ITO, Kota V. KOTA KARMCHARI SAHAKARI SAMITI LTD., Kota

ITA 736/JPR/2014

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 99572 (ITAT-JAIPUR)
• Duration Of Justice: 1 year(s) 1 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-12-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2010-2011
• Appeal Filed On: 31-10-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAJINDER SINGH
• Assessee Lawyers: P C PARWAL CA DHK
• Keywords: Tax effect

Judgement Text

ITA NO. 736/JP/2014 THE ITO, WARD- 2(1) KOTA VS. KOTA KARAMCHARI SAHAKARI SAMITI LTD., KOTA 1 VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES, JAIPUR JH VKJ-IH-RKSYKUH] U;KF;D LNL; ,OA JH FOE FLAG ;KN O] YS[KK LNL; DS LE{K BEFORE:SHRI R.P.TOLANI, JM & SHRI VIKRAM SINGH YADA V, AM VK;DJ VIHY LA-@ ITA NO. 736/JP/2014 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2010-11 THE ITO WARD- 2(1) KOTA CUKE VS. M/S. KOTA KARAMCHARI SAHAKARI SAMITI LTD. CHHOTA TALAB, SUBJIMANDI KOTA LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO .: AAATK 8003 B VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT JKTLO DH VKSJ LS@ REVENUE BY : SHRI RAJINDER SINGH, JCIT -DR FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY : SHRI P.C. PARWAL, CA LQUOKBZ DH RKJH[K@ DATE OF HEARING : 17/12/2015 ?KKS'K .KK DH RKJH[K@ DATE OF PRONOUNCEMENT : 18/12/2015 VKNS'K@ ORDER PER R.P. TOLANI, JM:- THE REVENUE HAS FILED AN APPEAL AGAINST THE ORDER OF THE LD. CIT(A), KOTA DATED 14-08-2014 FOR THE ASSESSMENT YEAR 2010 -11 WHEREIN FOLLOWING GROUND HAS BEEN RAISED BY THE REVENUE. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE , THE LD. CIT(A) HAS ERRED:- (I) ALLOWING INTEREST EXPENSES OF RS. 22,84,139/- CLAIMED BY ASSESSEE SINCE THE ASSESSEE HAD FAILED T O PROVE THAT ITA NO. 736/JP/2014 THE ITO, WARD- 2(1) KOTA VS. KOTA KARAMCHARI SAHAKARI SAMITI LTD., KOTA 2 THESE EXPENSES WERE INCURRED TO EARN INTEREST OF RS . 23,70,698/- FROM BANK FDRS AND POST OFFICE DEPOSIT. 2.1 WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIALS AVAILABLE ON RECORD. IT IS OBSERVED THAT THE DEMAN D/ TAX EFFECT IN THE REVENUE APPEAL IN QUESTION IS TO THE TUNE OF RS. 7, 77,730/-. UNDER THE POWERS VESTED BY SEC. 268A(1) OF THE I T ACT, CBDT HAS RECENTLY ISSUED CIRCULARNO.21 OF 2015 DATED 10.12.2015(F NO. 279/MI SC. 142/2007-ITJ(PT) INSTRUCTING THE AUTHORITIES BELOW DEPARTMENTAL APPEAL SHOULD NOT BE FILED BEFORE ITAT WHERE THE DE MAND/TAX EFFECT DOES NOT EXCEED LESS THAN RS.10 LACS. THE CI RCULAR IS SPECIFICALLY MENTIONED TO BE APPLICABLE FOR ALL PENDING APPEALS. 2.2 SUBJECT TO SOME EXCEPTIONS, IT IS FURTHER DIRE CTED BY CBDT THAT ALL THE DEPARTMENTAL APPEALS PENDING BEFORE ITAT WHERE THE DEMAND/TAX EFFECT IS LESS THAN 10 LACS SHOULD BE EITHER WITHDRAWN OR NOT PRESSED BY THE DEPARTMENTAL REPRESENTATIVES. 2.3 THE PRESENT APPEAL IS NOT COVERED BY ANY EXCEP TIONS MENTIONED IN THE SAID CBDT CIRCULAR. SINCE THE TAX DEMAND IN DISPUTE IN THIS DEPARTMENTAL APPEAL IS BELOW THE LIMIT SET OUT BY CBDT FOR THE A PPEAL THE SAME IS NOT ITA NO. 736/JP/2014 THE ITO, WARD- 2(1) KOTA VS. KOTA KARAMCHARI SAHAKARI SAMITI LTD., KOTA 3 MAINTAINABLE IN VIEW OF FORE GOINGS. ACCORDINGLY TH E APPEAL OF THE DEPARTMENT IS DISMISSED AS NOT PRESSED/WITHDRAWN. 3.0 IN THE RESULT, APPEAL OF REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 18/12/2 015. SD/- SD/- FOE FLAG ;KNO VKJ-IH-RKSYKUH (VIKRAM SINGH YADAV) (R.P.TOLANI) YS[KK LNL;@ ACCOUNTANT MEMBER U;KF;D LNL;@ JUDICIAL MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 18/12/ 2015 *MISHRA VKNS'K DH IZFRFYFI VXZSFKR@ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ@ THE APPELLANT- THE ITO, WARD- 2(1), KOTA 2. IZR;FKHZ@ THE RESPONDENT-KOTA KARAMCHARI SAHAKARI SAMITI LTD. , KOTA 3. VK;DJ VK;QDRVIHY ) @ CIT(A) 4. VK;DJ VK;QDR@ CIT 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K] T;IQJ@ DR, ITAT, JAIPUR 6. XKMZ QKBZY@ GUARD FILE (ITA NO.736/JP/2014) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ@ ASSISTANT. REGISTRAR