ACIT 15(1)(2), MUMBAI, MUMBAI vs. GALAXY SURFACTANTS LIMITED, MUMBAI

ITA 6984/MUM/2025Status: DisposedITAT Mumbai15 September 2026AY 2011-20128 pages
AI SummaryDismissed

What were the facts?

The Assessing Officer capitalized interest expenditure, treated REACH registration charges as capital, and reallocated power/fuel expenses. The CIT(A) deleted these additions/disallowances, which the Revenue appealed.

What did the Tribunal hold?

The Tribunal upheld the CIT(A)'s order, finding no direct nexus for capitalizing interest, that REACH charges were revenue for existing business, and that power/fuel reallocation lacked justification. Consistency with prior years' rulings was emphasized.

What were the issues?

Whether interest expenditure is to be capitalized, if REACH registration charges are capital or revenue, and if power/fuel expenses were correctly reallocated between EOU and non-EOU units.

Which sections of the Income-tax Act were involved?

Section 10B,Section 10AA,Section 143(3),Section 145(3)

AI-generated summary — verify with the full judgment below

Heard together (2 matters)

ITA 6984/MUM/2025
CO 25/MUM/2026

Read from the judgment's own cause title. This page is filed under one of them.

INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCHES, MUMBAI BENCH: G BEFORE SHRI SANDEEP GOSAIN, JUDICIAL MEMBER AND SHRI PRABHASH SHANKAR, ACCOUNTANT MEMBER ITA 6984/MUM/2025 निर्धारण वर्ा/Assessment Year: 2011-2012) ACIT 15(1)(2), MUMBAI GALAXY SURFACTANTS LIMITED ROOM NO 126B, 1ST FLOOR, AYAKAR BHAVAN, M K ROAD, C-49/2, GALAXY RESEARCH MUMBAI-400020, MUMBAI-400020, CENTRE, TTC INDUSTRIAL MAHARASHTRA AREA, PAWNE VILLAGE, NAVI Vs. MUMBAI , THANE , 19- MAHARASHTRA, 91-INDIA, 400703 MUMBAI-400703, MAHARASHTRA अपीलधर्थी Appellant प्रत्यर्थी Respondent CO 25/MUM/2026 निर्धारण वर्ा/Assessment Year: 2011-2012) GALAXY SURFACTANTS ACIT 15(1)(2), MUMBAI LIMITED ROOM NO 126B, 1ST FLOOR, C-49/2, GALAXY RESEARCH AYAKAR BHAVAN, M K ROAD, CENTRE, TTC INDUSTRIAL AREA, MUMBAI-400020 PAWNE VILLAGE, NAVI MUMBAI Vs. MUMBAI-400020, , THANE , 19-MAHARASHTRA, 91- MAHARASHTRA INDIA, 400703, MUMBAI-400703, MAHARASHTRA अपीलधर्थी Appellant प्रत्यर्थी Respondent

Permanent Account Number of Assessee: AAACG1539P

अपीलधर्थी द्वारा/Appellant represented by: Shri Basavaraj Hiremath - CIT DR प्रत्यर्थी द्वारा/Respondent represented by: Ms. Shubhashree, ADV. (Virtually Appear)

सुनवाई की तारीख / Date of conclusion of h

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