ACIT v. Vireet Investment Pvt. Ltd.

Tata Investment Corporation Ltd, Mumbai vs. Asst CIT 2(3), Mumbai

In the result, the appeal is partly allowed

Bench: Shri D.T. Garasia () & Shri N.K. Pradhan () Assessment Year: 2011-12 Tata Investment Corporation Acit-2(3) Ltd. Room No. 552, 5Th Floor, Vs. Elphistone Building, 2Nd Floor, Aayakar Bhavan, M.K. 10, Veer Nariman Road, Road Mumbai-400001 Mumbai-400020 Pan No. Aaact4120F Appellant Respondent Assessee By : Mr. M.M. Golvala, Ar Revenue By : Mr. V. Justin, Dr Date Of Hearing : 14/11/2017 Date Of Pronouncement : 09/02/2018

…eal before the Ld. CIT(A). The Ld. CIT(A) agreed with the reasons given by the AO and disallowed the appeal. 6. Before us, the Ld. counsel of the assessee files a copy of the order of the Special Bench of the ITAT in ACIT v. Vireet Investment (P.) Ltd. (2017) 165 ITD 27 (Delhi-Trib.), stating that computation under clause (f) of Explanation 1 to section 115JB(2) is to be made without resorting to computation as contemplated u/s 14A r.w. Rule 8D and only those investments are to be considered for computing average value of investments which yielded exempt income during the year. Also it is submitted by him that th…

DCIT 9(3)(2), Mumbai vs. Garden Court Distilleries P.Ltd, Mumbai

In the result, Revenue’s appeal is dismissed and the Cross objection of the assessee is allowed

Bench: Shri C.N. Prasad, Hon'Ble & Shri N.K. Pradhan, Hon'Bledcit-9(3)(2) V. M/S. Garden Court Distilleries Pvt. Ltd., Room No. 418, 4Th Floor, Unit No. 303/304, 3Rd Floor, Aayakar Bhavan, M.K. Road, Raheja Plaza, Off. Veera Desai Road, Mumbai-400 020 Andheri (West), Mumbai – 400 053

…IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH “D”, MUMBAI BEFORE SHRI C.N. PRASAD, HON'BLE JUDICIAL MEMBER AND SHRI N.K. PRADHAN, HON'BLE ACCOUNTANT MEMBER DCIT-9(3)(2) v. M/s. Garden Court Distilleries Pvt. Ltd., Room No. 418, 4th Floor, Unit No. 303/304, 3rd Floor, Aayakar Bhavan, M.K. Road, Raheja Plaza, Off. Veera Desai Road, Mumbai-400 020 Andheri (West), Mumbai – 400 053 PAN NO: AAACG 1457 C (Appellant) (Respondent) C.O NO.324/MUM/2017 [Arising Out of ITA NO.4784/MUM/2016 (A.Y: 2012-13)] M/s. Garden Court Distilleries Pvt. Ltd., v. DCIT-9(3)(2) Unit No. 303/304, 3rd Floor, Room No. 418, 4th Floor, Ra…

Revashankar Gems Ltd, Mumbai vs. DCIT RG 5(3), Mumbai

In the result, appeal of the assessee is partly allowed for statistical purpose

Bench: Shri C.N. Prasad, Hon'Ble & Shri N.K. Pradhan, Hon'Blem/S. Revashankar Gems Limited V. Deputy Commissioner Of Income Tax 322, Panchratna, 14, Range 5(3), R.No. 573, 5Th Floor Aayakar Bhavan, M.K. Road, Mama Parmanand Marg, Mumbai-400 020 Opera House, Mumbai 400 004

…M/s. Revashankar Gems Limited of disallowance under Rule 8D(2)(iii) only those investments which yielded dividend income should be considered for the disallowance in view of the Special Bench decision in the case of ACIT v. Vireet Investments Private Limited [165 ITD 27]. 5. Ld.DR vehemently supported the orders of the authorities below. 6. We have heard the rival submissions, perused the orders of the authorities below. The contention of the assessee that, the Capital Reserves and interest free funds are much more than the investments, have to be examined by the Assessing Officer. It is true that the Hon'ble J…

Morgan Stanley India Capital P. Ltd, Mumbai vs. DCIT 2(2), Mumbai

In the result, both the appeals of the assessee are allowed and both the appeals of the revenue are dismissed

Bench: Shri B.R. Baskaran (Am)& Shri Pawan Singh (Jm)

…s.14A of the Act cannot be added to arrive at the book profit for the purpose of section 115JB of the Act. He submitted that an identical view has been expressed by Hon'ble Delhi Special Bench of ITAT in the case of ACIT Vs. Vireet Investment Pvt. Ltd. (2017) 165 ITD 27. Accordingly, the learned AR submitted that the Ld CIT(A) was justified in deleting the addition made by the AO to compute book profit u/s. 115JB of the Act. 14. The Learned Departmental Representative, on the contrary, placed reliance on the order passed by the Assessing Officer. 15. We noticed that the plea of the Revenue has been decided agai…

ACIT 3(2)(1), Mumbai vs. Mukund Global Finance Ltd, Mumbai

In the result, appeal of the Revenue is dismissed

…आयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरण, , , , मुंबई आयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरण मुंबई मुंबई “आई मुंबई आई आई ” ” ” ” खंडपीठ आई खंडपीठ खंडपीठ खंडपीठ Income-tax Appellate Tribunal “I”Bench Mumbai सव"ी राजे"", लेखा सद"य एवं रिवश सूद, "याियक सद"य Before S/Sh. Rajendra,Accountant Member & Ravish Sood, Judicial Member आयकर अपील अपील संसंसंसं./I.T.A./6360/Mum/2016, िनधा"रण िनधा"रण वष" वष" /Assessment Year: 2011-12 आयकर आयकर आयकर अपील अपील िनधा"रण िनधा"रण वष" वष" ACIT-3(2)(1) Mukund Global Finance Ltd. 3rd Floor, Bajaj Bhavan 226, Room No.608, 6th Floor, Vs. Jamnabhai Bajaj Marg, Nariman Point Aayakar Bhavan,…

Biostadt India Ltd, Mumbai vs. Asst CIT 6(1), Mumbai

In the result, appeals of the assessee are partly allowed for statistical purpose and the appeals of the Revenue are dismissed

Bench: Shri Rajendra, Hon'Ble & Shri C.N. Prasad, Hon'Ble

…disallowance in respect of expenditure relatable to exempt income while computing the book profit u/s. 115JB. The Learned Counsel for the assessee submits that the Delhi Special Bench of the Tribunal in the case of ACIT v. Vireet Investments Private Limited [165 ITD 27] held that the computation under clause (f) of Explanation 1 to section 115JB(2) is to be made without resorting to the computation as contemplated u/s. 14A r.w. Rule 8D of the I.T Rules, 1962. Copy of the decision is placed on record. 11. Ld.DR supported the orders of the authorities below. 12. On hearing both the parties, we admit the addition…

Biostadt India Ltd, Mumbai vs. Asst CIT 6(1), Mumbai

In the result, appeals of the assessee are partly allowed for statistical purpose and the appeals of the Revenue are dismissed

Bench: Shri Rajendra, Hon'Ble & Shri C.N. Prasad, Hon'Ble

…disallowance in respect of expenditure relatable to exempt income while computing the book profit u/s. 115JB. The Learned Counsel for the assessee submits that the Delhi Special Bench of the Tribunal in the case of ACIT v. Vireet Investments Private Limited [165 ITD 27] held that the computation under clause (f) of Explanation 1 to section 115JB(2) is to be made without resorting to the computation as contemplated u/s. 14A r.w. Rule 8D of the I.T Rules, 1962. Copy of the decision is placed on record. 11. Ld.DR supported the orders of the authorities below. 12. On hearing both the parties, we admit the addition…

DCIT Cir 6(1), Mumbai vs. Biostadt India Ltd, Mumbai

In the result, appeals of the assessee are partly allowed for statistical purpose and the appeals of the Revenue are dismissed

Bench: Shri Rajendra, Hon'Ble & Shri C.N. Prasad, Hon'Ble

…disallowance in respect of expenditure relatable to exempt income while computing the book profit u/s. 115JB. The Learned Counsel for the assessee submits that the Delhi Special Bench of the Tribunal in the case of ACIT v. Vireet Investments Private Limited [165 ITD 27] held that the computation under clause (f) of Explanation 1 to section 115JB(2) is to be made without resorting to the computation as contemplated u/s. 14A r.w. Rule 8D of the I.T Rules, 1962. Copy of the decision is placed on record. 11. Ld.DR supported the orders of the authorities below. 12. On hearing both the parties, we admit the addition…

DCIT Cir 6(1), Mumbai vs. Biostadt India Ltd, Mumbai

In the result, appeals of the assessee are partly allowed for statistical purpose and the appeals of the Revenue are dismissed

Bench: Shri Rajendra, Hon'Ble & Shri C.N. Prasad, Hon'Ble

…disallowance in respect of expenditure relatable to exempt income while computing the book profit u/s. 115JB. The Learned Counsel for the assessee submits that the Delhi Special Bench of the Tribunal in the case of ACIT v. Vireet Investments Private Limited [165 ITD 27] held that the computation under clause (f) of Explanation 1 to section 115JB(2) is to be made without resorting to the computation as contemplated u/s. 14A r.w. Rule 8D of the I.T Rules, 1962. Copy of the decision is placed on record. 11. Ld.DR supported the orders of the authorities below. 12. On hearing both the parties, we admit the addition…

DCIT 9(1)(2), Mumbai vs. Ashrit Holdings Ltd, Mumbai

In the result , appeal of the Revenue in ITA No

Bench: Shri Saktijit Dey & Shri Ramit Kocharआयकर अपीऱ सं./I.T.A. No. 3284/Mum/2016 (नििाारण वर्ा / Assessment Year : 2012-13)

…purpose of computing disallowance under rule 8D(2)(iii) r.w.s. 14A, in our considered view, this decision of learned CIT(A) is in consonance with the decision of the special Bench of the tribunal in the case of ACIT v. Vireet Investment Private Limited (2017) 165 ITD 27(Del-SB) at para 11.16 , which is reproduced hereunder : “11. We have considered the submissions of both the parties and have perused the record of the case. The basic issue for consideration is that the investment, which did not yield any exempt income, should enter or not enter into the computation under Rule 8D, while arriving at the average va…

DCIT Cir 3(3), Mumbai vs. Kail Ltd, Mumbai

In the result, appeals of the Revenue are partly allowed for statistical purposes

Bench: Shri C.N. Prasad, Hon'Ble & Shri G. Manjunathan, Hon'Ble

…fit u/s 115JB of the Act on account of expenses relatable to exempt income u/s 14A r.w. Rule 8D of the I.T. Rules. 9. This issue now stands squarely covered by the decision of the Special Bench Delhi in the case of ACIT v. Vireet Investments Private Limited [165 ITD 27] wherein the Special Bench held that the computation under clause (f) of Explanation-1 to section 115JB(2) is to be made without resorting to the computation as contemplated u/s 14A r.w.Rule 8D of I.T. Rules. Thus, respectfully following the said decision we restore this issue to the file of the Assessing Officer who shall compute the book profit…