1. CIT v. Menon Impex (P) Ltd. (Mad)

304 ITR 322High Court#8964 most cited

What is 1. CIT v. Menon Impex (P) Ltd. (Mad) authority for?

Interest income earned from deposits of export proceeds in a bank does not have a direct nexus with an industrial undertaking and therefore cannot be considered as business income for the purpose of claiming deductions.

12

judgments rely on this decision, according to BharatTax’s citation analysis of 366,314 Indian tax judgments — from 2015 to 2018.

Also referred to as

CIT v. Menon Impex (P) Ltd. · India Comnet International v. ITO · 304 ITR 322 · Section 10B · Section 10AA · export proceeds · bank deposits · interest income · business income · direct nexus · industrial undertaking

Judgments citing 1. CIT v. Menon Impex (P) Ltd. (Mad)

Sahana Jewellery Exports Private Limited, Coimbatore vs. DCIT Corporate Circle 1, Coimbatore

In the result, the appeal of the assessee stands dismissed

ITA 1814/CHNY/2017[2013-14]Status: DisposedITAT Chennai16 Feb 2018AY 2013-14

Bench: Shri Abraham P. George & Shri Duvvuru Rl Reddy] आयकर अपील सं./I.T.A. No.1814/Chny/2017 "नधा"रण वष" /Assessment Year : 2013-2014. M/S. Sahana Jewellery Exports Vs. The Deputy Commissioner Of Private Limited, Income Tax, 600, Raja Street, Corporate Circle 1, Coimbatore 641 001. Coimbatore. [Pan Aaecs 7045N] (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Respondent: Shri. R.U. Aroon Prasad, IRS, JCIT
Section 10A

…he case of CIT vs. Punit Commercial Ltd, 245 ITR 550 ld. Assessing Officer did not accept the above contention of the assessee. According to him, by virtue of judgment of Hon’ble Jurisdictional High Court in the case of India Comnet International vs. ITO, 304 ITR 322, interest received by the assessee ITA No.1814 /2017 :- 3 -: on deposits made in bank could not be considered as business income. Thus, he excluded the interest from the business profits of the assessee and effectively denied exemption claimed by the assessee u/s.10AA of the Act. Assessee’s appeal before ld. Commissioner of Income Tax 3. (…

Value Labs LLP, Hyd, Hyderabad vs. DCIT, Circle-8(1), Hyderabad

In the result, grounds pertaining to ‘other income’ are considered allowed and grounds pertaining to interest income are considered allowed for statistical purposes

ITA 392/HYD/2016[2009-10]Status: DisposedITAT Hyderabad24 Jan 2018AY 2009-10

Bench: Smt. P. Madhavi Devi & Shri B. Ramakotaiah

For Appellant: Shri P. Murali Mohan Rao, ARFor Respondent: Smt. N. Swapna, DR
Section 10Section 10ASection 10BSection 56

…case of Pandian Chemicals Ltd., Vs. CIT [262 ITR 278] (SC). Ld.DR also placed on record the decision of Hon'ble High Court of Madras in the case of CIT Vs. Menon Impex (P.) Ltd., [259 ITR 403] (Madras) which was followed in India Comnet International Vs. ITO [304 ITR 322] (Madras). It was the submission that there was no nexus between interest earned and industrial undertaking. Therefore, assessee is not entitled for deduction u/s. 10A. 8. We have considered the rival contentions and perused the various case law placed on record. As seen from the order of the AO, AO has not treated the interest income and other…

ITO, New Delhi vs. M/S. Xlnc Fashions, New Delhi

In the result, the appeal of the department is dismissed

ITA 3520/DEL/2014[2010-11]Status: DisposedITAT Delhi28 Sept 2017AY 2010-11

Bench: Sh. N. K. Saini, Am & Sh. K. N. Chary, Jm Ita No. 3520/Del/2014 : Asstt. Year : 2010-11 Income Tax Officer, Vs M/S Xlnc Fashions, Ward-22(2), A-14, New Friends Colony, New Delhi New Delhi-110065 (Appellant) (Respondent) Pan No. Aaafx0026B Assessee By : None Revenue By : Sh. Sampoornanand, Sr. Dr Date Of Hearing : 28.09.2017 Date Of Pronouncement : 28.09.2017 Order Per N. K. Saini, Am: This Is An Appeal By The Department Against The Order Dated 14.03.2014 Of Ld. Cit(A)-Xxiii, New Delhi.

For Appellant: NoneFor Respondent: Sh. Sampoornanand, Sr. DR
Section 10BSection 80I

…ments : (a) CIT Vs. Menon Impex Pvt. Ltd. 259 ITR 403 (Mad) (b) CIT Vs. Sterling Foods 237 ITR 579 (SC) (c) Liberty India Vs. CIT (2009) 317 ITR 0218 (SC) (d) ITO Vs. Banyan Chemicals Pvt. Ltd. 310 ITR (AT) 384 (Ahd)(TM) (e) India Comnet International Vs. ITO 304 ITR 322 (Mad) However, in the instant case, I am bound by the judgment pronounced by Hon'ble ITAT, New Delhi, which is the jurisdictional bench of Hon'ble ITAT, in the appellant's own case for A.Y.2009-10, which is the immediately preceding assessment year, on exactly similar facts. Therefore, respectfully following the above mentioned judgment of Hon'bl…

Vesuvius India Limited, Kolkata vs. DCIT, Circle - 10, Kolkata

ITA 614/KOL/2011[2004-05]Status: DisposedITAT Kolkata28 Dec 2016AY 2004-05
For Appellant: Shri Soumen Adak, FCAFor Respondent: Shri Rajat Kumar Kureel, JCIT Sr. DR
Section 143(3)Section 80Section 80I

…d for the purpose of business of the Industrial Undertaking does not establish a direct nexus between the interest and the Industrial Undertaking. The similar view was taken by the Hon'ble Madras High Court in the case of IndiaComnet International reported in 304 ITR 322. In this case, the assessee received the export proceeds and the same was deposited in the bank and the income was derived from the said deposit. It was held by the Hon'ble High Court that there was no direct nexus between interest and the industrial Undertaking. In the case of Shri Ram Honda Power Equipment reported in 289 ITR 475 it was held by…

Vesuvius India Limited, Kolkata vs. DCIT, Circle - 10, Kolkata

ITA 613/KOL/2011[2003-04]Status: DisposedITAT Kolkata28 Dec 2016AY 2003-04
For Appellant: Shri Soumen Adak, FCAFor Respondent: Shri Rajat Kumar Kureel, JCIT Sr. DR
Section 143(3)Section 80Section 80I

…d for the purpose of business of the Industrial Undertaking does not establish a direct nexus between the interest and the Industrial Undertaking. The similar view was taken by the Hon'ble Madras High Court in the case of IndiaComnet International reported in 304 ITR 322. In this case, the assessee received the export proceeds and the same was deposited in the bank and the income was derived from the said deposit. It was held by the Hon'ble High Court that there was no direct nexus between interest and the industrial Undertaking. In the case of Shri Ram Honda Power Equipment reported in 289 ITR 475 it was held by…

A.C.I.T Cir - 36, Kolkata. vs. M/S Sri Ram Commercial Co, Kolkata

In the result, Revenue’s appeal is dismissed

ITA 623/KOL/2013[2008-2009]Status: DisposedITAT Kolkata18 Nov 2016AY 2008-2009

Bench: Shri N.V.Vasudevan & Shri Waseem Ahmed

Section 10BSection 143(1)Section 143(3)Section 147Section 148

…us between income and the undertaking. Therefore, such interest is not eligible for exemption u/s. 10A. I refer to the following cases upholding the above decision: 1. CIT vs. Menon Impex (P) Ltd. (Mad) 259 ITR 403 2. India Comnet International vs. ITO (Mad) 304 ITR 322 6.1.2 In view of the above discussions I dismiss ground no. 5 of the appeal and confirm the assessment made by the AO.” Being aggrieved by this order of Ld. CIT(A) assessee came in second appeal before us. 17. Before us Ld. AR submitted that interest income was earned on the margin money deposit in bank for the purpose of availing the credit fa…

Income Tax Officer Ward-4(4), Kolkata vs. M/S Tea Propoters (India) Pvt. Ltd., Kolkata

In the result, Revenue’s appeal is dismissed

ITA 2161/KOL/2013[2002-03]Status: DisposedITAT Kolkata18 Nov 2016AY 2002-03

Bench: Shri N.V.Vasudevan & Shri Waseem Ahmed

Section 10BSection 143(1)Section 143(3)Section 147Section 148

…us between income and the undertaking. Therefore, such interest is not eligible for exemption u/s. 10A. I refer to the following cases upholding the above decision: 1. CIT vs. Menon Impex (P) Ltd. (Mad) 259 ITR 403 2. India Comnet International vs. ITO (Mad) 304 ITR 322 6.1.2 In view of the above discussions I dismiss ground no. 5 of the appeal and confirm the assessment made by the AO.” Being aggrieved by this order of Ld. CIT(A) assessee came in second appeal before us. 17. Before us Ld. AR submitted that interest income was earned on the margin money deposit in bank for the purpose of availing the credit fa…

M/S Tea Promoters (India) Pvt Ltd, Kolkata vs. D.C.I.T RG - 4, Kolkata

In the result, Revenue’s appeal is dismissed

ITA 1897/KOL/2013[2003-04]Status: DisposedITAT Kolkata18 Nov 2016AY 2003-04

Bench: Shri N.V.Vasudevan & Shri Waseem Ahmed

Section 10BSection 143(1)Section 143(3)Section 147Section 148

…us between income and the undertaking. Therefore, such interest is not eligible for exemption u/s. 10A. I refer to the following cases upholding the above decision: 1. CIT vs. Menon Impex (P) Ltd. (Mad) 259 ITR 403 2. India Comnet International vs. ITO (Mad) 304 ITR 322 6.1.2 In view of the above discussions I dismiss ground no. 5 of the appeal and confirm the assessment made by the AO.” Being aggrieved by this order of Ld. CIT(A) assessee came in second appeal before us. 17. Before us Ld. AR submitted that interest income was earned on the margin money deposit in bank for the purpose of availing the credit fa…

M/S Tea Promoters (India) Pvt. Ltd., Kolkata vs. DCIT, Circle - 4, Kolkata

In the result, Revenue’s appeal is dismissed

ITA 1841/KOL/2013[2002-03]Status: DisposedITAT Kolkata18 Nov 2016AY 2002-03

Bench: Shri N.V.Vasudevan & Shri Waseem Ahmed

Section 10BSection 143(1)Section 143(3)Section 147Section 148

…us between income and the undertaking. Therefore, such interest is not eligible for exemption u/s. 10A. I refer to the following cases upholding the above decision: 1. CIT vs. Menon Impex (P) Ltd. (Mad) 259 ITR 403 2. India Comnet International vs. ITO (Mad) 304 ITR 322 6.1.2 In view of the above discussions I dismiss ground no. 5 of the appeal and confirm the assessment made by the AO.” Being aggrieved by this order of Ld. CIT(A) assessee came in second appeal before us. 17. Before us Ld. AR submitted that interest income was earned on the margin money deposit in bank for the purpose of availing the credit fa…

DCIT, Cir-12, Kolkata vs. M/S Gujrat Nre Coke Ltd., Kolkata

In the result, the appeal filed by the revenue is dismissed

ITA 68/KOL/2014[2004-2005]Status: DisposedITAT Kolkata21 Sept 2016AY 2004-2005

Bench: Hon’Ble Shri N.V.Vasudevan, Jm & Dr.Arjun Lal Saini, Am ] Assessment Year : 2004-05 D.C.I.T., Circle-12, -Versus- M/S. Gujarat Nre Coke Ltd. Kolkata Kolkata [Pan: Aabcg 6225 H] (Appellant) (Respondent) For The Appellant : Shri G.Mallikarjuna, Cit(Dr) For The Respondent : Shri Ravi Tulsiyan, Fca Date Of Hearing : 04.08.2016 Date Of Pronouncement : 21.09.2016. Order

For Appellant: Shri G.Mallikarjuna, CIT(DR)For Respondent: Shri Ravi Tulsiyan, FCA
Section 147Section 148Section 80Section 801Section 801BSection 80ISection 80l

…IN THE INCOME TAX APPELLATE TRIBUNAL, BENCH ‘C’ KOLKATA [Before Hon’ble Shri N.V.Vasudevan, JM & Dr.Arjun Lal Saini, AM ] Assessment Year : 2004-05 D.C.I.T., Circle-12, -versus- M/s. Gujarat NRE Coke Ltd. Kolkata Kolkata [PAN: AABCG 6225 H] (Appellant) (Respondent) For the Appellant : Shri G.Mallikarjuna, CIT(DR) For the Respondent : Shri Ravi Tulsiyan, FCA Date of Hearing : 04.08.2016 Date of Pronouncement : 21.09.2016. ORDER Per Dr.Arjun Lal Saini, AM The captioned appeal filed by the revenue pertaining to A.Y.2004-05, is directed against the order passed by the Commissioner of Income Tax –(A)-XII, Ko…

Shreeji Jewellery Designs Ltd, Mumbai vs. ACIT., Cir.-8(3), Mumbai

In the result, the appeal of the assessee i

ITA 431/MUM/2013[2009-10]Status: DisposedITAT Mumbai30 Dec 2015AY 2009-10

Bench: Shri Rajendra & Shri Sanjay Gargआयकर अपील सं./Ita Nos.430 & 431/M/2013 ("नधा"रण वष" "नधा"रण वष" "नधा"रण वष" / Assessment Years: 2008-09 & 2009-10) "नधा"रण वष" M/S. Neysa Jewellery Ltd., Asst. Comm. Of Income (Ultimate Successor Of M/S. Tax, Shreeji Jewellery Designs), Circle 15(1), बनाम/Vs. बनाम बनाम बनाम Plot No.Gj-11, Seepz It Aayakar Bhavan, Andheri (East), M.K. Road, Mumbai – 400 020 Mumbai – 400 020 Pan: Aaecs 1821J (अपीलाथ"/Appellant) (""यथ"/Respondent) Present For: Assessee By : Shri I.P. Rathi, A.R. Revenue By : Shri B.S.N. Raju, D.R. सुनवाई क" तार"ख/Date Of Hearing : 12.11.2015 घोषणा क" तार"ख /Date Of Pronouncement : 30.12.2015 आदेश / O R D E R

For Appellant: Shri I.P. Rathi, A.RFor Respondent: Shri B.S.N. Raju, D.R
Section 10ASection 57

…assessee while deciding the issue on para 2.3 as under: "I have examined the issue. As far as interest income is concerned, I find that this issue now stands covered in favour of revenue by decision of the Madras High Court in the case of Cornet International 304 ITR 322, wherein the court has held that interest income has no direct nexus with the industrial undertaking and hence, was not eligible for deduction u/s 10A. The Madras High Court has followed its own judgment in the case of Menon Impex Pvt. Ltd. 259 ITR 403. This issue is also covered by the decision of the Mumbai Tribunal in the case of Tricom India…

Shreeji Jewellery Designs, Mumbai vs. ACIT., Cir.-15(1), Mumbai

In the result, the appeal of the assessee i

ITA 430/MUM/2013[2008-09]Status: DisposedITAT Mumbai30 Dec 2015AY 2008-09

Bench: Shri Rajendra & Shri Sanjay Gargआयकर अपील सं./Ita Nos.430 & 431/M/2013 ("नधा"रण वष" "नधा"रण वष" "नधा"रण वष" / Assessment Years: 2008-09 & 2009-10) "नधा"रण वष" M/S. Neysa Jewellery Ltd., Asst. Comm. Of Income (Ultimate Successor Of M/S. Tax, Shreeji Jewellery Designs), Circle 15(1), बनाम/Vs. बनाम बनाम बनाम Plot No.Gj-11, Seepz It Aayakar Bhavan, Andheri (East), M.K. Road, Mumbai – 400 020 Mumbai – 400 020 Pan: Aaecs 1821J (अपीलाथ"/Appellant) (""यथ"/Respondent) Present For: Assessee By : Shri I.P. Rathi, A.R. Revenue By : Shri B.S.N. Raju, D.R. सुनवाई क" तार"ख/Date Of Hearing : 12.11.2015 घोषणा क" तार"ख /Date Of Pronouncement : 30.12.2015 आदेश / O R D E R

For Appellant: Shri I.P. Rathi, A.RFor Respondent: Shri B.S.N. Raju, D.R
Section 10ASection 57

…assessee while deciding the issue on para 2.3 as under: "I have examined the issue. As far as interest income is concerned, I find that this issue now stands covered in favour of revenue by decision of the Madras High Court in the case of Cornet International 304 ITR 322, wherein the court has held that interest income has no direct nexus with the industrial undertaking and hence, was not eligible for deduction u/s 10A. The Madras High Court has followed its own judgment in the case of Menon Impex Pvt. Ltd. 259 ITR 403. This issue is also covered by the decision of the Mumbai Tribunal in the case of Tricom India…