Srinivasa Ferro Alloys Limited, Samalkota V. The Assistant Commissioner of Income Tax, Circle-4(1), Visakhapatnam

MA 21/VIZ/2022

• Counselvise Citation: [2022] 104 COUNSELVISE.COM (IT) 3146 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 1 month(s) 14 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 21-08-2022
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 28-07-2022
• Assessment Year: 2017-2018
• Appeal Filed On: 07-07-2022
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: P S RAJU
• Keywords: TDS
• Section: 40(a)(ia); 250

Judgement Text

आयकरअपीऱीयअधिकरण, विशाखापटणमपीठ, विशाखापटणम IN THE INCOME TAX APPELLATE TRIBUNAL, VISAKHAPATNAM BENCH, VISAKHAPATNAM श्रीद ु व्ि ू रुआरएऱरेड्डी, न्याययकसदस्यएिंश्रीएसबाऱाक ृ ष्णन, ऱेखासदस्यकेसमक्ष BEFORE SHRI DUVVURU RL REDDY, HON’BLE JUDICIAL MEMBER & SHRI S BALAKRISHNAN, HON’BLE ACCOUNTANT MEMBER MA No.21/Viz/2022 (In आयकरअऩीऱसं./ I.T.A. No. 103/Viz/2021) (ननधधारणवषा/ Assessment Year :2017-18) Srinivasa Ferro Alloys Limited, S3 Royal Revira Apartments, Ismailnagar, Samalkota. PAN: AADCS 1439 B Vs. Asst. Commissioner of Income Tax, DC/AC-4(1), Visakhapatnam. (अऩीऱधथी/ Appellant) (प्रत्यथी/ Respondent) अऩीऱधथीकीओरसे/ Appellant by : Sri PS Raju, CA प्रत्यधथीकीओरसे/ Respondent by : Sri ON Hari Prasadarao, Sr. AR स ु नवधईकीतधरीख/ Date of Hearing : 29/07/2022 घोषणधकीतधरीख/Date of Pronouncement : 22/08/2022 O R D E R PER S. BALAKRISHNAN, Accountant Member : This Miscellaneous Application is filed by the assessee seeking rectification of the Tribunal order in ITA No.103/Viz/2021, dated 07/04/2022 for the AY 2017-18. 2 2. The assessee has raised the following Ground No.2 in its appeal ITA No. 103/Viz/2021: “2. The order of the Hon’ble Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi U/s. 250 has failed to appreciate the facts of the case before passing the order and did not consider that there is no basis for the addition of Rs. 2,22,54,745/- towards interest paid to M/s. Shri Girija Alloy & Power (I) Private Limited.” 3. The Ld. AR argued that the disallowance of interest is on account of non-deduction of TDS u/s. 40(a)(ia) of the Act. The Ld. AR pleaded that since the tax has been discharged by the assessee, the Hon’ble ITAT erred in not allowing the interest payment to Shri Girija Alloys & Power (I) Pvt Ltd [SGAPPL]. Per contra, the Ld. DR pointed that the ground raised by the assessee in its appeal ITA No.103/Viz/2021, was duly addressed by the Hon’ble ITAT vide para 5 of its order dated 07/04/2022. The Ld. DR further pointed out that the disallowance is not on account of non-deduction of TDS but on the failure of the assessee to provide any substantial documentary evidence that the amounts were utilized for the purpose of business of the assessee company. 4. We have heard both the parties and perused the order of the Tribunal dated 7/4/2022 (supra). We find that the assessee has 3 raised Ground No.2 regarding disallowance of interest payment to SGAPPL amounting to Rs. 2,22,54,745/-. This ground has been adjudicated in para 7 of the ITAT order as the assessee has failed to provide any documentary evidence and the purpose of payment of interest only for the FY 2016-17 but not in the earlier or subsequent years. The Hon’ble ITAT upheld the order of the order Ld. CIT(A) based on the ground raised by the assessee that there is no business prudence in payment of interest by the assessee company and not on account of non-deduction of TDS raised in this MA, by the Ld. AR. We therefore dismiss the Miscellaneous Petition as the ground raised by the assessee has already been adjudicated by the Tribunal vide order dated 7/4/2022. It is ordered accordingly. 5. In the result, Miscellaneous Application filed by the assessee is dismissed. Pronounced in the open Court on the 22 nd August, 2022. Sd/- Sd/- (द ु व्ि ू रुआर.एऱरेड्डी) (एसबाऱाक ृ ष्णन) (DUVVURU RL REDDY) (S.BALAKRISHNAN) न्याययकसदस्य/JUDICIAL MEMBER ऱेखासदस्य/ACCOUNTANT MEMBER Dated : 22.08.2022 OKK - SPS 4 आदेशकीप्रतिलिपिअग्रेपिि/Copy of the order forwarded to:- 1. ननधधाररती/ The Assessee–The Assessee: Srinivasa Ferro Alloys Limited, S3 Roy al Revir a Ap ar tmen ts, Ism ailn ag ar, S amalkota, East God avar i Distric t, Andhr a P r adesh – 533440. 2. रधजस्व/The Revenue –The Revenue: The Asst. Commissioner of Income T ax, DC/AC-4(1), Pr aty aksh ak ar Bh avan, MVP Double Road, Visakh ap atn am-530017. 3. The Principal Commissioner of Income Tax, 4. आयकरआय ु क्त (अऩीऱ)/ The Commissioner of Income Tax (Appeals), NFAC, Delhi. 5. ववभधगीयप्रनतननधध, आयकरअऩीऱीयअधधकरण, ववशधखधऩटणम/ DR,ITAT, Visakhapatnam 6. गधर्ाफ़धईऱ / Guard file आदेशधन ु सधर / BY ORDER Sr. Private Secretary ITAT, Visakhapatnam