Alembic Chemical Works Co. Ltd. v. CIT

177 ITR 377Supreme Court of India1989#288 most cited

What is Alembic Chemical Works Co. Ltd. v. CIT authority for?

Expenditure that provides a commercial advantage of an enduring nature may still be classified as revenue expenditure if its purpose is to facilitate existing trading operations, improve business efficiency, or upgrade existing products, depending on the specific context and objective.

275

judgments rely on this decision, according to BharatTax’s citation analysis of 367,518 Indian tax judgments — from 2008 to 2026.

Also referred to as

Alembic Chemical Works Co. Ltd. v. CIT · Section 37(1) · revenue expenditure · capital expenditure · enduring benefit test · commercial advantage · upgrading existing products · business efficiency · existing business · product improvement

Also reported as

43 Taxmann 312

Sections most often in play

Section 143(3)Section 37(1)Section 250Section 32Section 35(1)(iv)Section 35(2AB)Section 234BSection 35D
Read the full judgment

Issues it is cited on

test of enduring benefitenduring benefitsection 35(2ab)section 40a(2)(b)revenue expenditurecapital expendituresection 35section 32fair market valuesection 40(a)section 40aassociated enterprise

Judgments citing Alembic Chemical Works Co. Ltd. v. CIT

M/S Contitech India Pvt. Ltd., New Delhi vs. ACIT, New Delhi

The appeal of the assessee is allowed

ITA 5222/DEL/2011[2007-08]Status: DisposedITAT Delhi22 Jun 2021AY 2007-08

Bench: Sh. Anil Chaturvedi & Sh. Kuldip Singh(Through Video Conferencing)

Section 143(3)Section 144CSection 14A

…te of 1.8% of the total sale is made by the assessee. The case of the assessee, in our opinion, is directly covered by the decisions of the Hon’ble Supreme Court in the case of (1) CIT vs. Ciba of India, 68 ITR 692 and Alembic Chemical Works Co. Ltd. vs. CIT, 177 ITR 377 (SC); and the decision of the Hon’ble Andhra Pradesh High Court in the case of Praga Tools Ltd. vs CIT, 123 ITR 773(AP). The payment is not for acquiring any asset of enduring nature nor any asset has been acquired by the assessee by making this payment. It had only transferred the right and exclusive license to use the know-how to sell product i…

M/S Contitech India Pvt. Ltd., New Delhi vs. DCIT, New Delhi

The appeal of the assessee is allowed

ITA 5088/DEL/2010[2006-07]Status: DisposedITAT Delhi22 Jun 2021AY 2006-07

Bench: Sh. Anil Chaturvedi & Sh. Kuldip Singh(Through Video Conferencing)

Section 143(3)Section 144CSection 14A

…te of 1.8% of the total sale is made by the assessee. The case of the assessee, in our opinion, is directly covered by the decisions of the Hon’ble Supreme Court in the case of (1) CIT vs. Ciba of India, 68 ITR 692 and Alembic Chemical Works Co. Ltd. vs. CIT, 177 ITR 377 (SC); and the decision of the Hon’ble Andhra Pradesh High Court in the case of Praga Tools Ltd. vs CIT, 123 ITR 773(AP). The payment is not for acquiring any asset of enduring nature nor any asset has been acquired by the assessee by making this payment. It had only transferred the right and exclusive license to use the know-how to sell product i…

Hero Motocrop Ltd., New Delhi vs. ACIT, Circle- 11(1), New Delhi

The appeal of the assessee is partly allowed

ITA 9187/DEL/2019[2015-16]Status: DisposedITAT Delhi13 Apr 2021AY 2015-16

Bench: Shri Sudhanshu Srivastava & Shri O.P. Kantassessment Year: 2015-16

Section 115JSection 143(3)Section 144CSection 145ASection 80ISection 92C

…orp Ltd. vs. ACIT acquisition of ownership rights therein, the payment made would be regarded as revenue expenditure: • CIT v. Ciba India Ltd.: 69 ITR 692 (SC) • CIT vs. British India Corp. Ltd. [1987] 165 ITR 51 (SC) • Alembic Chemical Works Co. Ltd. v. CIT: 177 ITR 377 (SC) • Shriram Refrigeration Industries Ltd. v. CIT: 127 ITR 746 (Del HC) • Triveni Engineering Works Ltd. vs. CIT : 136 ITR 340 (Del) • Addl. CIT vs. Shama Engine Valves Ltd. : 138 ITR 217 (Del) • CIT vs. Bhai Sunder Dass & Sons P. Ltd. : 158 ITR 195 (Del) • CIT vs. Lumax Industries Ltd. : 173 Taxman 390 (Del) • Shriram Pistons & Rings Ltd. vs.…

Commissioner of Income Tax-III vs. M/S. Onmobile Global Ltd

In the result, the matter is remitted to the Tribunal to

ITA/340/2014HC Karnataka18 Jan 2021

Bench: ALOK ARADHE,R. NATARAJ

Section 10ASection 143(1)Section 143(3)Section 260Section 35DSection 80J

…d on the decision rendered by the Constitution Bench of the Supreme Court in 'COMMISSIONER OF CUSTOMS (IMPORT), MUMBAI Vs. DILIP KUMAR & CO. (2018) 68 GST 239 as well as 'ABDUL KAYOOM Vs. CIT' 44 ITR 689 (SC) and 'ALEMBIC CHEMICAL WORKS CO. LTD. Vs. CIT' 177 ITR 377 (SC). 7. On the other hand, learned counsel for the assessee submitted that the findings recorded by the Commissioner of Income Tax (Appeals) as well as the Tribunal are based on meticulous appreciation of evidence on record which do not call for interference. It is further submitted that Section 35D(3)(c) was considered by the High Court…

M/S Bgse Financials Limited, Bangalore vs. The Deputy Commissioner of Income Tax Circle-1(1)(2), Bangalore

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

ITA 3130/BANG/2018[2013-14]Status: DisposedITAT Bangalore06 Oct 2020AY 2013-14

Bench: Shri A.K. Garodia & Shri George George K.Assessment Year: 2013-14

For Appellant: Smt. Suman Lunkar, A.RFor Respondent: Shri Priyadarshi Mishra, D.R
Section 143(3)Section 30Section 37

…) of the Act. The Hon’ble Supreme Court concluded that it was a right or a license owned by the assessee and was used by him as an asset, i.e. the capital asset. 8.4 The Hon’ble Apex Court in the case of Alembic Chemical Work Company Ltd. Vs. CIT reported in 177 ITR 377 had elucidated and affirmed that “once and for all payment” when it comes into existence, an asset or an advantage of enduring benefit in absence of special circumstances leading to an opposite conclusion is a capital expenditure and not attributable to revenue. This is the primary and basic test. Assessee has not been able to establish any speci…

ACIT (Ltu), New Delhi vs. M/S Havells India Ltd., New Delhi

In the result, appeal of the assessee is partly allowed

ITA 466/DEL/2011[2007-08]Status: DisposedITAT Delhi25 Aug 2020AY 2007-08

Bench: Shri Amit Shukla & Shri Prashant Maharishihavells India Ltd, Vs. Dcit, 1/7 Ram Kishore Road, Circle-12(1), Civil Lines, New Delhi Cr Building Ip Estate, Pan: Aaach0351E New Delhi (Appellant) (Respondent) Havells India Ltd, Vs. Dcit, 1/7 Ram Kishore Road, Ltu, Nbcc Plaza, Civil Lines, New Delhi Pusp Vihar, Sector-4, Saket, Pan: Aaach0351E New Delhi (Appellant) (Respondent) Acit (Ltu), Vs. Havells India Ltd, Nbcc Plaza, Pusp Vihar, Sector- 1/7 Ram Kishore Road, 4, Saket, New Delhi Civil Lines, New Delhi Pan: Aaach0351E (Appellant) (Respondent)

For Appellant: Shri Rohit Jain, AdvFor Respondent: Shri Saras Kumar, Sr. DR
Section 143(3)Section 144ASection 14ASection 80H

…for an indefinite future." The ratio deciendi laid down in the aforesaid judgment has been reiterated by the Honourable Supreme Court in CIT v. Associated Cement Companies Ltd.: [172 ITR 257], and again in the case of Alembic Chemical Works Co. Ltd. v. CIT: [177 ITR 377]. He also referred to several decisions to the same effect as i. CIT vs. Madras Auto Service (P) Ltd.: 233 ITR 468 (SC) ii. CIT vs. Associated Cement Companies Ltd: 172 ITR 257(SC) iii. Commissioner of Income Tax v. Hindustan Zinc Ltd. : 322 ITR 478 (Raj) iv. CIT v. Jai Parabolic Springs Ltd.: 306 ITR 42 (Delhi HC), v. CIT v. Salora International…

M/S Havells India Ltd., New Delhi vs. DCIT, New Delhi

In the result, appeal of the assessee is partly allowed

ITA 6073/DEL/2010[2007-08]Status: DisposedITAT Delhi25 Aug 2020AY 2007-08

Bench: Shri Amit Shukla & Shri Prashant Maharishihavells India Ltd, Vs. Dcit, 1/7 Ram Kishore Road, Circle-12(1), Civil Lines, New Delhi Cr Building Ip Estate, Pan: Aaach0351E New Delhi (Appellant) (Respondent) Havells India Ltd, Vs. Dcit, 1/7 Ram Kishore Road, Ltu, Nbcc Plaza, Civil Lines, New Delhi Pusp Vihar, Sector-4, Saket, Pan: Aaach0351E New Delhi (Appellant) (Respondent) Acit (Ltu), Vs. Havells India Ltd, Nbcc Plaza, Pusp Vihar, Sector- 1/7 Ram Kishore Road, 4, Saket, New Delhi Civil Lines, New Delhi Pan: Aaach0351E (Appellant) (Respondent)

For Appellant: Shri Rohit Jain, AdvFor Respondent: Shri Saras Kumar, Sr. DR
Section 143(3)Section 144ASection 14ASection 80H

…for an indefinite future." The ratio deciendi laid down in the aforesaid judgment has been reiterated by the Honourable Supreme Court in CIT v. Associated Cement Companies Ltd.: [172 ITR 257], and again in the case of Alembic Chemical Works Co. Ltd. v. CIT: [177 ITR 377]. He also referred to several decisions to the same effect as i. CIT vs. Madras Auto Service (P) Ltd.: 233 ITR 468 (SC) ii. CIT vs. Associated Cement Companies Ltd: 172 ITR 257(SC) iii. Commissioner of Income Tax v. Hindustan Zinc Ltd. : 322 ITR 478 (Raj) iv. CIT v. Jai Parabolic Springs Ltd.: 306 ITR 42 (Delhi HC), v. CIT v. Salora International…

M/S Havells India Ltd., New Delhi vs. DCIT, New Delhi

In the result, appeal of the assessee is partly allowed

ITA 6072/DEL/2010[2004-05]Status: DisposedITAT Delhi25 Aug 2020AY 2004-05

Bench: Shri Amit Shukla & Shri Prashant Maharishihavells India Ltd, Vs. Dcit, 1/7 Ram Kishore Road, Circle-12(1), Civil Lines, New Delhi Cr Building Ip Estate, Pan: Aaach0351E New Delhi (Appellant) (Respondent) Havells India Ltd, Vs. Dcit, 1/7 Ram Kishore Road, Ltu, Nbcc Plaza, Civil Lines, New Delhi Pusp Vihar, Sector-4, Saket, Pan: Aaach0351E New Delhi (Appellant) (Respondent) Acit (Ltu), Vs. Havells India Ltd, Nbcc Plaza, Pusp Vihar, Sector- 1/7 Ram Kishore Road, 4, Saket, New Delhi Civil Lines, New Delhi Pan: Aaach0351E (Appellant) (Respondent)

For Appellant: Shri Rohit Jain, AdvFor Respondent: Shri Saras Kumar, Sr. DR
Section 143(3)Section 144ASection 14ASection 80H

…for an indefinite future." The ratio deciendi laid down in the aforesaid judgment has been reiterated by the Honourable Supreme Court in CIT v. Associated Cement Companies Ltd.: [172 ITR 257], and again in the case of Alembic Chemical Works Co. Ltd. v. CIT: [177 ITR 377]. He also referred to several decisions to the same effect as i. CIT vs. Madras Auto Service (P) Ltd.: 233 ITR 468 (SC) ii. CIT vs. Associated Cement Companies Ltd: 172 ITR 257(SC) iii. Commissioner of Income Tax v. Hindustan Zinc Ltd. : 322 ITR 478 (Raj) iv. CIT v. Jai Parabolic Springs Ltd.: 306 ITR 42 (Delhi HC), v. CIT v. Salora International…

M/S Bioplus Life Sciences Pvt Ltd vs. The Deputy Commissioner

In the result, the appeal fails and the same is

ITA/49/2012HC Karnataka24 Aug 2020

Bench: ALOK ARADHE,H.T. NARENDRA PRASAD

Section 10BSection 143(1)Section 143(2)Section 260Section 260ASection 37(1)

…e proceeding further, it is apposite to take note of well settled legal principles to determine whether expenditure of the assessee was a capital expenditure or a revenue expenditure. The Supreme Court in ‘ALEMBIC CHEMICAL WORKS CO. LTD. VS. CIT’, (1989) 177 ITR 377 has laid down the following principles, which are reproduced below: (i) When an expenditure is made, not only once and for all, but with a view to bringing into existence an asset or an advantage for the enduring benefit of trade, I think that there is very good reason (in the absence of special circumstances leading to an opposite conclu…

Triveni Engineering & Industries Ltd., Noida vs. ACIT, New Delhi

ITA 1959/DEL/2016[2005-06]Status: DisposedITAT Delhi06 Aug 2020AY 2005-06

Bench: Shri R. K. Panda & Ms Suchitra Kamble

Section 115JSection 143(1)Section 143(2)Section 14A

…etermining as to what constitutes capital expenditure. The ratio decidendi laid down in the fore said judgment has been reiterated in the following decisions: • CIT vs Associated Cement Companies Ltd: 172 ITR 257 (SC) • Alembic Chemical Works Co. Ltd vs CIT: 177 ITR 377 (SC) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred b…

Triveni Engineering & Industries Ltd., Noida vs. ACIT, New Delhi

ITA 1958/DEL/2016[2004-05]Status: DisposedITAT Delhi06 Aug 2020AY 2004-05

Bench: Shri R. K. Panda & Ms Suchitra Kamble

Section 115JSection 143(1)Section 143(2)Section 14A

…etermining as to what constitutes capital expenditure. The ratio decidendi laid down in the fore said judgment has been reiterated in the following decisions: • CIT vs Associated Cement Companies Ltd: 172 ITR 257 (SC) • Alembic Chemical Works Co. Ltd vs CIT: 177 ITR 377 (SC) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred b…

Triveni Engineering & Industries Ltd., Noida vs. ACIT, New Delhi

ITA 1957/DEL/2016[2003-04]Status: DisposedITAT Delhi06 Aug 2020AY 2003-04

Bench: Shri R. K. Panda & Ms Suchitra Kamble

Section 115JSection 143(1)Section 143(2)Section 14A

…etermining as to what constitutes capital expenditure. The ratio decidendi laid down in the fore said judgment has been reiterated in the following decisions: • CIT vs Associated Cement Companies Ltd: 172 ITR 257 (SC) • Alembic Chemical Works Co. Ltd vs CIT: 177 ITR 377 (SC) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred b…

Triveni Engineering & Industries Ltd., Noida vs. ACIT, New Delhi

ITA 1956/DEL/2016[2002-03]Status: DisposedITAT Delhi06 Aug 2020AY 2002-03

Bench: Shri R. K. Panda & Ms Suchitra Kamble

Section 115JSection 143(1)Section 143(2)Section 14A

…etermining as to what constitutes capital expenditure. The ratio decidendi laid down in the fore said judgment has been reiterated in the following decisions: • CIT vs Associated Cement Companies Ltd: 172 ITR 257 (SC) • Alembic Chemical Works Co. Ltd vs CIT: 177 ITR 377 (SC) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred b…

Triveni Engineering & Industries Ltd., Noida vs. Addl. CIT, New Delhi

ITA 1955/DEL/2016[2001-02]Status: DisposedITAT Delhi06 Aug 2020AY 2001-02

Bench: Shri R. K. Panda & Ms Suchitra Kamble

Section 115JSection 143(1)Section 143(2)Section 14A

…etermining as to what constitutes capital expenditure. The ratio decidendi laid down in the fore said judgment has been reiterated in the following decisions: • CIT vs Associated Cement Companies Ltd: 172 ITR 257 (SC) • Alembic Chemical Works Co. Ltd vs CIT: 177 ITR 377 (SC) The aforesaid expenditure on computer software too, it is submitted, did not result in an enduring benefit in the capital field and, therefore, the same is not in the nature of capital expenditure. The Hon’ble Delhi High Court in the case of CIT vs K & Co. 181 CTR 378 upheld that the order of the Tribunal holding that expenditure incurred b…

DCIT 7(3)(2), Mumbai vs. Piramal Enterrises Ltd, Mumbai

In the result, the appeal is dismissed

ITA 1799/MUM/2016[2011-12]Status: DisposedITAT Mumbai27 May 2020AY 2011-12

Bench: Sri Saktijit Dey, Jm & Sri S Rifaur Rahman, Am आयकर अपील सुं./ Ita No. 1799/Mum/2016 (यनर्ाािण वर्ा / Assessment Year 2011-12) The Dy. Commissioner Of Piramal Enterprises Limited Income-Tax, Range-7(3)(2), (Formerly Known As Piramal Room No. 669A, 6 Th Floor, Healthcare Limited) बनाम/ Aayakar Bhavan, Piramal Tower, Ganpatrao Vs. Mumbai-400 020 Kadam Marg, Lower Parel, Mumbai-400 013 (अपीलार्थी / Appellant) (प्रत्यर्थी/ Respondent) स्र्थायी लेखा सुं./Pan No. Aaacn4538P आयकर अपील सुं./ Ita No. 850/Mum/2015 (यनर्ाािण वर्ा / Assessment Year 2011-12) Piramal Enterprises Limited The Dy. Commissioner Of (Formerly Known As Piramal Income-Tax, Range-7(3)(2), Healthcare Limited) Room No. 669A, 6 Th Floor, बनाम/ Piramal Tower, Ganpatrao Aayakar Bhavan, Vs. Kadam Marg, Lower Parel, Mumbai-400 020 Mumbai-400 013 (अपीलार्थी / Appellant) (प्रत्यर्थी/ Respondent) अपीलार्थी की ओि से / Appellant By : Shri A Mohan, Cit Dr प्रत्यर्थी की ओि से / Respondent By : Shri Jehangir D. Mistri, Madhur Agrawal, Ronak Doshi, Ars’ सुनवाई की िािीख / Date Of Hearing: 16.03.2020 घोर्णा की िािीख / Date Of Pronouncement: 27.05.2020

For Appellant: Shri A Mohan, CIT DRFor Respondent: Shri Jehangir D. Mistri
Section 143(3)Section 144C(13)

…आयकर अपीलीय अधिकरण “J” न्यायपीठ म ुंबई में। IN THE INCOME TAX APPELLATE TRIBUNAL “J” BENCH, MUMBAI श्री शक्तिजीि डे,न्याययक सदस्य एवं श्री एस रिफ़ौि िहमान, लेखा सदस्य के समक्ष । BEFORE SRI SAKTIJIT DEY, JM AND SRI S RIFAUR RAHMAN, AM आयकर अपील सुं./ ITA No. 1799/Mum/2016 (यनर्ाािण वर्ा / Assessment Year 2011-12) The Dy. Commissioner of Piramal Enterprises Limited Income-tax, Range-7(3)(2), (Formerly known as Piramal Room No. 669A, 6 th Floor, Healthcare Limited) बनाम/ Aayakar Bhavan, Piramal tower, Ganpatrao Vs. Mumbai-400 020 Kadam Marg, Lower Parel, Mumbai-400 013 (अपीलार्थी / Appellant) (प्रत्यर्थी/ Respondent…

ACIT, New Delhi vs. M/S Swatch Group (India) Pvt. Ltd., New Delhi

In the result, the appeal of the Revenue in ITA No

ITA 2264/DEL/2009[2004-05]Status: DisposedITAT Delhi30 Jan 2020AY 2004-05

Bench: Shri N.K. Billaiya & Shri N.K. Choudhary[Assessment Year: 2004-05]

For Appellant: Shri Nageshwar Rao, AdvFor Respondent: Shri Dinesh Antil, Sr. DR

…pecial Bench of ITAT in the case of ACIT, Ahmedabad v Ashima Synthetic Ltd (citation not given in the impugned order). In the said decision, the Special Bench of the Tribunal has considered a number of judgments including Alambic Chemicals Works Co. Ltd.v CIT 177 ITR 377, Madras Industrial Development Corporation 225 ITR 802, Kedarnath Jute Manufacturing Co. Ltd. 82 ITR 363 and Amar Raja Batteries Ltd. v ACIT 91 ITD 2080, Hyderabad etc. We are of the considered opinion that the expenditure incurred on advertisements in the aforesaid manner has to be treated as revenue in the nature and was therefore fully allowab…

DCIT, Cir-3(1), Kolkata vs. M/S Saregama India Ltd, Kolkata

ITA 473/KOL/2017[2006-07]Status: DisposedITAT Kolkata29 Jan 2020AY 2006-07

Bench: Shri S.S.Godara & Dr. A.L. Saini

Section 143(3)

…Hon'ble Mumbai Tribunal rendered in the case of Tips Cassettes & Record Co. vs. ACIT [76 TTJ 396,(Mum.)] applying the principles laid down by the Hon'ble Supreme Court in Empire Jute Co. Ltd. vs. CIT [124 ITR 1 (SC.)] and Alembic Chemical Works Ltd. vs, CIT [177 ITR 377 (SC.)] it has been held that payment made by assessee, a ITA Nos.309-310, 312/K/17 & 470-473/K/17 A.Ys. 03-04 to 06-07 & 11-12 M/s Saregama India Ltd. Vs. DCIT, Cir-3(1), Kol Page 10 manufacturer and seller of audio cassettes and COs for acquiring copyrights of original sound-tracks of films by assignment from film producers for a fixed sum being…

DCIT, Cir-3(1), Kolkata vs. M/S Saregama India Ltd, Kolkata

ITA 472/KOL/2017[2005-06]Status: DisposedITAT Kolkata29 Jan 2020AY 2005-06

Bench: Shri S.S.Godara & Dr. A.L. Saini

Section 143(3)

…Hon'ble Mumbai Tribunal rendered in the case of Tips Cassettes & Record Co. vs. ACIT [76 TTJ 396,(Mum.)] applying the principles laid down by the Hon'ble Supreme Court in Empire Jute Co. Ltd. vs. CIT [124 ITR 1 (SC.)] and Alembic Chemical Works Ltd. vs, CIT [177 ITR 377 (SC.)] it has been held that payment made by assessee, a ITA Nos.309-310, 312/K/17 & 470-473/K/17 A.Ys. 03-04 to 06-07 & 11-12 M/s Saregama India Ltd. Vs. DCIT, Cir-3(1), Kol Page 10 manufacturer and seller of audio cassettes and COs for acquiring copyrights of original sound-tracks of films by assignment from film producers for a fixed sum being…

DCIT, Cir-3(1), Kolkata vs. M/S Saregama India Ltd, Kolkata

ITA 471/KOL/2017[2004-05]Status: DisposedITAT Kolkata29 Jan 2020AY 2004-05

Bench: Shri S.S.Godara & Dr. A.L. Saini

Section 143(3)

…Hon'ble Mumbai Tribunal rendered in the case of Tips Cassettes & Record Co. vs. ACIT [76 TTJ 396,(Mum.)] applying the principles laid down by the Hon'ble Supreme Court in Empire Jute Co. Ltd. vs. CIT [124 ITR 1 (SC.)] and Alembic Chemical Works Ltd. vs, CIT [177 ITR 377 (SC.)] it has been held that payment made by assessee, a ITA Nos.309-310, 312/K/17 & 470-473/K/17 A.Ys. 03-04 to 06-07 & 11-12 M/s Saregama India Ltd. Vs. DCIT, Cir-3(1), Kol Page 10 manufacturer and seller of audio cassettes and COs for acquiring copyrights of original sound-tracks of films by assignment from film producers for a fixed sum being…

DCIT, Cir-3(1), Kolkata vs. M/S Saregama India Ltd, Kolkata

ITA 470/KOL/2017[2003-04]Status: DisposedITAT Kolkata29 Jan 2020AY 2003-04

Bench: Shri S.S.Godara & Dr. A.L. Saini

Section 143(3)

…Hon'ble Mumbai Tribunal rendered in the case of Tips Cassettes & Record Co. vs. ACIT [76 TTJ 396,(Mum.)] applying the principles laid down by the Hon'ble Supreme Court in Empire Jute Co. Ltd. vs. CIT [124 ITR 1 (SC.)] and Alembic Chemical Works Ltd. vs, CIT [177 ITR 377 (SC.)] it has been held that payment made by assessee, a ITA Nos.309-310, 312/K/17 & 470-473/K/17 A.Ys. 03-04 to 06-07 & 11-12 M/s Saregama India Ltd. Vs. DCIT, Cir-3(1), Kol Page 10 manufacturer and seller of audio cassettes and COs for acquiring copyrights of original sound-tracks of films by assignment from film producers for a fixed sum being…