PARKSONS PRESS Private LIMITED , MUMBAI V. DEPUTY COMMISSIONER OF INCOME TAX RANGE 8 (2), MUMBAI

MA 74/MUM/2018

• Counselvise Citation: [2018] 124 COUNSELVISE.COM (IT) 6654 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 14 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 14-05-2018
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: C
• Assessment Year: 2007-2008
• Appeal Filed On: 31-01-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: V VIDHYADHAR
• Section: 43B

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL 'C' BENCH, MUMBAI BEFORE SHRI R.C. SHARMA, ACCOUNTANT MEMBER AND SHRI RAM LAL NEGI, JUDICIAL MEMBER MA NO. 74/MUM/2018 (ARISING OUT OF ITA NO. 5051/MUM/2011) (ASSESSMENT YEARS: 2007-08) M/S. PARKSONS PRESS P. LTD. 701/702, INDIABULLS FINANCE CENTRE TOWR-1, SENAPATI BAPAT MARG, ELEPHINSTONE ROAD (W), MUMBAI 400013 VS. DCIT, RANGE - 8(2 ) MUMBAI PAN AA A C K1463C APPELLANT RESPONDENT APPELLANT BY: SHRI YOGESH THAR RESPONDENT BY: SHRI V. VIDHYADHAR DATE OF HEARING: 04.05.2018 DATE OF PRONOUNCEMENT: 14.05.2018 O R D E R PER R.C. SHARMA, AM THIS IS A MISCELLANEOUS APPLICATION FILED BY THE AS SESSEE IN RESPECT OF ORDER PASSED BY THE TRIBUNAL DATED 26 TH JULY, 2017 IN RESPECT OF ITA NO. 5051/MUM/2011. 2. THROUGH THIS MISCELLANEOUS APPLICATION IT IS ARGUED BY THE LEARNED A.R. THAT GROUND NO. 2 RAISED WITH RESPECT TO DISAL LOWANCE OF ` 2,41,15,599/- UNDER SECTION 43B OF THE INCOME TAX A CT (HEREINAFTER THE ACT), REMAINS TO BE DECIDED BY THE TRIBUNAL, WHICH AMOUNTS TO MISTAKE APPARENT FROM RECORD. 3. IT WAS ARGUED BY THE LEARNED A.R. THAT DURING THE C OURSE OF HEARING ON JANUARY 11, 2017 AND VIDE SYNOPSIS FILED ON JANU ARY 30, 2017 THE APPLICANT HAD MADE SUBMISSIONS REGARDING THE NON-AP PLICABILITY OF SECTION 43B OF THE ACT STATING THEREIN THAT COLLECTOR'S LIA BILITY IS NOT ANY SUM PAYABLE BY WAY OF 'TAX, DUTY, CESS OR FEE' UNDER AN Y LAW. IT IS A CONTRACTUAL MA NO. 74/MUM/2018 M/S. PARKSONS PRESS P. LTD. 2 LIABILITY ARISING PURSUANT TO THE CONDITIONS IN-BUI LT IN THE AGREEMENT FOR PURCHASE OF THE RIGHTS IN THE LAND BY THE APPLICANT AND IS THEREFORE NOT COVERED BY THE PROVISIONS OF 43B OF THE ACT. FOR TH IS PROPOSITION, APPLICANT HAD REFERRED TO VARIOUS CLAUSES OF DEED OF REVERSIO N DATED FEBRUARY 17, 2000 AND DEVELOPMENT AGREEMENT DATED MARCH 08, 2004 . FURTHER APPLICANT HAD RELIED ON THE DECISION OF THE HON'BLE JURISDICTIONAL TRIBUNAL IN THE CASE OF MEMA ENGINEERS & CONTRACTORS PVT LTD V ACIT (ITA NO. 654/MUM/2011) AND ON THE DECISION OF THE HON'BLE DE LHI TRIBUNAL IN THE CASE OF DCIT V C.J. INTERNATIONALS HOTELS LTD. (75 TTJ285). 4. WE HAVE HEARD THE RIVAL CONTENTIONS AND GONE THROUG H THE ORDER OF THE TRIBUNAL AND FIND THAT GROUND NO. 2 WAS NOT DEC IDED BY THE TRIBUNAL IN ITS ORDER DATED 26 TH JULY, 2017, WHICH AMOUNTS TO MISTAKE APPARENT FROM RECORD. ACCORDING WE RECTIFY THE MISTAKE AND RECALL THE ORDER DATED 26 TH JULY, 2017 TO THE LIMITED EXTENT OF DECIDING GROUND NO. 2 WHICH READS AS UNDER: - 2 RE: DISALLOWANCE IN RESPECT OF AMOUNT PAYABLE TO COLLECTOR RS.2,41,15,599/- U/S. 43B OF THE IT ACT, 1961. IT IS PERTINENT TO MENTION HERE THAT ON MERITS THE TRIBUNAL HAS DELIBERATED ON THE ISSUE OF ALLOWABILITY OF PROVISION MADE BY T HE ASSESSEE OF ` 2,41,15,599/-, AND THE MATTER WAS RESTORED TO THE F ILE OF THE AO FOR DECIDING IN TERMS OF DIRECTION GIVEN IN PARA 16 OF OUR ORDER DATED 26.07.2017. 5. IN THE RESULT, THE MISCELLANEOUS APPLICATIONS FILED BY THE ASSESSEE ARE ALLOWED IN PART, IN TERMS INDICATED HEREIN ABOV E. ORDER PRONOUNCED IN THE OPEN COURT ON 14 TH MAY, 2018. SD/ - SD/ - (RAM LAL NEGI) (R.C. SHARMA) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI, DATED: 14 TH MAY, 2018 MA NO. 74/MUM/2018 M/S. PARKSONS PRESS P. LTD. 3 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) -17, MUMBAI 4. THE CIT -10, MUMBAI 5. THE DR, C BENCH, ITAT, MUMBAI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT, MUMBAI BENCHES, MUMBAI N.P.