DCIT, Circle - 4, Kolkata, Kolkata V. M/s. Cheviot Agro Industries Ltd., Kolkata

ITA 995/KOL/2010

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 2489 (ITAT-KOLKATA)
• Duration Of Justice: 1 month(s) 30 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-07-2010
• Appeal Filed By: Department
• Bench Allotted: B
• Assessment Year: 2005-2006
• Appeal Filed On: 13-05-2010
• Court: TRIBUNAL
• Section: 32

Judgement Text

1 , B , , IN THE INCOME TAX APPELLATE TRIBUNAL, BENCH-B , KOLKATA / ORDER . . , ,, , SHRI K.K.GUPTA, ACCOUNTANT MEMBER . THE REVENUE IS IN APPEAL AGITATING THE ACTION OF THE LEARNED CIT(A) IN DELETING THE ADDITION OF RS.11,25,000 BEING CESS ON GREEN L EAF PAID BY THE ASSESSEE WITHOUT CONSIDERING THAT IT IS NOT AN ALLOWABLE EXPENSE A S PER THE DECISION OF THE HONBLE GAUHATI HIGH COURT REPORTED IN 289 ITR 422. 2. THE LEARNED D.R. SUBMITTED THAT THE REVENUE HAS APPEALED BEFORE THE TRIBUNAL IN VIEW OF THE FACT THAT THE LEARNED CIT(A) ERRED IN LAW AS WELL AS ON FACTS IN DELETING THE ADDITION OF RS.11,25,000 BEING CESS ON GREEN LEA F BY MERELY RELYING ON THE DECISION OF THE HONBLE CALCUTTA HIGH COURT IN THE CASE OF A.F.T. INDUSTRIES LTD. REPORTED IN 207 ITR 167 WHICH DECISION HAS BEEN CHALLENGED BY TH E REVENUE BEFORE THE HONBLE SUPREME COURT ADMITTING S.L.P. AND THE FINALITY OF THE CASE HAS NOT YET BEEN REACHED. 3. THE LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE INCOME TAX APPELLATE TRIBUNAL , KOLKATA HAS RELIED ON THE DECISION OF T HE JURISDICTIONAL HIGH COURT , NAMELY ( ) BEFORE . . . . . . . . ! ! ! ! ' '' ' , , , , , SRI B.R.MITTAL, JUDICIAL MEMBER. & #$% #$% #$% #$% /AND . . , , , , , SRI K.K,GUPTA, ACCOUNTANT MEMBER . %& %& %& %& / ITA NO. 995/KOL/10 '() $*+/ ASSESSMENT YEAR : 2005-2006 DCIT, CIR.4, KOLKATA M/S CHEVIOT AGRO INDUSTRIES LTD. (PAN AABCC 0652 L) (-. / APPELLANT ) - $( - - VERSUS -. (01-./ RESPONDENT ) -. 2 3 / FOR THE APPELLANT: / SMT JYOTI KUMARI 01-. 2 3 / FOR THE RESPONDENT: / SHRI P.K.JAIN 2 A.F.T. INDUSTRIES LTD. (SUPRA) WAS, THEREFORE, CONSIDERED BY THE LEARNED CIT(A) TO HOLD THAT A DECISION OF THE JURISDICTIONAL HIGH COU RT IS BINDING UNLESS THERE IS A CONTRARY DECISION OF THE APEX COURT ON THE ISSUE. HE, THER EFORE, SUBMITTED THAT I.T.A.T. , KOLKATA HAD BEEN FOLLOWING THE DECISION OF THE OF THE HONBLE CALCUTTA HIGH COURT IN OTHER CASES ALSO IN VIEW OF THE FACT THAT THE DEC ISION OF THE HONBLE GAUHATI HIGH COURT IN THE CASE OF JOREHAT GROUP LTD. HAS BEEN OVERRU LED BY THE DECISION IN THE CASE OF ASSAM TEA CO.LTD. VS UNION OF INDIA & OTHERS REPO RTED IN 275 ITR 609 BY HONBLE GAUHATI HIGH COURT. IN SUPPORT HE HAS SUBMITTED THE COMPILATIONS OF THE DECISION AS MENTIONED ABOVE. 3. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIAL AVAILABLE ON RECORD . WE ARE OF THE CONSIDERED VIEW THAT THE TRIBUNAL AT KOLKATA HAS TO ABIDE WITH THE DECISION OF THE JURISDICTIONAL HIGH COURT WHEN THE ISSUE HAS NOT BEEN SETTLED BY A DECISION OF THE HONBLE APEX COURT AS NOTED. WE HAVE BEEN HOLDING THE ISSUE AS COVERED OF OTHER ASSESSES ON SUCH FACTS. 4. IN THIS VIEW THE ISSUE STANDS COVERED ON THE FACTS AS CONSIDERED BY THE TRIBUNAL IN THE CASE OF A.F.T. INDUSTRIES LTD. (SUPRA), WE H AVE NO HESITATION IN DISMISSING THE APPEAL FILED BY THE REVENUE. 5. IN THE RESULT, THE REVENUES APPEAL IS DISMISSED . 4 5 ( 6 47 THIS ORDER IS PRONOUNCED IN OPEN COURT ON 12.7.2010 SD/- SD/- [ . . . . . . . . ! ! ! ! ' '' ' ] , [ B.R.MITTAL] JUDICIAL MEMBER. [ . . ] [K.K.GUPTA] ACCOUNTANT MEMBER . ( (( (8 8 8 8) )) ) DATE: 12.07.2010 *B.C.DE $9: '(;< '=$/ SR. PRIVATE SECRETARY. 3 2 0''> ?>*@- COPY OF THE ORDER FORWARDED TO : 1. -. / THE APPELLANT : DCIT, CIRCLE-4, KOLKATA 2 01-. / THE RESPONDENT: M/S CHEVIOT AGRO INDUSTRIES LTD., MAGMA HOUSE, 24, PARK STREET, 9 TH FLOOR, KOLKATA 3. '(/ THE CIT, 4. '( ()/ THE CIT(A), 5. $F'6 0'( / DR, KOLKATA BENCHES, KOLKATA 6. GUARD FILE . 1> 0'/ TRUE COPY , (/ BY ORDER, H %< /DEPUTY REGISTRAR . 4