DCIT 8(1), MUMBAI V. AVIK PHARMACEUTICALS LTD, MUMBAI

ITA 787/MUM/2012

• Counselvise Citation: [2013] 140 COUNSELVISE.COM (IT) 72011 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 10 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-12-2013
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 31-12-2013
• Assessment Year: 2003-2004
• Appeal Filed On: 06-02-2012
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: M L PERUMAL
• Assessee Lawyers: PREETI LADHA
• Section: 43B

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, MUMBAI . . , !'#$ , % & BEFORE SHRI B.R. MITTAL, JM AND SHRI N.K. BILLAIYA, AM ./ I.T.A. NO.787/MUM/2012 ( ' ' ' ' / ASSESSMENT YEAR : 2003-04 THE JOINT COMMISSIONER OF INCOME TAX (OSD), RANGE-8(1), AAYAKAR BHAVAN, MUMBAI-400 020 / VS. M/S. AVIK PHARMACEUTICALS LTD., 194, ARVIND CHAMBERS, GOURI STUDIO COMPOUND, WESTERN EXPRESS HIGHWAY, ANDHERI (E), MUMBAI-400 069 ( % ./ )* ./ PAN/GIR NO. : AAACA 5490R ( (+ / APPELLANT ) .. ( ,-(+ / RESPONDENT ) (+ . / APPELLANT BY: SHRI M.L. PERUMAL , -(+ / . / RESPONDENT BY : PREETI LADHA / 01% / DATE OF HEARING : 31.12.2013 23' / 01% / DATE OF PRONOUNCEMENT : 31.12.2013 4 / O R D E R PER N.K. BILLAIYA, AM: THIS APPEAL BY THE REVENUE IS PREFERRED AGAINST THE ORDER OF THE LD. CIT(A)-16, MUMBAI DT.1.11.2011 PERTAINING TO A.Y. 2003-04. 2. THE REVENUES GRIEVANCE READS AS UNDER: ITA NO. 787/M/12 2 ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) ERRED IN ALLOWING THE INTEREST EXPENDITU RE OF RS. 19,28,230/- DISALLOWED BY THE AO IN ACCORDANCE WITH THE PROVISIONS OF SEC. 43B OF THE ACT AND AS PER THE DI RECTION OF THE HONBLE ITAT IN PARA-7 OF ITS ORDER DT. 24.2.20 09, WHEREIN THE IMPUGNED INTEREST HAS BEEN CLEARLY HELD TO BE COVERED WITHIN SEC. 43B OF THE ACT BY THE HONBLE I TAT. 3. A PERUSAL OF THE RECORD SHOW THAT THE TRIBUNAL H AS DECIDED THE APPEAL OF THE REVENUE FOR A.Y. 2003-04 VIDE ITA NO. 5587/M/07. SUBSEQUENT TO THAT APPEAL, THE ASSESSEE HAD MOVED M ISCELLANEOUS APPLICATION FOR THE MODIFICATION OF THE ORDER OF TH E TRIBUNAL (SUPRA). THE TRIBUNAL ALLOWING THE MISCELLANEOUS APPLICATION OF THE ASSESSEE IN M.A. NO. 56/M/2013 HAS HELD AS UNDER: CONSEQUENTLY, WE MODIFY THE IMPUGNED ORDER AND HEL D THAT TO THE EXTENT THAT THE AMOUNT OF INTEREST AGGREGATI NG TO RS. 19,98,320/- DOES NOT ATTRACT THE PROVISIONS OF SEC. 43B AND THE AO IS DIRECTED TO ALLOW THIS INTEREST AFTER VER IFYING THE NATURE OF INTEREST PAID TO THE BANK. 4. IN THE PRESENT APPEAL, THE REVENUE HAS CHALLENGE D THE ALLOWABILITY OF INTEREST OF RS. 19,98,230/- WHICH ISSUE HAS BEEN DECIDED BY THE TRIBUNAL IN ITA NO. 5587/M/07 READ WITH M.A. NO. 56 /M/13. WE, THEREFORE, DIRECT THE AO TO FOLLOW THE DIRECTIONS O F THE TRIBUNAL GIVEN IN ITA NO. 5587/M/07 R.W. M.A. NO. 56/M/13. ITA NO. 787/M/12 3 5. IN THE RESULT, THE APPEAL FILED BY THE REVENUE I S ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT ON 31.12.2013 . 4 / 3' % 5 67 31.12..2013 3 / 8 SD/- SD/- (B.R. MITTAL ) (N.K. BILLAIYA) /JUDICIAL MEMBER % / ACCOUNTANT MEMBER MUMBAI; 6 DATED 31.12.2013 . . ./ RJ , SR. PS 4 4 4 4 / // / ,0! ,0! ,0! ,0! 9!'0 9!'0 9!'0 9!'0 / COPY OF THE ORDER FORWARDED TO : 1. (+ / THE APPELLANT 2. ,-(+ / THE RESPONDENT. 3. : ( ) / THE CIT(A)- 4. : / CIT 5. !;8 ,0 , , / DR, ITAT, MUMBAI 6. 8< = / GUARD FILE. 4 4 4 4 / BY ORDER, -!0 ,0 //TRUE COPY// > >> > / ? ? ? ? ) ) ) ) (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI