CIT v. Advance Construction Company P. Ltd.

DCIT Cen Cir 2(3), Mumbai vs. Hagwood Commercial Developers P.Ltd, Mumbai

In the result appeal of the assessee in ITA no

Bench: Shri Saktijit Dey & Shri Ramit Kocharआयकर अपील सं./I.T.A. No.1306/Mum/2015 ("नधा"रण वष" / Assessment Year : 2012-13) M/S Hagwood Commercial Acit, Cc -13, बनाम/ Developers Pvt. Ltd., Old Cgo, V. 105/106, Provogue House, M.K. Road, Off. New Link Road, Churchgate, Andheri (West), Mumbai. Mumbai – 400 053. "थायी लेखा सं./Pan : Aabch7508Q (अपीलाथ" /Appellant) .. (""यथ" / Respondent)

…d it should be used consistently. The choice of the method has been left to the assessee. In this context, the following observation of the Hon'ble Gujarat High Court, made while rendering its decision in the case of CIT v. Advanced Construction Co. (P) Ltd. (275 ITR 30), would be contextually important. "The provision therefore specifically provides that the choice of method of accounting lies with the assessee, the only caveat being that it has to show that the method has been regularly followed. The section is couched in mandatory terms and the Department is bound to accept the assessee's choice of method reg…

DCIT Cen Cir 2(3), Mumbai vs. Alliance Mall Developers Co. P.Ltd, Mumbai

In the result appeal of the assessee in ITA no

Bench: Shri Saktijit Dey & Shri Ramit Kocharआयकर अपील सं./I.T.A. No.1306/Mum/2015 ("नधा"रण वष" / Assessment Year : 2012-13) M/S Hagwood Commercial Acit, Cc -13, बनाम/ Developers Pvt. Ltd., Old Cgo, V. 105/106, Provogue House, M.K. Road, Off. New Link Road, Churchgate, Andheri (West), Mumbai. Mumbai – 400 053. "थायी लेखा सं./Pan : Aabch7508Q (अपीलाथ" /Appellant) .. (""यथ" / Respondent)

…d it should be used consistently. The choice of the method has been left to the assessee. In this context, the following observation of the Hon'ble Gujarat High Court, made while rendering its decision in the case of CIT v. Advanced Construction Co. (P) Ltd. (275 ITR 30), would be contextually important. "The provision therefore specifically provides that the choice of method of accounting lies with the assessee, the only caveat being that it has to show that the method has been regularly followed. The section is couched in mandatory terms and the Department is bound to accept the assessee's choice of method reg…

Alliance Mall Developers Co. P. Ltd, Mumbai vs. ACIT Cen Cir 13, Mumbai

In the result appeal of the assessee in ITA no

Bench: Shri Saktijit Dey & Shri Ramit Kocharआयकर अपील सं./I.T.A. No.1306/Mum/2015 ("नधा"रण वष" / Assessment Year : 2012-13) M/S Hagwood Commercial Acit, Cc -13, बनाम/ Developers Pvt. Ltd., Old Cgo, V. 105/106, Provogue House, M.K. Road, Off. New Link Road, Churchgate, Andheri (West), Mumbai. Mumbai – 400 053. "थायी लेखा सं./Pan : Aabch7508Q (अपीलाथ" /Appellant) .. (""यथ" / Respondent)

…d it should be used consistently. The choice of the method has been left to the assessee. In this context, the following observation of the Hon'ble Gujarat High Court, made while rendering its decision in the case of CIT v. Advanced Construction Co. (P) Ltd. (275 ITR 30), would be contextually important. "The provision therefore specifically provides that the choice of method of accounting lies with the assessee, the only caveat being that it has to show that the method has been regularly followed. The section is couched in mandatory terms and the Department is bound to accept the assessee's choice of method reg…

Higwood Commerical Developers P.Ltd, Mumbai vs. ACIT Cen Cir 13, Mumbai

In the result appeal of the assessee in ITA no

Bench: Shri Saktijit Dey & Shri Ramit Kocharआयकर अपील सं./I.T.A. No.1306/Mum/2015 ("नधा"रण वष" / Assessment Year : 2012-13) M/S Hagwood Commercial Acit, Cc -13, बनाम/ Developers Pvt. Ltd., Old Cgo, V. 105/106, Provogue House, M.K. Road, Off. New Link Road, Churchgate, Andheri (West), Mumbai. Mumbai – 400 053. "थायी लेखा सं./Pan : Aabch7508Q (अपीलाथ" /Appellant) .. (""यथ" / Respondent)

…d it should be used consistently. The choice of the method has been left to the assessee. In this context, the following observation of the Hon'ble Gujarat High Court, made while rendering its decision in the case of CIT v. Advanced Construction Co. (P) Ltd. (275 ITR 30), would be contextually important. "The provision therefore specifically provides that the choice of method of accounting lies with the assessee, the only caveat being that it has to show that the method has been regularly followed. The section is couched in mandatory terms and the Department is bound to accept the assessee's choice of method reg…

Asst CIT 24(2), Mumbai vs. Dinesh V. Bahirwani, Mumbai

Bench: Shri Sanjay Garg & Shri Ashwani Tanejaassessment Year: 2010-11 Dinesh V. Bahirwani, Dcit 20(2), Unit No.605, Business Suites बनाम/ Mumbai- 9 Ploot No.83, Vs. S.V. Rd, Santacruz(W) Mumbai-400054 (Appellant) (Revenue) P.A. No. Abrpb3559K Assessment Year: 2010-11 Acit 24(2) Dinesh V. Bahirwani, 612, Piramal Chambers, Unit No.605, Business बनाम/ Lalbaug, Suites 9 Ploot No.83, Vs. Mumbai-400012 S.V. Rd, Santacruz(W) Mumbai-400054 (Respondent) (Revenue) P.A. No. Abrpb3559K Appellant By Shri Vipul Shah (Ar) Shri B.S. Bist (Sr. Dr) Revenue By सुनवाई क" तार"ख/Date Of Hearing : 18/10/2016 18/10/2016 आदेश क" तार"ख /Date Of Order: आदेश / O R D E R

…is open to the assessee to choose the method but the same should be consistently adopted as held in CIT v. McMillan & Co. [19581 reported at 33 ITR 182 (SC). In the decision rendered in the case of CIT v. Advance Construction Co. (P.) Ltd. [2005] reported at 275 ITR 30 (Guj.)held as follo ws: “14........., it is necessary to note that under section 145 of the Act income chargeable under the head 'profits and gains of business or profession' shall be computed in accord method of accounting regularly employed by theassessee. The only exception is: where the method employed is such that in the opinion of the Assess…

Dinesh V Bahirwani, Mumbai vs. DCIT 20(2), Mumbai

Bench: Shri Sanjay Garg & Shri Ashwani Tanejaassessment Year: 2010-11 Dinesh V. Bahirwani, Dcit 20(2), Unit No.605, Business Suites बनाम/ Mumbai- 9 Ploot No.83, Vs. S.V. Rd, Santacruz(W) Mumbai-400054 (Appellant) (Revenue) P.A. No. Abrpb3559K Assessment Year: 2010-11 Acit 24(2) Dinesh V. Bahirwani, 612, Piramal Chambers, Unit No.605, Business बनाम/ Lalbaug, Suites 9 Ploot No.83, Vs. Mumbai-400012 S.V. Rd, Santacruz(W) Mumbai-400054 (Respondent) (Revenue) P.A. No. Abrpb3559K Appellant By Shri Vipul Shah (Ar) Shri B.S. Bist (Sr. Dr) Revenue By सुनवाई क" तार"ख/Date Of Hearing : 18/10/2016 18/10/2016 आदेश क" तार"ख /Date Of Order: आदेश / O R D E R

…is open to the assessee to choose the method but the same should be consistently adopted as held in CIT v. McMillan & Co. [19581 reported at 33 ITR 182 (SC). In the decision rendered in the case of CIT v. Advance Construction Co. (P.) Ltd. [2005] reported at 275 ITR 30 (Guj.)held as follo ws: “14........., it is necessary to note that under section 145 of the Act income chargeable under the head 'profits and gains of business or profession' shall be computed in accord method of accounting regularly employed by theassessee. The only exception is: where the method employed is such that in the opinion of the Assess…

Elenji Kamalil V. Thomas, Navi Mumbai vs. Jt.C.I.T. 22(3), Mumbai

In the result, the appeal filed by the assessee in ITA N0

Bench: Shri Saktijit Dey & Shri Ramit Kocharआयकर अपील सं./I.T.A. No. 199/Mum/2013 ("नधा"रण वष" / Assessment Year : 2009-10) Elenji Kamalil V. Thomas, Jcit – 22(2), बनाम/ 212, Vardhaman Chambers, Navi Mumbai. V. Sector 17, Vashi, Navi Mumbai – 400 703. "थायी लेखा सं./Pan : Aacpe 7339 L (अपीलाथ" /Appellant) .. (""यथ" / Respondent)

…nstrate that there is an underestimation of income, the presumption would be that the entire exercise is a revenue natural. The assessee also relied upon the decision of Hon’ble Gujarat High Court in the case of CIT v. Advance Construction Co. Pvt. Ltd.,(2005)275 ITR 30(Guj.) whereby Hon’ble Gujarat High Court held that position of the law is further settled that regular method adopted by the tax- payer cannot be rejected merely because it gives benefit to the assessee in ITA 199/Mum/2013 25 certain years. The assessee also relied upon the decision of ITAT, Mumbai Benches in the case of ACIT v. Dharti Estate, (…