SILVER TEXTILE MILLS, MUMBAI V. D.C.I.T. CIR.14(2), MUMBAI

ITA 7362/MUM/2012

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 100911 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 8 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-09-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 03-09-2014
• Assessment Year: 2009-2010
• Appeal Filed On: 12-12-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: A K LAL
• Keywords: Notional interest

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL E BENCH, MUMBAI BEFORE SHRI N.K . BILLAIYA, ACCOUNTANT MEMBER AND RAM L AL NEGI, JUDICIAL MEMBER / I .T.A. NO. 7362/MUM/2012 ( / ASSESSMENT YEAR : 2009 - 10 M/S. SILVER TEXTILE MILLS, 30, BHANGWADI SHOPPING CENTRE, KALBADEVI ROAD, MUMBAI - 400 002 / VS. THE DCIT, CIR 14(2), EARNEST HOUSE, 3 RD FLOOR, NARIMAN POINT, MUMBAI - 400 021 ./ ./ PAN/GIR NO. : AACFS 3390M ( / APPELLANT ) .. ( / RESPONDENT ) / APPELLANT BY: SHRI A.K. LAL / RESPONDENT BY: SHRI AJAY MODI / DATE OF HEARING : 0 7 .0 9 .2015 / DATE OF PRONOUNCEMENT : 0 7 .0 9 .2015 / O R D E R PER N.K. BILLAIYA, AM: THIS APPEAL BY THE ASSESSEE IS PREFERRED AGAINST THE ORDER OF THE LD. CIT(A) - 6, MUMBAI D ATED . 6.7.2012 PERTAINING TO ASSESSMENT YEAR 200 9 - 1 0. 2. THE SUM AND SUBSTANCE OF THE GRIEVANCE OF THE ASSESSEE IS THAT THE LD. CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS. 10,46,877/ - BEING NOTIONAL INTEREST ON THE INTEREST FREE SECURITY DEPOSIT RECEIVED FOR RENTI NG OF PROPERTY. 3. THE APPEAL IS LATE BY 33 DAYS. THE ASSESSEE HAS REQUESTED FOR THE CONDONATION OF THE DELAY IN FILING OF THE APPEAL WHICH IS ITA. NO. 7362/M/2012 2 SUPPORTED BY AN AFFIDAVIT. AFTER CONSIDERING THE FACTS STATED IN THE AFFIDAVIT, WE ARE OF THE CONSIDERED OPI NION THAT THE ASSESSEE WAS PREVENTED BY REASONABLE AND SUFFICIENT CAUSE IN NOT FILING THE APPEAL ON TIME. THE DELAY IS ACCORDINGLY CONDONED. 4. COMING TO THE MERIT OF THE CASE , WE FIND THAT AN IDENTICAL ISSUE WAS CONSIDERED BY THE TRIBUNAL IN A.Y. 2008 - 09 IN ASSESSEES OWN CASE IN ITA NO. 8148/MUM/2011. I DENTICAL FACTS WERE CONSIDERED BY THE TRIBUNAL AT PARA - 4 OF ITS ORDER AND AT PARA - 5, THE TRIBUNAL CONSIDERED THE DECISION OF THE CO - ORDINATE BENCH IN THE CASE OF DCIT VS RECLAMATION REALITY INDIA PVT. L TD. IN ITA NOS. 1411 TO 1413/M/2007. RELIANCE WAS ALSO PLACED ON THE DECISION OF THE HONBLE HIGH COURT OF BOMBAY IN THE CASE OF J.K. INVESTORS 248 ITR 723 AND FINALLY AT PARA - 6, THE TRIBUNAL DIRECTED THE AO TO DELETE THE IMPUGNED ADDITIONS. 5. AS NO DI STINGUISHING DECISION HAS BEEN BROUGHT ON RECORD BY THE LD. DR IN FAVOUR OF THE REVENUE, RESPECTFULLY FOLLOWING THE DECISION OF THE TRIBUNAL IN ASSESSEES OWN CASE, WE SET ASIDE THE ORDER OF THE LD. CIT(A) AND DIRECT THE AO TO DELETE THE ADDITION OF RS. 10 ,46,877/ - . 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF HEARING ON 7 TH SEPTEMBER , 2015 SD/ - SD/ - ( RAM L AL NEGI ) (N.K. BILLAIYA) /JUDICIAL MEMBER / ACCOUNTANT MEMBER MUMBAI ; DATED : 7 TH SEPTEMBER , 2015 . . ./ RJ , SR. PS ITA. NO. 7362/M/2012 3 / 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