS AT PAGES 18 AND 19 OF ANNEXURE-A 1 AMOUNTING TO RS.69,61,660 REPRESENTS DRAFT STATEMENTS OF BILL DETAILS, DEDUCTION THEREFROM AND FUND PLANNING FOR THE MONTH OF MARCH, 2012 OF RANCHI BRANCH OFFICE OF SMASL (ASSESSEE). T HE 9 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. FINANCIAL IMPLICATION OF THE SAME WERE ALREADY TAKE N IN F.Y. 2011-2012 IN THE BOOKS OF ACCOUNT OF THE ASSESSEE-C OMPANY. COPY OF THE BANK STATEMENT REFLECTING RECEIPT OF RS .68,00,540 WAS FILED BEFORE A.O. HOWEVER, THE A.O. WAS NOT SAT ISFIED WITH THE EXPLANATION OF ASSESSEE-COMPANY AND NOTED THAT THE SEIZED DOCUMENT REVEAL THAT DOCUMENT IS ON LOOSE SHEET, CO NTAINS CERTAIN CALCULATIONS, PARTLY WRITTEN BY PEN AND PAR TLY BY PENCIL. THE ASSESSEE-COMPANY HAS ADMITTED OWNERSHIP OF THE DOCUMENT, BUT DID NOT EXPLAIN THE FIGURES AND OCCAS ION AND THE PURPOSE OF RECORDING THESE FIGURES. THE EXPLANATION OF ASSESSEE- COMPANY CANNOT BE ACCEPTED IN THE ABSENCE OF SUPPOR TING DOCUMENTS. IN THE ABSENCE OF EXPLANATION OF ASSESSE E-COMPANY, THE A.O. WAS OF THE VIEW THAT THE SEIZED DOCUMENTS REMAIN UNEXPLAINED. FURTHER, THE SEIZED DOCUMENT CONTAIN N AMES OF THREE PERSONS, WHILE THE AMOUNT RECEIVED IS THROUGH A SINGLE RTGS. THE A.O. ACCORDINGLY MADE THE ADDITION. THE A SSESSEE- COMPANY FILED WRITTEN SUBMISSIONS BEFORE LD. CIT(A) WHICH IS REPRODUCED IN THE APPELLATE ORDER IN WHICH THE ASSE SSEE- COMPANY BRIEFLY EXPLAINED THAT SEIZED PAPER SHOWS T HE AMOUNT 10 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. OF THE WORK DONE OF RS.57,21,735.60 AND SERVICE TAX OF RS.12,39,934. THE GROSS TOTAL OF WHICH IS RS.69,61, 669.60. CENTRAL COAL FIELD LTD., PAID RS.68,00,564 AFTER DE DUCTING RS.1,61,105 ON ACCOUNT OF STATUTORY DUES OF TDS ETC ., THIS AMOUNT OF RS.68,00,564 WAS RECEIVED IN ICICI BANK L TD., BY ASSESSEE-COMPANY ON 7 TH MARCH, 2012 THROUGH RTGS. THE COPY OF THE BANK STATEMENT WAS ALSO FILED. THE ASSESSEE- COMPANY ALSO FILED COPY OF THE ACCOUNTS. IT WAS SUBMITTED T HAT THE PLANNING CAN BE RECORDED AT ANY TIME. IT WAS ALSO E XPLAINED THAT AFTER RECEIPT OF THE AMOUNT IN QUESTION FROM CENTRA L COAL FIELD LTD., THE ASSESSEE-COMPANY HAS MADE PAYMENTS TO THR EE PERSONS WHICH ARE MENTIONED IN THE SEIZED PAPER FOR THE DIESEL SUPPLIED AND WORK DONE BY THEM. COPIES OF THE ACCOU NTS WERE ALSO FILED. ALL THE ENTRIES ARE REFLECTED IN THE BO OKS OF ACCOUNT. IT WAS, THEREFORE, SUBMITTED THAT ADDITION MAY BE D ELETED. THE LD. CIT(A) CONSIDERING THE EXPLANATION OF ASSESSEE- COMPANY FOUND THAT ENTRIES IN THE SEIZED DOCUMENT DULY REFL ECTED IN THE BOOKS OF ACCOUNT OF THE ASSESSEE-COMPANY AND ACCORD INGLY, DELETED THE ADDITION. 11 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. 7.1. THE LD. D.R. RELIED UPON THE ORDER OF THE A.O . AND SUBMITTED THAT NO SUPPORTING DOCUMENTS WERE FILED B EFORE A.O. LD. D.R. RELIED UPON THE DECISION OF THE HONBLE SU PREME COURT IN THE CASE OF KESHAV MILLS & CO., 56 ITR 365 AND S UBMITTED THAT THE MATTER MAY BE REMANDED TO THE LD. CIT(A) F OR RECONSIDERATION. 7.2. ON THE OTHER HAND, LEARNED COUNSEL FOR THE AS SESSEE REITERATED THE SUBMISSIONS MADE BEFORE AUTHORITIES BELOW AND REFERRED TO PAPER BOOK WHICH IS SEIZED DOCUMENT, PB -3 BANK STATEMENT TO SHOW THAT ENTRY IN THE SEIZED DOCUMENT HAVE BEEN EXPLAINED. 8. AFTER CONSIDERING THE RIVAL CONTENTIONS, WE DO NOT FIND ANY MERIT IN THE DEPARTMENTAL APPEAL. WHATEVER ENTR IES ARE REFERRED TO IN THE SEIZED DOCUMENT, HAVE BEEN DULY EXPLAINED BY ASSESSEE-COMPANY BEFORE THE AUTHORITIES BELOW AND A LL THE ENTRIES IN THE SEIZED DOCUMENT ARE REFLECTED IN THE BOOKS OF ACCOUNT. THE PAYMENTS RECEIVED FROM CENTRAL COAL FI ELD LTD., HAVE BEEN MENTIONED IN THE BANK ACCOUNT OF THE ASSE SSEE- 12 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. COMPANY AND PAYMENTS MENTIONED IN THE SEIZED DOCUME NTS HAVE BEEN MADE TO THE THREE PARTIES. THE LD. CIT(A) THEREFORE, ON PROPER APPRECIATION OF ALL THE SEIZED DOCUMENTS IN REFERENCE TO THE BOOKS OF ACCOUNT, CORRECTLY DELETED THE ADDI TION. THERE IS NO MERIT IN GROUND NO.3 OF APPEAL OF THE REVENUE. G ROUND NO.3 IS ACCORDINGLY DISMISSED. ISSUE NO.2 IS DECIDED AGA INST THE REVENUE. ISSUE NO. 3 : 9. IN A.Y. 2013-2014, ON GROUND NO.3 THE REVENUE CHALLENGED THE DELETION OF ADDITION OF RS.2,97,784 ON ACCOUNT OF UNEXPLAINED CASH FOUND DURING SEARCH. THE A.O. ASKE D THE ASSESSEE-COMPANY TO EXPLAIN SOURCE OF THE CASH. THE ASSESSEE- COMPANY SUBMITTED THAT DURING THE COURSE OF SEARCH PROCEEDINGS, CASH AMOUNTING TO RS.6,47,000 WAS FOUN D. THIS AMOUNT PERTAINS TO 03 COMPANIES I.E., ASSESSEE, SAI NIK FINANCE & INDUSTRIES LIMITED (SFIL) AND M.P. SAINIK COAL MI NING PRIVATE LIMITED (MPSCMPL). COPY OF THE CASH BOOK AND CONFIR MATIONS WERE FILED. THE A.O. WAS NOT SATISFIED WITH THE EXP LANATION OF 13 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. ASSESSEE-COMPANY BECAUSE CASH OF RS.6,47,000 WAS FO UND FROM GURGAON OFFICE OF THE ASSESSEE-COMPANY AND AS PER C ASH BOOK, BALANCE IS AVAILABLE OF RS.3,49,216 ONLY. OTHER GRO UP COMPANIES ARE HAVING THEIR OFFICE AT DELHI AND BHOP AL. THEREFORE, EXPLANATION OF ASSESSEE-COMPANY WERE REJ ECTED. THE A.O. ACCORDINGLY, MADE ADDITION OF RS.2,97,783. 9.1. THE WRITTEN SUBMISSIONS OF THE ASSESSEE-COMPA NY WERE REPRODUCED IN THE APPELLATE ORDER IN WHICH THE ASSESSEE- COMPANY BRIEFLY EXPLAINED THAT CONFIRMATION OF ALL THE GROUP COMPANIES WERE FILED TO EXPLAIN THE AVAILABILITY OF THE CASH. IT WAS SUBMITTED THAT IN GURGAON OFFICE ALL GROUP COMP ANIES HAVE THEIR CORPORATE OFFICE. THEREFORE, CASH IS EXPLAINE D THROUGH THE CONFIRMATION AND BOOKS OF ACCOUNT OF THE GROUP COMP ANIES. THE LD. CIT(A) ACCEPTED THE EXPLANATION OF ASSESSEE-COM PANY AND DELETED THE ADDITION. 10. AFTER CONSIDERING THE RIVAL CONTENTIONS, WE DO NOT FIND ANY MERIT IN THIS GROUND OF APPEAL OF THE REVENUE. THE ASSESSEE -COMPANY EXPLAINED THE AVAILABILITY OF THE CASH FOU ND DURING 14 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. THE COURSE OF SEARCH AS AVAILABLE TO THE ASSESSEE-C OMPANY AND THE GROUP COMPANIES AT THE TIME OF SEARCH WHICH WER E DULY REFLECTED IN THE BOOKS OF ACCOUNT, CONFIRMATION OF THE AVAILABILITY OF THE CASH WERE FILED, WHICH SUPPORTS THE EXPLANAT ION OF ASSESSEE-COMPANY. NO MATERIAL HAS BEEN BROUGHT ON R ECORD TO DISLODGE THE FINDINGS OF FACT RECORDED BY THE LD. C IT(A). GROUND NO.3 OF APPEAL OF REVENUE FOR THE A.Y. 2013-2014 IS DISMISSED. THIS ISSUE IS DECIDED AGAINST THE REVENUE. 11. IN THE RESULT, BOTH THE APPEALS OF REVENUE ARE DISMISSED. 12. TO SUM-UP, APPEALS OF THE REVENUE AND CROSS- OBJECTIONS OF THE ASSESSEE-COMPANY ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- (PRASHANT MAHARISHI) (BHAVNESH SAINI) ACCOUNTANT MEMBER JUDICIAL MEMBER DELHI, DATED 05 TH DECEMBER, 2017 VBP/- 15 ITA.NOS.6879 & 6880/D/2015 & COS.131 & 132/D/2016 M/S. SAINIK MINING & ALLIED SERVICES LTD., NEW DELH I. COPY TO 1. THE APPELLANT 2. THE RESPONDENT 3. CIT(A) CONCERNED 4. CIT CONCERNED 5. D.R. ITAT B BENCH 6. GUARD FILE //BY ORDER// ASST. REGISTRAR : ITAT : DELHI BENCHES : DELHI.