Maruti Suzuki India Ltd., New Delhi V. DCIT, New Delhi

MA 221/DEL/2023

AI Insights

The case involves Maruti Suzuki India Ltd., the applicant, seeking rectification of the Tribunal's order dated 09.02.2023 concerning disallowances made in the Assessment Year 2010-11. The Tribunal had initially set aside the issue to the file of the Assessing Officer, referencing a similar case for A.Y. 2009-10 where the disallowance was deleted. The assessee argued that the Tribunal's oversight of the previous decision constituted a mistake apparent from the record. The Departmental Representative did not contest the similarity of facts but opposed the rectification. The Tribunal acknowledged the oversight and rectified the order to direct the deletion of the disallowance, consistent with the earlier decision.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 112934 (ITAT-DELHI)
• Duration Of Justice: 15 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 30-05-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: I
• Next Hearing Date: 18-05-2023
• Assessment Year: 2010-2011
• Appeal Filed On: 15-05-2023
• Other Referred Cases: M.A. No. 718/Del/2018 arising out of ITA No. 467/Del/2014 for A.Y. 2009-10
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Principle of natural justice; Set aside
• Section: 254(2)

Judgement Text

1 MA No. 221/Del/2023 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “I” FRIDAY: NEW DELHI BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER AND SHRI KUL BHARAT, JUDICIAL MEMBER M.A. No. 221/Del/2023 [ In ITA No.961/DEL/2015 [Assessment Year: 2010-11 Maruti Suzuki India Ltd., Plot No. 1, Nelson Mandela Road, Vasant Kunj, New Delhi-110070. PAN: AAACM0829Q Vs DCIT, Circle-16(1), New Delhi. APPLICANT RESPONDENT Assessee represented by Shri Ajay Vohra, Sr. Adv. Shri Neeraj Jain, Adv. Ms. Somya Jain, CA & Ms. Tejashvi Jain, CA Department represented by Shri Om Parkash, Sr. DR Date of hearing 19.05.2023 Date of pronouncement 31.05.2023 O R D E R PER KUL BHARAT, JM: By this misc. application u/s 254(2) of the income-tax Act, 1961, the assessee seeks rectification of the Tribunal’s order dated 09.02.2023,in respect of ground nos. 10 to 10.03, passed in ITA no. 961/Del/2015 for A.Y. 2010-11. 2 MA No. 221/Del/2023 2. Learned counsel for the assessee reiterated the submissions as made in the misc. application. Learned counsel further submitted that the Tribunal while adjudicating ground nos. 10 to 10.3 has set aside the issue to the file of AO by observing that the issue is identical with A.Y. 2009-10. He contended that the Tribunal vide its order dated 19.06.2019 passed in M.A. No. 718/Del/2018 arising out of ITA No. 467/Del/2014 for A.Y. 2009-10 had rectified its order and deleted the disallowance. He submitted that the decision in M.A. No. 718/Del/2018 escaped the attention of the Tribunal that tantamount to a mistake apparent from record. 3. On the other hand, learned DR opposed the submissions. However, he could not controvert the submissions of the learned AR that under identical facts the Tribunal for A.Y. 2009-10 was pleased to delete the disallowance in M.A. No. 718/Del/2018. 4. We have heard the rival submissions and perused the material available on record. We find that the Tribunal vide its order dated 19.06.2019 in M.A. No. 718/Del/2018 arising out of ITA No. 467/Del/2014 for A.Y. 2009-10 has decided the issue by observing as under: “10. We have heard both the parties and perused the material available on record. After going through order dated 09.11.2017 for Assessment Year 2008-09 passed by the Tribunal in assessee’s own case we are hereby substituting earlier directions which are directed to be read as under: 3 MA No. 221/Del/2023 Page 155 of the order dated 17.10.2018 "The issue is identical with the A.Y. 2008-09 decided by the Tribunal. Therefore it will be appropriate to remand back this issue to the file of the Assessing Officer and we direct the Assessing Officer to delete the disallowance based on an adhoc percentage of the turnover made in the assessment order in light of the decision of the Tribunal Needless to say the assessee be given opportunity of hearing by following principles of natural justice. Hence Ground No. 10 to 10.3 are partly allowed for statistical purpose. ” And issuing the fresh direction as under:- "The issue is identical with the A.Y. 2008-09 decided by the Tribunal. In view of the decisions of the Hon’ble Apex Court and the jurisdictional High Court as mentioned in the order dated 09.11.2017 for A.Y. 2008-09, we find that the addition on this account cannot be sustained. Accordingly, we direct the Assessing Officer to delete the same. Ground Nos. 10 to 10.3 are allowed.” 5. However, this Tribunal in ITA No. 961/Del/2015 in para no. 69 set aside the issue to the file of the Assessing Authority by observing as under: “69. We have heard Ld. Authorized Representative of the parties and perused the material available on record. The identical ground was raised by the assessee in AY 2009-10 and the Tribunal after following the order of earlier AY, remanded back to the AO for decision afresh. On a careful reading of the decisions of the Tribunal in earlier years, it is evident that the relief was granted to the assessee. The Revenue has not brought any contrary decision to support its contention. Therefore, we hereby set aside the impugned disallowance and restore the issue to the file of AO to make correct disallowance, if any, after giving due opportunities to the assessee. Thus, Ground Nos. 10 to 10.3 raised by the assessee are allowed for statistical purposes.” 4 MA No. 221/Del/2023 6. Therefore, looking to the facts of the present case and the material placed before us it appears that the decision of the Coordinate Bench passed in MA No. 718/Del/2018 arising out of ITA No. 467/Del/2014 for A.Y. 2009-10 escaped attention of the Bench, which is a mistake apparent from the record and needs to be rectified. We, therefore, rectify our order dated 09.02.2023 passed in ITA No. 961/Del/2015. Accordingly Para no. 69 of Tribunal’s order dated 09.02.2023 in ITA No. 961/Del/2015 may be read as under: “69. We have heard Ld. Authorized Representative of the parties and perused the material available on record. The identical ground was raised by the assessee in the AY 2009-10 and the Tribunal in M.A. No. 718/Del/2018 arising out of ITA No. 467/Del/2014 for A.Y. 2009-10 was pleased to direct the AO to delete the impugned disallowance and allowed ground nos. 10 to 10.3 raised in that appeal. The Facts are identical. The Revenue has not brought any contrary binding precedent to our notice. We, therefore, taking a consistent view and following the decision of the Coordinate Bench in assessee’s own case for A.Y. 2009-10 direct the AO to delete the disallowance of Rs. 21,83,04,695/- made in respect of sharing of resources. The Ground raised by the assessee is allowed.” 7. Rest of the contentions of the order dated 09.02.2023 shall remain the same. 8. Assessee’s misc. application stands allowed accordingly. Order pronounced in open court on 31 st May, 2023. Sd/- Sd/- (SHAMIM YAHYA ) (KUL BHARAT) ACCOUNTANT MEMBER JUDICIAL MEMBER 5 MA No. 221/Del/2023 *MP* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI