ACIT v. Vireet Investments Pvt. Ltd.

188 TTJ 1Income Tax Appellate Tribunal2017#3344 most cited

What is ACIT v. Vireet Investments Pvt. Ltd. authority for?

For the purpose of disallowing expenses under Section 14A, only investments that have yielded exempt income should be considered when calculating the average value of investments.

35

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2018 to 2026.

Also referred to as

ACIT v. Vireet Investments Pvt. Ltd. · Section 14A · Rule 8D · exempt income · dividend yielding investments · disallowance

Sections most often in play

Section 10(34)Section 14ASection 115JB

Issues it is cited on

section 10(34)disallowance u/s 14adisallowance under section 14asection 36(1)(iii)section 260section 14abook profitsarm's length pricesection 115jsection 115jbtransfer pricing adjustmentsection 92ca

Judgments citing ACIT v. Vireet Investments Pvt. Ltd.

Exlservice.Com (India) Pvt. Ltd., New Delhi vs. DCIT (Ltu), New Delhi

In the result, appeal filed by the learned assessing officer is dismissed

ITA 1708/DEL/2016[2011-12]Status: DisposedITAT Delhi26 Aug 2020AY 2011-12

Bench: Shri Amit Shukla & Shri Prashant Maharishi(Through Video Conferencing) Dcit(Ltu), Vs. Exl Service.Com (India) Pvt. Circle-1, Ltd, Nbcc Plaza Pusph Vihar, 414, 4Th Floor, Dlf Tower-B, New Delhi Plot No. 10 & 11, Dda District Centre, Jasola, New Delhi Pan: Aaace5174C (Appellant) (Respondent) Exl Service.Com (India) Pvt. Ltd, Vs. Dcit(Ltu), 414, 4Th Floor, Dlf Tower-B, Plot Circle-1, No. 10 & 11, Dda District Nbcc Plaza Pusph Vihar, Centre, Jasola, New Delhi New Delhi Pan: Aaace5174C (Appellant) (Respondent)

For Appellant: Shri Ajay Vohra, Sr. AdvFor Respondent: Shri Surendra Pal, CIT DR
Section 143(3)Section 144CSection 92D

…, as well as special bench decision in case of the Asst Commissioner of income tax versus Virret investments private limited [2017] 82 taxmann.com 415 (Delhi - Trib.) (SB)/[2017] 58 ITR(T) 313 (Delhi - Trib.) (SB)/[2017] 165 ITD 27 (Delhi - Trib.) (SB)/[2017] 188 TTJ 1 (Delhi - Trib.) (SB), we direct the AO to delete the above addition while calculating the book profit u/s 115JB of the income tax act. 27. Accordingly, ground number 10 of the appeal of the assessee is allowed. 28. Ground no 11 of the appeal is against the disallowance confirmed by the learned CIT – A u/s 40 (a) (ia) of the act of ₹ 1,960,055 on fa…

DCIT (Ltu), New Delhi vs. M/S. Exl Service.Com (India) Pvt. Ltd., New Delhi

In the result, appeal filed by the learned assessing officer is dismissed

ITA 1482/DEL/2016[2011-12]Status: DisposedITAT Delhi26 Aug 2020AY 2011-12

Bench: Shri Amit Shukla & Shri Prashant Maharishi(Through Video Conferencing) Dcit(Ltu), Vs. Exl Service.Com (India) Pvt. Circle-1, Ltd, Nbcc Plaza Pusph Vihar, 414, 4Th Floor, Dlf Tower-B, New Delhi Plot No. 10 & 11, Dda District Centre, Jasola, New Delhi Pan: Aaace5174C (Appellant) (Respondent) Exl Service.Com (India) Pvt. Ltd, Vs. Dcit(Ltu), 414, 4Th Floor, Dlf Tower-B, Plot Circle-1, No. 10 & 11, Dda District Nbcc Plaza Pusph Vihar, Centre, Jasola, New Delhi New Delhi Pan: Aaace5174C (Appellant) (Respondent)

For Appellant: Shri Ajay Vohra, Sr. AdvFor Respondent: Shri Surendra Pal, CIT DR
Section 143(3)Section 144CSection 92D

…, as well as special bench decision in case of the Asst Commissioner of income tax versus Virret investments private limited [2017] 82 taxmann.com 415 (Delhi - Trib.) (SB)/[2017] 58 ITR(T) 313 (Delhi - Trib.) (SB)/[2017] 165 ITD 27 (Delhi - Trib.) (SB)/[2017] 188 TTJ 1 (Delhi - Trib.) (SB), we direct the AO to delete the above addition while calculating the book profit u/s 115JB of the income tax act. 27. Accordingly, ground number 10 of the appeal of the assessee is allowed. 28. Ground no 11 of the appeal is against the disallowance confirmed by the learned CIT – A u/s 40 (a) (ia) of the act of ₹ 1,960,055 on fa…

Piramal Glass Private Ltd(Earlier Known As Piramal Glass Limited), Mumbai vs. DCIT 7(3)(2), Mumbai

The appeal of the assessee is partly allowed

ITA 556/MUM/2018[2013-14]Status: DisposedITAT Mumbai22 Jun 2020AY 2013-14

Bench: Shri Vikas Awasthy & Shri N.K.Pradhanआअसं. 556/मुं/2018 ("न.व. 2013-14) Piramal Glass Private Limited, (Earlier Known As Piramal Glass Ltd) Piramal Tower, Ganpatrao Kadam Marg, Lower Parel, Mumbai – 400 013 Pan: Aabcg0093R ...... अपीलाथ" /Appellant

For Appellant: Shri Ronak G. Doshi with Shri Hardik NirmalFor Respondent: Shri A. Mohan
Section 143(3)

…ct for the purpose of computing profit book profits under section 115JB 14 of the Act. The ld.Authorized Representative of the assessee pointed that in view of recent decision of Special Bench in the case of ACIT vs. Vireet Investments Pvt. Ltd. reported as 188 TTJ 1(Del-Trib)(SB), the computation of book profit under section 115JB are to be made without resorting to computation as contemplated under section 14A r.w.r. 8D. 4.9.1 The ld. Departmental Representative vehemently supported the findings of Assessing Officer and prayed for dismissing this ground of appeal. 4.9.2 Both sides heard. Since we have alrea…

DCIT - 14(2)(1), Mumbai vs. Kotak Mahindra Prime Limited, Mumbai

In the result, the appeal of the Revenue is dismissed

ITA 5659/MUM/2018[2012-13]Status: DisposedITAT Mumbai17 Feb 2020AY 2012-13

Bench: Shri Vikas Awasthy & Shri Rifaur Rahmandy.Commissioner Of Income Tax 14(2)(1) Room No.432, 4Th Floor, Aaykar Bhavan, M.K.Road, Mumbai- 400 021 ...... Appellant

For Appellant: S/Shri F.V.Irani / Chetan KakkaFor Respondent: Shri Narendra Singh Jangpangi
Section 14ASection 36

…ee placed reliance on the judgment of the Hon’ble Supreme Court of India in the case of Principal CIT vs. State Bank of Patiala, 259 Taxman 314 and the decision of Special Bench of the Tribunal in the case of ACIT vs. Vireet Investments Pvt. Ltd., reported as 188 TTJ 1(Del-Trib)(SB). 4 ITA NO.5603/MUM/2018(A.Y.2012-13) 4.2 The ld. Authorized Representative for the assessee contended that Assessing Officer while computing disallowance under section 14A of the Act r.w.r.8D had also made disallowance in respect of interest expenditure. The CIT(A) granted relief to the assessee in respect of disallowance on inter…

Kotak Mahindra Prime Limited, Mumbai vs. ACIT (Hq) (Judl) to the Pr. CIT . 14, Mumbai

In the result, the appeal of the Revenue is dismissed

ITA 5603/MUM/2018[2012-13]Status: DisposedITAT Mumbai17 Feb 2020AY 2012-13

Bench: Shri Vikas Awasthy & Shri Rifaur Rahmandy.Commissioner Of Income Tax 14(2)(1) Room No.432, 4Th Floor, Aaykar Bhavan, M.K.Road, Mumbai- 400 021 ...... Appellant

For Appellant: S/Shri F.V.Irani / Chetan KakkaFor Respondent: Shri Narendra Singh Jangpangi
Section 14ASection 36

…ee placed reliance on the judgment of the Hon’ble Supreme Court of India in the case of Principal CIT vs. State Bank of Patiala, 259 Taxman 314 and the decision of Special Bench of the Tribunal in the case of ACIT vs. Vireet Investments Pvt. Ltd., reported as 188 TTJ 1(Del-Trib)(SB). 4 ITA NO.5603/MUM/2018(A.Y.2012-13) 4.2 The ld. Authorized Representative for the assessee contended that Assessing Officer while computing disallowance under section 14A of the Act r.w.r.8D had also made disallowance in respect of interest expenditure. The CIT(A) granted relief to the assessee in respect of disallowance on inter…

Asst CIT 1(2)1, Mumbai vs. Standard Chartered Investments & Loans (India) Ltd, Mumbai

In the result, this ground of appeal is allowed for statistical

ITA 7089/MUM/2016[2007-08]Status: DisposedITAT Mumbai29 Jan 2020AY 2007-08

Bench: Shri Pawan Singh & Shri S. Rifaur Rehman

For Appellant: Shri Dhanesh Bafna with MsFor Respondent: Shri Simi Samant (CIT-DR)
Section 14ASection 254(1)

…inistrative disallowance only those investment which yielded exempt income is to be considered for calculating disallowance under Rule 8D(2)(iii). In support of his submission, the ld. AR of the assessee the decision of ACIT vs. Vireet Investment (P.) Ltd. (188 TTJ 1 (Del. Trib.) (SB), Sajjan India Ltd. vs. ACIT (89 taxmann.com 21 (Mum. Trib.), Kalyani Barter Pvt. Ltd. vs. ITO [2017] 79 taxmann.com 457 (Kol. Trib.), Yashoda Health Care Services Pvt. Ltd. vs. DCIT [2017] 88 taxmann.com 916 (Hyd. Trib.), REI Agro Ltd. vs. DCIT [2013] 35 taxmann.com 404 (Kol. Trib.) & Ewart Investments Ltd. vs. DCIT (ITA No.…

Standard Chartered Investments & Loans (India) Ltd, Mumbai vs. DCIT 1(3), Mumbai

In the result, this ground of appeal is allowed for statistical

ITA 7070/MUM/2016[2008-09]Status: DisposedITAT Mumbai29 Jan 2020AY 2008-09

Bench: Shri Pawan Singh & Shri S. Rifaur Rehman

For Appellant: Shri Dhanesh Bafna with MsFor Respondent: Shri Simi Samant (CIT-DR)
Section 14ASection 254(1)

…inistrative disallowance only those investment which yielded exempt income is to be considered for calculating disallowance under Rule 8D(2)(iii). In support of his submission, the ld. AR of the assessee the decision of ACIT vs. Vireet Investment (P.) Ltd. (188 TTJ 1 (Del. Trib.) (SB), Sajjan India Ltd. vs. ACIT (89 taxmann.com 21 (Mum. Trib.), Kalyani Barter Pvt. Ltd. vs. ITO [2017] 79 taxmann.com 457 (Kol. Trib.), Yashoda Health Care Services Pvt. Ltd. vs. DCIT [2017] 88 taxmann.com 916 (Hyd. Trib.), REI Agro Ltd. vs. DCIT [2013] 35 taxmann.com 404 (Kol. Trib.) & Ewart Investments Ltd. vs. DCIT (ITA No.…

Lakshmi Machine Works Ltd., Coimbatore vs. Addl.CIT, Coimbatore

In the result, appeal filed by assessee in ITA No

ITA 1387/CHNY/2017[2012-13]Status: DisposedITAT Chennai20 Jan 2020AY 2012-13

Bench: Shri N.R.S. Ganesan & Shri Ramit Kochar"नधा(रण वष( /Assessment Year: 2012-13 V. M/S.Lakshmi Machine Works Ltd., The Addl.Cit, Perianaickenpalayam, Corporate Range, S.R.K.V. Post, Coimbatore. Coimbatore-641 020. [Pan: Aaacl 5244 N ] (अपीलाथ+/Appellant) (,-यथ+/Respondent) : Mr. R.Vijayaraghavan, Adv. अपीलाथ+ क. ओर से/ Appellant By : Mr. M.Srinivasa Rao, Cit ,-यथ+ क. ओर से /Respondent By : 07.11.2019 सुनवाई क. तार"ख/Date Of Hearing : 20.01.2020 घोषणा क. तार"ख /Date Of Pronouncement आदेश / O R D E R Per Ramit Kochar:

For Appellant: Mr. M.Srinivasa Rao, CITFor Respondent: 07.11.2019
Section 143(2)Section 143(3)Section 14ASection 43(2)

…आयकर अपील"य अ"धकरण, ’डी’ "यायपीठ, चे"नई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘D’ BENCH: CHENNAI "ी एन.आर.एस. गणेशन, "या"यक सद"य एवं "ी र"मत कोचर, लेखा सद"य के सम' BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI RAMIT KOCHAR, ACCOUNTANT MEMBER "नधा(रण वष( /Assessment Year: 2012-13 v. M/s.Lakshmi Machine Works Ltd., The Addl.CIT, Perianaickenpalayam, Corporate Range, S.R.K.V. Post, Coimbatore. Coimbatore-641 020. [PAN: AAACL 5244 N ] (अपीलाथ+/Appellant) (,-यथ+/Respondent) : Mr. R.Vijayaraghavan, Adv. अपीलाथ+ क. ओर से/ Appellant by : Mr. M.Srinivasa Rao, CIT ,-यथ+ क. ओर से /Respondent by : 07.11.2019 सुनवाई क…

Assistant Commissioner of Income-Tax vs. Persistent Systems Pvt. Ltd., Pune

In the result, the appeal of Revenue is dismissed

ITA 2336/PUN/2016[2011-12]Status: DisposedITAT Pune30 Apr 2019AY 2011-12

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita No.2336/Pun/2016 यििाारण वषा / Assessment Year : 2011-12 The Asst. Commissioner Of Income Tax, अऩीऱाथी/Appellant Circle – 4, Pune …. Vs. Persistent Systems Pvt. Ltd., Bhageerath, 402, Senapati Bapat Marg, …. प्रत्यथी / Respondent Pune – 411016 Pan: Aabcp1209Q

For Appellant: Shri Dhanesh BafnaFor Respondent: Shri S.B. Prasad, CIT
Section 10Section 10ASection 10A(7)Section 11Section 115JSection 12Section 143(3)Section 14ASection 80Section 80I

…precedents on the issue, allowed the claim of assessee, against which the Revenue is in appeal. 8. We find that the issue raised is squarely covered by the ratio laid down by the Special Bench of Delhi Tribunal in ACIT Vs. Vireet Investment (P.) Ltd. (2017) 188 TTJ 1 (Delhi-Trib.) (SB), wherein the issue was that whether the amount of expenditure relatable to exempt income as contemplated in clause (f) to Explanation 1 to section 115JB(2) of the Act could be arrived at by resorting to provisions of section 14A of the Act. The Special Bench held that section 115JB is a separate code in itself and Explanation 1(f…

DCIT, C-I, Ludhiana vs. M/S Rico Auto Industries Limited, Ludhiana

ITA 800/CHANDI/2018[2013-14]Status: DisposedITAT Chandigarh23 Apr 2019AY 2013-14
For Appellant: Shri. Vipin GuptaFor Respondent: Smt. Renu Amitabh, CIT DR
Section 14ASection 36

…आयकर अपील"य अ"धकरण,च"डीगढ़ "यायपीठ “बी”, च"डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH ”B”, CHANDIGARH "ी संजय गग", "या"यक सद"य एवं डा. बी.आर.आर, कुमार, लेखा सद"य BEFORE: SH.SANJAY GARG, JUDICIAL MEMBER & DR. B.R.R. KUMAR, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No. 800/Chd/2018 "नधा"रण वष" / Assessment Year : 2013-14 बनाम The DCIT, C-1 M/s Rico Auto Industries Ltd. Circle 1, Ludhiana B-26, Focal Point Punjab Ludhiana, Punjab "थायी लेखा सं./PAN No: AAACR8724R अपीलाथ"/Appellant ""यथ"/Respondent "नधा"रती क" ओर से/Assessee by : Shri. Vipin Gupta राज"व क" ओर से/ Revenue by : Smt. Renu Amitabh, CIT DR…

Firstsource Solutions Ltd, Mumbai vs. DCIT Cir 12(2)(1), Mumbai

The appeal of the assessee is allowed in terms of our aforesaid observations

ITA 2258/MUM/2017[2012-13]Status: DisposedITAT Mumbai12 Apr 2019AY 2012-13

Bench: Shri G. Manjunatha & Shri Ravish Soodit(Tp)A. No.2258/Mum/2017 (Assessment Year: 2012-13) Firstsource Solutions Limited The Deputy Commissioner Of 5Th Floor, Paradigm B, Income Tax, Circle- 12(2)(1), Mindspace New Link Road, Aayakar Bhavan, Vs. Malad (West), Maharshi Karve Road, Mumbai – 400 064 Mumbai – 400 020

For Appellant: Shri Farrokh V. Irani, A.RFor Respondent: Shri Rignesh K. Das, D.R
Section 10ASection 115JSection 143(3)Section 14ASection 234D

…the tax liability u/s 115JB was concerned, it was submitted by the ld. A.R that the said issue was squarely covered in favour of the assessee by the decision of the „Special Bench‟ of the ITAT, Delhi in the case of ACIT Vs. Vireet Investment Pvt. ltd. (2017) 188 TTJ 1 (Del) (SB). As regards the Transfer Pricing Adjustments made by the A.O/TPO under the directions of the DRP on account of „guarantee commission‟ as had been assailed by the assessee in the present appeal, it was submitted by the ld. A.R that as the assessee had gone for an “Advance Pricing Agreement” (for short „APA‟) which had been finalised on 08…

Deputy Commissioner of Income-Tax vs. Rajmal Lakhichand Jewellers Pvt. Ltd

Appeal of the assessee is partly allowed and appeal of the Department is dismissed

ITA 834/PUN/2015[2010-11]Status: DisposedITAT Pune07 Mar 2018AY 2010-11

Bench: Shri D. Karunakara Rao, Am & Shri Vikas Awasthy, Jm

For Appellant: Shri Sunil PathakFor Respondent: Shri Rajeev Kumar
Section 143(2)Section 14ASection 40A(2)(a)

…ore, no exempt income has been earned by assessee from investments made in group concerns. The ld. AR placing reliance on the decision of Special Bench of Tribunal in the case of Assistant Commissioner of Income Tax Vs. Vireet Investments (P) Ltd. reported as 188 TTJ 1 (Del) (SB) and Goyal Ishwarchand Kishorilal Vs. JCIT in ITA No. 422/PN/2013 for assessment year 2009-10 decided on 26-06-2014 u/s. 14A is warranted. 10. We have heard the submissions made by representatives of rival sides and have perused the orders of authorities below. The ground No. 1 raised in the appeal by assessee is with respect to time bar…

Rajmal Lakhichand Jewellers Pvt. Ltd., Jalgaon vs. Deputy Commissioner of Income-Tax, Jalgaon

Appeal of the assessee is partly allowed and appeal of the Department is dismissed

ITA 672/PUN/2015[2010-11]Status: DisposedITAT Pune07 Mar 2018AY 2010-11

Bench: Shri D. Karunakara Rao, Am & Shri Vikas Awasthy, Jm

For Appellant: Shri Sunil PathakFor Respondent: Shri Rajeev Kumar
Section 143(2)Section 14ASection 40A(2)(a)

…ore, no exempt income has been earned by assessee from investments made in group concerns. The ld. AR placing reliance on the decision of Special Bench of Tribunal in the case of Assistant Commissioner of Income Tax Vs. Vireet Investments (P) Ltd. reported as 188 TTJ 1 (Del) (SB) and Goyal Ishwarchand Kishorilal Vs. JCIT in ITA No. 422/PN/2013 for assessment year 2009-10 decided on 26-06-2014 u/s. 14A is warranted. 10. We have heard the submissions made by representatives of rival sides and have perused the orders of authorities below. The ground No. 1 raised in the appeal by assessee is with respect to time bar…

Deputy Commissioner of Income-Tax vs. M/S. Rajmal Lakhichand

In the result, appeal of the Department is dismissed

ITA 832/PUN/2015[2010-11]Status: DisposedITAT Pune28 Feb 2018AY 2010-11

Bench: Shri D. Karunakara Rao, Am & Shri Vikas Awasthy, Jm

For Appellant: Shri Sunil PathakFor Respondent: Shri Rajeev Kumar
Section 143(2)Section 14ASection 2(22)(e)Section 36(1)(iii)Section 40A(2)(a)

…ore, no exempt income has been earned by assessee from investments made in group concerns. The ld. AR placing reliance on the decision of Special Bench of Tribunal in the case of Assistant Commissioner of Income Tax Vs. Vireet Investments (P) Ltd. reported as 188 TTJ 1 (Del) (SB) and Goyal Ishwarchand Kishorilal Vs. JCIT in ITA No. 422/PN/2013 for assessment year 2009-10 decided on 26-06-2014 u/s. 14A is warranted. 13. In respect of ground No. 3 relating to advertisement expenses, the ld. AR submitted that though the assessee has business outlet in Jalgaon but the assessee has customers coming from other cities…

M/S. Rajmal Lakhichand vs. Deputy Commissioner of Income-Tax

In the result, appeal of the Department is dismissed

ITA 670/PUN/2015[2010-11]Status: DisposedITAT Pune28 Feb 2018AY 2010-11

Bench: Shri D. Karunakara Rao, Am & Shri Vikas Awasthy, Jm

For Appellant: Shri Sunil PathakFor Respondent: Shri Rajeev Kumar
Section 143(2)Section 14ASection 2(22)(e)Section 36(1)(iii)Section 40A(2)(a)

…ore, no exempt income has been earned by assessee from investments made in group concerns. The ld. AR placing reliance on the decision of Special Bench of Tribunal in the case of Assistant Commissioner of Income Tax Vs. Vireet Investments (P) Ltd. reported as 188 TTJ 1 (Del) (SB) and Goyal Ishwarchand Kishorilal Vs. JCIT in ITA No. 422/PN/2013 for assessment year 2009-10 decided on 26-06-2014 u/s. 14A is warranted. 13. In respect of ground No. 3 relating to advertisement expenses, the ld. AR submitted that though the assessee has business outlet in Jalgaon but the assessee has customers coming from other cities…