RAPHAEL SEQUESIA, V. ACIT CIR 23(1),

MA 65/MUM/2013

• Counselvise Citation: [2013] 124 COUNSELVISE.COM (IT) 0670 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 24 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 07-06-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: K
• Assessment Year: 2004-2005
• Appeal Filed On: 13-02-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: D K SINHA
• Assessee Lawyers: HARSHVARDHANA DATAR

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL K BENCH, MUMBAI BEFORE SHRI R.S. SYAL, ACCOUNTANT MEMBER AND DR S.T.M. PAVLAN, JUDICIAL MEMBER M.A. NOS. 64, 65 & 66/MUM/2013 (ITA NOS. 6957, 6958 & 6959/MUM/2007) (ASSESSMENT YEAR : 200304, 2004-05 & 2005-06) SHRI RAPHAEL SEQUERIA C/O JAYESH SANGHRAJKA & CO., CAS, UNIT NO.405, HIND RAJASTHAN CENTRE D.S.PHALKE ROAD, DADAR (EAST) MUMBAI- 400 014. PAN: AADPS4268B APPLICANT V/S ASST COMMISSIONER OF INCOME TAX, CIRCLE-23 (1) MUMBAI RESPONDENT ASSESSEE BY : SHRI HARSHVAR DHANA DATAR) REVENUE BY : SHRI D.K. SIN HA (DR) DATE OF HEARING 07.06.2013 DATE OF ORDER 07.06.2013 ORDER PER R. S. SYAL AM:- THESE THREE MISCELLANEOUS APPLICATIONS HAVE BEEN FI LED BY THE ASSESSEE U/S 254(2) OF THE INCOME TAX ACT, 1961 PRA YING FOR RECTIFICATION OF THE COMMON ORDER DATED 08.10.2009 PASSED BY THE TRI BUNAL IN ITA NOS. 6957 TO 6959/M/2004 IN RELATION TO THE AYS 2003-04, 2004-05 AND 2005- 06. 2. THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT GROUND NO. A IN ALL THE THREE APPEALS WAS AGAINST THE CONFIRMATION OF D ISALLOWANCE OUT OF M.A.NO. 64, 65 & 66/M/2013 SHRI RAPHAEL SEQUERIA . 2 INTEREST BY ESTIMATING THE INTEREST @ 10% ON INTERE ST FREE LOANS AND ADVANCES. IT WAS SUBMITTED THAT THE TRIBUNAL RELIED ON THE ORDER DT. 22.9.2008 PASSED BY THE TRIBUNAL FOR THE IMMEDIATEL Y PRECEDING ASSESSMENT YEAR 2002-03 IN ITA NO. 5974/M/2006. TH E LD. AR PLACED ON RECORD A COPY OF THE ORDER PASSED BY THE TRIBUNAL I N MA NO. 246/M/2012 AGAINST ITA NO. 5974/M/2006 FOR AY 2002-03 RECALLIN G THE EARLIER ORDER DATED 22.09.2008 ON WHICH THE TRIBUNAL PLACED RELIA NCE FOR DISPOSING OF SIMILAR GROUNDS IN THE THREE YEARS BY THE IMPUGNED ORDER. HE STATED THAT THE EARLIER ORDER OF THE TRIBUNAL DATED 22.09.2008 WAS RECALLED AND FRESH ORDER HAS BEEN PASSED ON 12.12.2012 IN ITA NO. 5974 /M/2006. A COPY OF SUCH FRESH ORDER WAS PLACED ON RECORD DECIDING SIMI LAR GROUND OF DISALLOWANCE OF 10% INTEREST ON INTEREST FREE LOANS IN FAVOUR OF THE ASSESSEE. IT WAS THEREFORE, REQUESTED THAT SIMILAR VIEW BE TAKEN IN THE THREE YEARS UNDER CONSIDERATION. THE LD. DR FAIRLY ACCEPT ED THAT THE FACTS AND CIRCUMSTANCES OF GROUND NO. A IN ALL THE THREE YEAR S IN QUESTION ARE SIMILAR TO THOSE CONSIDERED AND DECIDED BY THE TRIBUNAL FOR THE IMMEDIATELY PRECEDING THE AY 2002-03. 4. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE RELEVANT MATERIAL ON RECORD. IT IS NOTICED THAT THE TRIBUNAL HAS DECIDED GROUND A FOR ALL THE YEARS BY RELYING ON THE EARLIER ORDER DATED 22.9.2008 RELEVANT TO THE A.Y. 2002-03. SINCE THE SAID ORDER FOR THE PRECEDIN G YEAR HAS BEEN RECALLED AND SUBSEQUENTLY DECIDED IN FAVOUR OF THE ASSESSEE ON THIS ISSUE, WE ARE OF THE CONSIDERED OPINION THAT THIS SIMILAR VIEW IS RE QUIRED TO BE TAKEN ON THIS GROUND IN ALL THE THREE YEARS. RESULTANTLY THE IMPU GNED ORDER IS MODIFIED TO THIS EXTENT BY WAY OF ALLOWING GROUND A FOR THE AYS 2003-04, 2004-05 AND 2005-06. M.A.NO. 64, 65 & 66/M/2013 SHRI RAPHAEL SEQUERIA . 3 5. IN THE RESULT, THE MISCELLANEOUS APPLICATIONS AR E ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 07 TH JUNE 2013 DR. S.T.M. PAVLAN JUDICIAL MEMBER R.S.SYAL ACCOUNTANT MEMBER MUMBAI, DATED: 07 TH JUNE 2013 SK/- COPY OF THE ORDER FORWARDED TO : (1) THE ASSESSEE; (2) THE REVENUE; (3) THE CIT(A); (4) THE CIT, MUMBAI CITY CONCERNED; (5) THE DR, ITAT, MUMBAI; (6) GUARD FILE. TRUE COPY BY ORDER (DY./ASSTT. REGISTRAR) ITAT, MUMBAI