Kirloskar Preumatic Co.Ltd, Pune V. Deputy Commissioner of Income-tax, Circle - 14, Pune

ITA 748/PUN/2022

AI Insights

The case involves M/s. Kirloskar Pneumatic Company Limited, the appellant, contesting an order from the CIT(A), National Faceless Appeal Centre, Delhi, for the assessment year 2018-19. The primary issue was the disallowance of certain expenses under Section 14A of the Income Tax Act, which the Assessing Officer had made in relation to exempt income. The appellant argued that they were not given an adequate opportunity to present their case before the CIT(A). However, the Tribunal found that the CIT(A) had indeed considered the appellant's submissions and upheld the disallowance. The second ground raised by the appellant was deemed infructuous following a giving effect order by the AO.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 132933 (ITAT-PUNE)
• Duration Of Justice: 3 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-01-2023
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 17-01-2023
• Assessment Year: 2018-2019
• Appeal Filed On: 16-10-2022
• Laws Referred To: Income Tax Act
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Earning of tax free income; Rule 8D
• Section: 14A

Judgement Text

आयकर अपीलीय अधिकरण “ए” न्यायपीठ पुणे में । IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER आयकर अपील सं. / ITA No.748/PUN/2022 धििाारण वर्ा / Assessment Year : 2018-19 M/s. Kirloskar Pneumatic Company Limited, Hadapsar Industrial Estate, Pune-Solapur Road, Hadapsar, Pune – 411013 PAN : AAACK2479C ......अपीलार्थी / Appellant बिाम / V/s. The Income Tax Officer, Circle – 7, Pune ......प्रत्यर्थी / Respondent Assessee by : Shri C.H. Naniwadekar Revenue by : Shri Ramnath P. Murkunde सुनवाई की तारीख / Date of Hearing : 18-01-2023 घोषणा की तारीख / Date of Pronouncement : 19-01-2023 आदेश / ORDER PER S.S. VISWANETHRA RAVI, JM : This appeal by the assessee against the order dated 25-08-2022 passed by the CIT(A), National Faceless Appeal Centre (“NFAC”), Delhi for assessment year 2018-19. 2. Ground No. 1 raised by the assessee challenging the action of CIT(A) in confirming the disallowance made by the AO u/s. 14A of the Act. 3. The main contention raised by the assessee relating to ground No. 1 is that there was no opportunity for the assessee to make submissions in 2 ITA No.748/PUN/2022, A.Y. 2018-19 support of grounds raised before the CIT(A), NFAC, Delhi. On perusal of the impugned order, we note that the CIT(A) discussed the said issue in Para 6.3 to 6.3.2 at page 10 of the impugned order. We find the NFAC, Delhi considered the submissions of assessee and upheld the order of AO in making disallowance under Rule 8D(2)(iii) in relation to exempt income. There was no occasion where the assessee has not been given any proper opportunity for hearing by the CIT(A). Therefore, we find no infirmity in the order of CIT(A) and it is justified. Thus, ground No. 1 raised by the assessee is dismissed. 4. The ld. AR submits that issued raised in ground No. 2 has become infructuous in view of giving effect order passed by the AO. Thus, ground No. 2 raised by the assessee is dismissed as infructuous. 5. In the result, the appeal of assessee is dismissed. Order pronounced in the open court on 19 th January, 2023. Sd/- Sd/- (R.S. Syal) (S.S. Viswanethra Ravi) VICE PRESIDENT JUDICIAL MEMBER पुणे / Pune; दिनाांक / Dated : 19 th January, 2023. रदव आदेश की प्रधिधलधप अग्रेधर्ि / Copy of the Order forwarded to : 1. अपीलार्थी / The Appellant. 2. प्रत्यर्थी / The Respondent. 3. The CIT(A) concerned. 4. The Pr. CIT concerned. 5. दवभागीय प्रदतदनदि, आयकर अपीलीय अदिकरण, “ए” बेंच, पुणे / DR, ITAT, “A” Bench, Pune. 6. गार्ड फ़ाइल / Guard File. //सत्यादपत प्रदत// True Copy// आिेशानुसार / BY ORDER, वररष्ठ दनजी सदचव / Sr. Private Secretary आयकर अपीलीय अदिकरण ,पुणे / ITAT, Pune