ACIT CIR 4(2), V. VISARIA SECURITIES P. LTD,

MA 699/MUM/2009

• Counselvise Citation: [2010] 123 COUNSELVISE.COM (IT) 5929 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 1 month(s) 27 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 10-12-2010
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: F
• Assessment Year: misc
• Appeal Filed On: 14-10-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R S SRIVASTAV
• Keywords: Depreciation; Rectification of order

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL 'F' BENCH, MUMBAI BEFORE SHRI D.K. AGARWAL, JUDICIAL MEMBER AND SHRI B. RAMAKOTAIAH, ACCOUNTANT MEMBER MA NO. 699/MUM/2009 (ARISING OUT OF ITA NOS. 2888 & 2889/MUM/2008 (ASSESSMENT YEARS: 2003-04 & 2004-05) ACIT, CIRCLE 4(2) M/S. VISARIA SECURITIES P. LTD. ROOM NO. 642, 6TH FLOOR 301, A COMMERCE HOUSE AAYAKAR BHAVAN, M.K. ROAD VS. 140 N.M. ROAD, FORT MUMBAI 400020 MUMBAI 400023 PAN - AAACV 7721 L APPELLANT RESPONDENT APPELLANT BY: SHRI R.S. SRIVASTAV RESPONDENT BY: SHRI VIJAY MEHTA O R D E R PER B. RAMAKOTAIAH, A.M. THIS MISCELLANEOUS APPLICATION FILED BY THE REVENUE ARISES OUT OF THE ORDER IN ITA NOS. 2888&2889/MUM/2008 DATED 29 TH MAY 2009. 2. THE ISSUE IN THIS M.A. IS WITH REFERENCE TO ALLOWAN CE OF DEPRECIATION ON BSE MEMBERSHIP CARD. THE A.O. AND THE CIT(A) DID NO T ALLOW THE DEPRECIATION FOR THE TWO ASSESSMENT YEARS 2003-04 A ND 2004-05 STATING THAT BSE MEMBERSHIP CARD IS NOT AN ASSET. FOLLOWING THE JUDGEMENT OF THE TRIBUNAL IN THE CASE OF M/S. TECHNO SHARES & STOCKS LTD. VS. ITO 101 TTJ (MUMBAI) 349 THE ISSUE WAS DECIDED BY THE ITAT VIDE THE ABOVE ORDER, IN FAVOUR OF THE ASSESSEE AND THE A.O. WAS DIRECTED TO ALLOW THE DEPRECIATION. CONSEQUENT TO THE JUDGEMENT OF THE HON'BLE BOMBAY H IGH COURT IN THE CASE OF M/S. TECHNO SHARES & STOCKS LTD. ITA NO. 971 OF 2006, THE REVENUE HAS RAISED THE PRESENT MISCELLANEOUS APPLICATION REQUES TING RECTIFICATION OF ORDER TO IMPLEMENT THE HON'BLE BOMBAY HIGH COURT JUDGEMEN T. 3. IN THE MEANTIME, THE HON'BLE SUPREME COURT IN THE S AID CASE OF M/S. TECHNO SHARES & STOCKS LTD. VS. CIT 327 ITR 323 HAS CONSIDERED THE ISSUE AND HELD THAT THE TRIBUNAL WAS RIGHT IN HOLDING THA T DEPRECIATION WAS MA NO. 699/MUM/2009 M/S. VISARIA SECURITIES P. LTD. 2 ALLOWABLE ON THE COST OF THE MEMBERSHIP CARD UNDER SECTION 32(1)(II) OF THE I.T. ACT., SETTING ASIDE THE HON'BLE BOMBAY HIGH CO URT JUDGEMENT ON THE ISSUE. IN VIEW OF THE ABOVE, THE MISCELLANEOUS APPL ICATION RAISED BY THE REVENUE BECOMES INFRUCTUOUS. 4. IN THE RESULT, THE MISCELLANEOUS APPLICATION OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 10 TH DECEMBER 2010. SD/- SD/- (D.K. AGARWAL) (B. RAMAKOTAIAH) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI, DATED: 10 TH DECEMBER 2010 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) IV, MUMBAI 4. THE CIT IV, MUMBAI CITY 5. THE DR, F BENCH, ITAT, MUMBAI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT, MUMBAI BENCHES, MUMBAI N.P.