DCIT, Circle -10, Kolkata, Kolkata V. Riga Sugar Co. Ltd., Kolkata

MA 75/KOL/2012

• Counselvise Citation: [2012] 123 COUNSELVISE.COM (IT) 8733 (ITAT-KOLKATA)
• Duration Of Justice: 1 month(s) 7 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 20-07-2012
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2000-2001
• Appeal Filed On: 13-06-2012
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Section: 154

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH: KOL KATA () BEFORE , /AND . . . . !' . , #$ ) [BEFORE SHRI MAHAVIR SINGH, JM & SHRI C. D. RAO, AM] %% #& %% #& %% #& %% #& ' ' ' ' /M. A. NO. 75/KOL/2012 IN ' ' ' ' /IN I.T.A NO. 1248/KOL/2011 &( )* &( )* &( )* &( )*/ // / ASSESSMENT YEAR: 2000-01 DEPUTY COMMISSIONER OF INCOME-TAX, VS. RIGA SUGAR CO. LTD. CIRCLE- 10, KOLKATA. (PAN: AABCR 3554 J) (# /APPLICANT ) (,-.// RESPONDENT ) DATE OF HEARING : 20.07.2012 DATE OF PRONOUNCEMENT: 20.07.2012 # 0 1 # /FOR THE APPLICANT: SHRI S. P. LAHIRI ,-./ 0 1 # /FOR THE RESPONDENT: SHRI MANOJ KATARUKA #2 / ORDER PER MAHAVIR SINGH, JM/ , : THROUGH THIS MISC. APPLICATION REVENUE HAS REQUIRED THE BENCH TO RECALL THE TRIBUNALS ORDER DATED 09.01.2012. THE ONLY ISSUE RAISED IN T HIS MISC. APPLIATION OF THE REVENUE IS ON ACCOUNT OF EXCISE DUTY NOT INCLUDED IN CLOSING STOC K AND ADDITION MADE U/S. 154 OF THE ACT VIDE ORDER DATED 21.03.2007 AMOUNTING TO RS.1,48,74,000/ -. WE FIND THAT THE TRIBUNAL IN ITA NO.1428/K/2011 DATED 09.01.2012 OPINED THAT THE ISS UE OF INCLUSION OF EXCISE DUTY IS A HIGHLY DEBATABLE ISSUE AND EVEN THE FACTS ARE NOT KNOWN WH ETHER THE EXCISE DUTY WAS INCLUDED IN THE OPENING STOCK OR NOT. THE TRIBUNAL OPINED THAT IT IS NOT THE SUBJECT MATTER OF RECTIFICATION U/S. 154 OF THE ACT AS THERE IS NO MISTAKE APPARENT FROM RECORD. AT THE OUT SET, WE FIND THAT THE REVENUE IN ITS MISC APPLICATION VIDE PARA 6 HAS ADM ITTED THAT INCLUSION OF EXCISE DUTY IN CLOSING STOCK IS A DABATABLE ISSUE. THE RELEVANT PARA (VI) OF THE MISC. APPLICATION READS AS UNDER: (VI) EVEN IF THE MATTER OF INCLUSION OF EXCISE DU TY TO THE CLOSING STOCK IS A DABATABLE ISSUE AND WHETHER THE OPENING STOCK WAS GIVEN THE S AME EFFECT OR NOT, THE ITAT BEING THE FINAL FACT FINDING AUTHORITY, MAY VERIFY THE FACT B Y ITSELF OR INSTRUCT THE AO TO VERIFY. OTHERWISE, THE MATTER MAY BE SET ASIDE TO THE AO WI TH A DIRECTION TO RECONSIDER THE MATTER AFRESH ON PROPER APPLICATION OF SECTION OF T HE ACT. 2. WHEN THIS WAS POINTED OUT TO LD. SR. DR SHRI S. P. LAHIRI, HE STATED THAT THIS IS A HIGHLY DEBATABLE ISSUE AND ONCE THIS IS THE POSITION WHETH ER THE AO CAN MAKE ADDITION OR NOT BECOMES DEBATABLE. THE DEBATABLE ISSUE CANNOT BE DECIDED U /S. 154 OF THE ACT AND TRIBUNAL HAS RIGHTLY DELETED THE ADDITION. WE FIND THAT THERE IS NO MIS TAKE APPARENT FROM RECORDS IN THE ORDER OF THE 2 MA NO. 75/K/2012 RIGA SUGAR CO. LTD. A. Y 2000-01 TRIBUNAL IN ITA NO. 1248/K/2011 DATED 09.01.2012. HENCE, WE DISMISS THE MISC. APPLICATION OF REVENUE. 3. IN THE RESULT, THE REVENUES MISC. APPLICATION IS DISMISSED. 4. ORDER IS PRONOUNCED IN THE OPEN COURT . SD/- SD/- . . . . !' . , #$ , (C. D. RAO) (MAHAVIR SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER ( '$ '$ '$ '$) )) ) DATED :20TH JULY, 2012 34 &56 7 JD.(SR.P.S.) #2 0 ,% 8#%)9- COPY OF THE ORDER FORWARDED TO: 1 . # /APPLICANT : DCIT, CIRCLE-10, KOLKATA 2 ,-./ / RESPONDENT RIGA SUGAR CO. LTD., 14, N. S. ROAD, KOLKATA-700 001. 3 . 2& ( )/ THE CIT(A) , 4. CIT, 5 . ?@ ,& / DR, KOLKATA BENCHES, KOLKATA -% ,/ TRUE COPY, #2&A/ BY ORDER, 6 /ASSTT. REGISTRAR .