M/s Avtar Singh Construction Co. Pvt. Ltd., Chandigarh V. ITO, Chandigarh

MA 41/CHANDI/2016

• Counselvise Citation: [2016] 124 COUNSELVISE.COM (IT) 4222 (ITAT-CHANDIGARH)
• Duration Of Justice: 24 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 27-05-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2007-2008
• Appeal Filed On: 03-05-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S K MITTALDR
• Keywords: Depreciation

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, CHANDIGARH BEFORE SHRI H.L.KARWA, VICE PRESIDENT AND MS. RANO JAIN, ACCOUNTANT MEMBER M.A.NO.41/CHD/2016 IN ITA NO.1240/CHD/2012 (ASSESSMENT YEAR : 2007-08) M/S AVTAR SINGH CONSTRUCTION VS. THE A.C.I.T., CO. PVT. LTD., CHANDIGARH. CIRCLE PATIALA. PAN: AABCA9381L (APPELLANT) (RESPONDENT) APPLICANT BY : SHRI PARIKSHIT AGGARWAL RESPONDENT BY : SHRI S.K. MITTAL,DR DATE OF HEARING : 27.05.2016 DATE OF PRONOUNCEMENT : 27.05.2016 O R D E R PER H.L.KARWA, V.P. : THIS MISCELLANEOUS APPLICATION FILED BY THE ASSESSEE ARISES OUT OF THE ORDER OF THE TRIBUNAL DA TED 11.3.2016, PASSED IN ITA NO.1240/CHD/2012 AND ITA NO.1241/CHD/2012, RELATING TO ASSESSMENT YEARS 2007-08 AND 2008-09. 2. HEARD. THE ABOVE APPEALS WERE DISPOSED OFF BY THIS BENCH OF THE TRIBUNAL VIDE ORDER DATED 11.3.2016. IT IS OBSERVED THAT VIDE GROUND NO.4 OF 2 BOTH THE APPEALS, THE ASSESSEE HAS RAISED A COMMON ISSUE. WHILE DECIDING GROUND NO.4 IN ITA NO.1241/CHD/2012 RELATING TO ASSESSMENT YEAR 2008- 09, THIS BENCH OF THE TRIBUNAL HAS HELD AS UNDER : 14. AT THE VERY OUTSET, SHRI PARIKSHIT AGGARWAL, L D. COUNSEL FOR THE ASSESSEE POINTED OUT THAT THE AMOUN T CLAIMED ON ACCOUNT OF INTEREST IS NOT ALLOWABLE I N VIEW OF THE DECISION OF THE HON'BLE JURISDICTIONAL HIGH COURT IN THE CASE OF GIRDHARI LAI V CIT AND ANOTHER (2002) 256 ITR 318 (P&H). ACCORDINGLY, WE DECIDE THIS ISSU E AGAINST THE ASSESSEE. SHRI PARIKSHIT AGGARWAL POI NTED OUT THAT THE DEPRECIATION IS ALLOWABLE AS PER THE DECIS ION OF HON'BLE PUNJAB AND HARYANA HIGH COURT IN THE CASE O F CIT V HARBHAJAN SINGH AND CO., SANGRUR IN ITA NO.31 OF 2014 DATED 13.11.2014. HOWEVER, THE LD. DR COULD NOT CONTROVERT THE ABOVE CONTENTION OF SHRI AGGARWAL. ACCORDINGLY, WE DIRECT THE ASSESSING OFFICER TO ALLOW THE DEPRECIATION IN ACCORDANCE WITH LAW. 3. HOWEVER, A SIMILAR GROUND RAISED IN ITA NO.1240/CHD/2012 RELATING TO ASSESSMENT YEAR 2007- 08 HAD INADVERTENTLY REMAINED TO BE DISCUSSED IN TH E ORIGINAL ORDER DESPITE THE FACT THAT BOTH THE PARTI ES HAD ARGUED THE MATTER AT LENGTH. 4. ACCORDINGLY, WE ALLOW THIS PETITION AND HOLD THAT THE DECISION GIVEN IN RESPECT OF GROUND NO.4 I N ITA NO.1241/CHD/2012 SHALL ALSO APPLY TO THIS GROUN D OF APPEAL WITH EQUAL FORCE. ACCORDINGLY, WE DIRECT THE ASSESSING OFFICER TO ALLOW THE DEPRECIATION IN ACCORDANCE WITH LAW. 3 5. WE ALSO MODIFY PARA 4 OF THE ORIGINAL ORDER, WHEREIN IT IS MENTIONED THAT GROUND NOS.2 TO 4 OF T HE APPEAL ARE DISMISSED. NOW THIS PARA MAY BE READ AS GROUND NOS.2 AND 3 OF THE APPEAL ARE DISMISSED . WE FURTHER MODIFY PARA 9 OF THE ORIGINAL ORDER AND SAME MAY BE READ AS UNDER : IN THE RESULT, ITA NO.1240/CHD/2012 IS ALLOWED PARTLY. 6. IN THE ABOVE TERMS, THE MISCELLANEOUS APPLICATION IS DISPOSED OFF. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 27 TH DAY OF MAY, 2016. SD/- SD/- (RANO JAIN) (H.L.KARWA) ACCOUNTANT MEMBER VICE PRESIDENT DATED : 27 TH MAY, 2016 *RATI* COPY TO: THE APPELLANT/THE RESPONDENT/THE CIT(A)/THE CIT/THE D R. ASSISTANT REGISTRAR, ITAT, CHANDIGARH 4 ORDER PRONOUNCED IN THE OPEN COURT ON THIS 29 TH DAY OF APRIL, 2016.