INDIAN ALUMINIUM CO. LTD ( MERGED HINDALCO IND.LTD), V. JT CIT (OSD) CIR 8,

MA 690/MUM/2012

• Counselvise Citation: [2013] 124 COUNSELVISE.COM (IT) 0621 (ITAT-MUMBAI)
• Duration Of Justice: 7 month(s) 16 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 05-07-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: I
• Assessment Year: 2000-2001
• Appeal Filed On: 19-11-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 80HHC

Judgement Text

MA NO. 690/MUM/2012 INDIAN ALUMINIUM COMPANY LTD. PAGE 1 OF 2 IN THE INCOME TAX APPELLATE TRIBUNAL 'I' BENCH, MUMBAI BEFORE SHRI I.P. BANSAL, JUDICIAL MEMBER AND SHRI RAJENDRA SINGH, ACCOUNTANT MEMBER MA NO. 690/MUM/2012 ARISING OUT OF ITA 459/KOL/2009 ASSESSMENT YEAR 2000-01 DATE OF HEARING: 5/7/2013 DATE OF PRONOUNCEMENT: 5/7/2013 O R D E R PER RAJENDRA SINGH, AM THIS MISCELLANEOUS APPLICATION HAS BEEN FILED BY TH E ASSESSEE REQUESTING FOR AMENDMENT OF THE ORDER DATED 9.2.201 1 OF THE TRIBUNAL IN ITA NO. 459/KOL/2009 ON THE GROUND OF SOME APPARENT MISTAKE. 2. WE HAVE HEARD BOTH THE PARTIES PERUSED THE RECOR DS AND CONSIDERED MATTER CAREFULLY. THE ONLY MISTAKE POINTED OUT IN T HE APPLICATION RELATES TO ALLOWABILITY OF DEDUCTION U/S 80HHC IN RESPECT OF I NTEREST INCOME. THE TRIBUNAL FOLLOWING THE JUDGMENT OF HONBLE HIGH COU RT OF BOMBAY IN CASE OF CIT VS. ASIAN STAR COMPANY LTD. (326 ITR 56) HEL D THAT 90% OF THE GROSS INTEREST WOULD REQUIRED TO BE REDUCED FROM TH E PROFIT OF BUSINESS INDIAN ALUMINIUM COMPANY LTD. SINCE MERGED WITH HINDALCO INDUSTRIES LTD. CENTURY BHAVAN, DR. A.B. ROAD, WORLI, MUMBAI 400 030 JOINT COMMISSIONER OF INCOME TAX (OSD), CIRCLE -8, KOLKATA. APPELLANT RESPONDENT DEPARTMENT BY. SHRI T ROUMUON PAITE ASSESSEE BY: SHRI NARESH JAIN MA NO. 690/MUM/2012 INDIAN ALUMINIUM COMPANY LTD. PAGE 2 OF 2 WHILE COMPUTING DEDUCTION U/S 80HHC. SUSEQUENTLY HO NBLE SUPREME COURT IN CASE OF ACG ASSOCIATED CAPSULES VS. CIT (3 43 ITR 89) HAVE HELD THAT 90 % ONLY THE NET RECEIPTS ARE REQUIRED TO BE REDUCED FROM PROFIT OF BUSINESS AS PER EXPLANATION (BAA). THEREFORE, IN VI EW OF THE JUDGMENT OF HONBLE SUPREME COURT (SUPRA), 90% OF ONLY THE NET INTEREST IS REQUIRED TO BE REDUCED FROM THE PROFIT OF BUSINESS. WE, THEREFO RE, AMEND THE ORDER OF TRIBUNAL ON THIS POINT AND DIRECT THE AO TO REDUCE 90% OF NET INTEREST AFTER NECESSARY VERIFICATION AND AFTER ALLOWING OPP ORTUNITY OF HEARING TO THE ASSESSEE. 3. IN THE RESULT THE MISCELLANEOUS APPLICATION OF T HE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT TODAY I.E 5 - 7-2013 SD/- SD/- (I.P. BANSAL ) (RAJENDRA SINGH) JUDICIAL MEMBER ACCOUNTANT MEMBER SK SR. P.S, MUMBAI DATED 5.7.2013 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CONCERNED CIT(A) 4. THE CONCERNED CIT 5. THE DR, I BENCH, ITAT, MUMBAI BY ORDER ASSISTANT REGISTRAR INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCHES, MUMBAI