Dy. Commissioner of Income Tax , Circle-2(1), Hyderabad V. Inventa Industries Private Limited , Hyderabad

ITA 90/Hyd/2020

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 2744 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 4 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-06-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB-B
• Assessment Year: 2016-2017
• Appeal Filed On: 24-01-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NARAYANA MURTHY
• Section: 22

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES B : HYDERABAD (THROUGH VIDEO CONFERENCE) BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER AND SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER I.T.A. NO. 90/HYD/2020 & C.O.NO.06/HYD/2020 (ARISING IN ITA NO.90/H/2020) ASSESSMENT YEAR: 2016-17 DY. COMMISSIONER OF INCOME TAX, CIRCLE-2(1), HYDERABAD VS M/S.INVENTAA INDUSTRIES PRIVATE LIMITED, HYDERABAD [PAN: AAACI4539B] (APPELLANT) (RESPONDENT/CROSS - OBJECTOR) FOR REVENUE : SHRI NARAYANA MURTHY, DR FOR ASSESSEE : SHRI S.RAMA RAO, AR DATE OF HEARING : 13-05-2021 DATE OF PRONOUNCEMENT : 22-06-2021 O R D E R PER S.S.GODARA, J.M. : THIS REVENUES APPEAL ITA NO.90/HYD/2020 AND ASSESSEES CROSS OBJECTIONS NO.06/HYD/2020 FOR AY.2 016-17 ARISE FROM THE CIT(A)-2, HYDERABADS ORDER DATED 06-1 1-2019 PASSED IN CASE NO.10200/2018-19/CIT(A)-2, IN PROCEE DINGS U/S.143(3) OF THE INCOME TAX ACT, 1961 [IN SHORT, THE ACT]. HEARD BOTH THE PARTIES. CASE FILES PERUSED. 2. COMING TO THE REVENUES APPEAL ITA NO.90/HYD/2020 RAISING THE SOLE SUBSTANTIVE GROUND THAT THE CIT(A) HAS ERRED ITA NO. 90/HYD/2020 C.O.NO.06/HYD/2020 :- 2 -: IN LAW AND ON FACTS HOLDING THE ASSESSEES INCOME OF RS.12,46,16,453/- DERIVED FROM MUSHROOM PRODUCTION A S AGRICULTURAL AND THEREFORE EXEMPT U/S.10(1) OF THE ACT, BOTH THE LEARNED LOWER REPRESENTATIVES FAIRLY ADMITTED THAT THIS TRIBUNALS SPECIAL BENCHS DECISION IN TAXPAYERS OWN CASE REPORTED AS [2018] 95 TAXMANN.COM 162 (HYDERABAD - TR IB.) (SB) (FOR AYS.2008-09 ONWARDS) HAS DECIDED THE SAME AGAINST THE DEPARTMENT. WE THUS ADOPT JUDICIAL CONSISTENCY AND UPHOLD THE CIT(A)S FINDINGS UNDER CHALLENGE FOR THIS REASON ALONE. ITS MAIN APPEAL ITA NO.90/HYD/2020 FAILS THE REFORE. 3. NEXT COMES THE ASSESSEES CROSS OBJECTION NO.06/HYD/2020 RAISING ITS SOLE SUBSTANTIVE GRIEVANCE THAT BOTH THE LOWER AUTHORITIES HAVE ERRED IN LAW AND ON FAC TS IN DISALLOWING CORPORATE SOCIAL RESPONSIBILITY CLAIM OF RS.1,52,32,000/- U/S.28 R.W.S.37 OF THE ACT. 4. LEARNED AUTHORISED REPRESENTATIVE STATED AT THE BAR THA T THE ASSESSEE DOES NOT WISH TO PRESS FOR THE INSTANT CROS S OBJECTION AS IT IS AVAILING SETTLEMENT BENEFIT UNDER THE DIRECT TAX VIVAD SE VISWAS SCHEME-2020 BY FILING FORM NOS .1 & 2 TO THIS EFFECT. 5. THE ASSESSEES SOLE IDENTICAL PLEA IN THIS CASE TH EREFORE IS THAT SINCE THE DEPARTMENT IS YET TO FINALISE ITS SETTLEMENT PLEAS, THIS CROSS OBJECTION MAY NOT BE DISMISSED AS WITHDRAWN AS ON DATE. WE FIND NO MERIT IN ASSESSEES ABOVE STATED CONTEN TION PER SE. THE FACT REMAINS THAT IT HAS FILED FOR SETTLEMENT BENEFI T AND THEREFORE, NO PURPOSE WOULD BE SERVED IF THIS APP EAL IS KEPT PENDING. WE DISMISS THE SAME AS WITHDRAWN AND FU RTHER MAKE IT CLEAR THAT IT SHALL BE OPEN FOR THE ASSESSEE TO F ILE FOR ITA NO. 90/HYD/2020 C.O.NO.06/HYD/2020 :- 3 -: REVIVAL OF ITS CROSS OBJECTION IF THE ABOVE SETTLEMENT B ENEFIT IS DENIED TO IT FOR TECHNICAL REASONS. ORDERED ACCORDINGL Y. 6. THIS REVENUES APPEAL ITA NO.90/HYD/2020 IS DISM ISSED AND ASSESSEES CROSS OBJECTION NO.06/HYD/2020 IS DI SMISSED AS WITHDRAWN IN ABOVE TERMS. A COPY OF THIS COMMON O RDER BE PLACED IN THE RESPECTIVE CASE FILES. ORDER PRONOUNCED IN THE OPEN COURT ON 22 ND JUNE, 2021 SD/- SD/- (LAXMI PRASAD SAHU) (S.S.G ODARA) ACCOUNTANT MEMBER JUDICIAL MEM BER HYDERABAD, DATED: 22-06-2021 TNMM ITA NO. 90/HYD/2020 C.O.NO.06/HYD/2020 :- 4 -: COPY TO : 1.THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-2(1 ), HYDERABAD. 2.M/S.INVENTAA INDUSTRIES PRIVATE LIMITED, FLAT NO. 618 & 619, 6 TH FLOOR, MANJEERA MAJESTIC COMMERCIAL, KPHB, KUKATPALLY, HYDERABAD. 3.CIT(APPEALS)-2, HYDERABAD. 4.PR.CIT-2, HYDERABAD. 5.D.R. ITAT, HYDERABAD. 6.GUARD FILE.