CIT v. Calcutta Agency Ltd.

19 ITR 191Supreme Court of India1951#597 most cited

What is CIT v. Calcutta Agency Ltd. authority for?

The assessee bears the burden of proving necessary facts to claim deductions. If the assessee fails to establish these facts, the deduction is not admissible.

164

judgments rely on this decision, according to BharatTax’s citation analysis of 367,368 Indian tax judgments — from 2016 to 2026.

Also referred to as

CIT v. Calcutta Agency Ltd. · Section 37(1) · onus of proof · deduction · admissibility of claim · business expenditure · burden of proof on assessee · legal expenses · business expediency

Sections most often in play

Section 143(3)Section 147Section 153ASection 148Section 263Section 132Section 131(1A)Section 37(1)

Issues it is cited on

place of effective managementsection 6(3)section 127(1)legal expensesroyalty incomeddtpreponderance of probabilitycolourable deviceprincipal officershell companysection 131(1a)business expediency

Judgments citing CIT v. Calcutta Agency Ltd.

Deputy Commissioner of Income Tax, Central Circle-3, Delhi vs. Bhushan Dua, New Delhi

ITA 2510/DEL/2023[2013-14]Status: DisposedITAT Delhi25 Sept 2025AY 2013-14

Bench: Ms. Madhumita Roy & Shri Naveen Chandraa.Y. 2015-16 A.Y. 2016-17 A.Y. 2017-18 A.Y. 2018-19 A.Y. 2019-20

…basis of exact number of micro seconds details whereof are available. 92 | P a g e 93 ITA Nos. 2713-2714/Del/2023; ITA Nos. 7,51,271/Del/2024 etc. Super Cassettes Industries Pvt. Ltd. 8. The Ld. CIT (A) relied upon the judgment of CIT vs Calcutta Agency Ltd 19 ITR 191, wherein it was held that the onus of proving necessary facts in order to avail the deduction u/s 37(1) is on the assessee and if the assessee fails to establish the same then the claim of deduction is not admissible. Further the CIT(A) also relied upon Andhra Pradesh High Court in the case of CIT Vs Transport Corporation of India 256 ITR 701 and…

Deputy Commissioner of Income Tax, Central Circle 3, Delhi vs. Bhushan Dua, New Delhi

ITA 2509/DEL/2023[2014-15]Status: DisposedITAT Delhi25 Sept 2025AY 2014-15

Bench: Ms. Madhumita Roy & Shri Naveen Chandraa.Y. 2015-16 A.Y. 2016-17 A.Y. 2017-18 A.Y. 2018-19 A.Y. 2019-20

…basis of exact number of micro seconds details whereof are available. 92 | P a g e 93 ITA Nos. 2713-2714/Del/2023; ITA Nos. 7,51,271/Del/2024 etc. Super Cassettes Industries Pvt. Ltd. 8. The Ld. CIT (A) relied upon the judgment of CIT vs Calcutta Agency Ltd 19 ITR 191, wherein it was held that the onus of proving necessary facts in order to avail the deduction u/s 37(1) is on the assessee and if the assessee fails to establish the same then the claim of deduction is not admissible. Further the CIT(A) also relied upon Andhra Pradesh High Court in the case of CIT Vs Transport Corporation of India 256 ITR 701 and…

M/S Kanak Vrindavan Resorts Limited, Jaipur vs. Income Tax Officer, Ward 6(2), Jaipur

In the result, the appeal of the assessee is allowed

ITA 543/JPR/2025[2016-17]Status: DisposedITAT Jaipur02 Sept 2025AY 2016-17

Bench: SHRI RATHOD KAMLESH JAYANTBHAI (Accountant Member), SHRI NARINDER KUMAR (Judicial Member)

For Appellant: Sh. Tarun Mittal, CAFor Respondent: Sh. Gautam Singh Choudhary, Addl. CIT
Section 143(1)(a)Section 143(2)Section 143(3)Section 145Section 37

…uce any material and documents to show that the expenditure under the aforesaid heads was incurred wholly and exclusively for the purpose of business and was not being shared among the 3 group concerns. 5.1.8 In the case of CIT v. Calcutta Agency Ltd. (1951) 19 ITR 191 (SC), the Hon'ble Supreme Court has held that the onus of providing necessary facts in order to avail the deduction under Section 37(1) is on the assessee. If, therefore, the assessee fails to establish the facts necessary to support his claim for deduction under Section 37(1), the claim for deduction of expenditure is not admissible. Further in t…

Pinkeshmumar Melapchand Shah, Ahmedabad vs. The ITO, Ward-2(2)(4), Ahmedabad

In the result, the appeal of the assessee is allowed

ITA 599/AHD/2025[2012-13]Status: DisposedITAT Ahmedabad12 Aug 2025AY 2012-13

Bench: Ms.Suchitra R. Kamble & Shri Makarand V.Mahadeokarasstt.Year : 2012-13 Pinkeshkumar Melapchand Shah The Ito, Ward-2(2)(4) B-1, 1St Floor, Abhinandan Flat Vs. Ahmedabad. Opp: Kothari Tower Ramnagar, Sabarmati, Ahmedabad 380005.Gujarat. Pan : Aeaps 0609 D. (Applicant) (Responent) : Shri Sunil Maloo, Ca Assessee By Revenue By : Shri Amit Pratap Singh, Sr.Dr सुनवाई क" तारीख/Date Of Hearing : 31/07/2025 घोषणा क" तारीख /Date Of Pronouncement: 12/08/2025

For Respondent: Shri Amit Pratap Singh, Sr.DR
Section 133(6)Section 139Section 144Section 147Section 148Section 250Section 69A

…ication under Rule 46A was filed, and that the assessee had failed to establish valid reasons for not producing the said evidence before the AO despite repeated opportunities. The Ld. CIT(A) relied on judicial precedents including CIT v. Calcutta Agency Ltd. [19 ITR 191 (SC)], T.N. Subash Thangam v. ITO [156 taxmann.com 732 (Madras HC)], and Jyotsna Suri v. DCIT [61 ITD 139 (ITAT Delhi)] to conclude that the onus was on the assessee to establish the source of the cash deposits and to furnish supporting material at the appropriate stage. Consequently, the addition under section 69A was sustained, and the appeal wa…

Mohit Gupta HUF, Delhi vs. ITO Ward 44(6), Delhi

ITA 2511/DEL/2024[2015-16]Status: DisposedITAT Delhi18 Mar 2025AY 2015-16

Bench: Ms. Madhumita Roy & Shri Naveen Chandraa.Y. 2015-16 A.Y. 2016-17 A.Y. 2017-18 A.Y. 2018-19 A.Y. 2019-20

…basis of exact number of micro seconds details whereof are available. 92 | P a g e 93 ITA Nos. 2713-2714/Del/2023; ITA Nos. 7,51,271/Del/2024 etc. Super Cassettes Industries Pvt. Ltd. 8. The Ld. CIT (A) relied upon the judgment of CIT vs Calcutta Agency Ltd 19 ITR 191, wherein it was held that the onus of proving necessary facts in order to avail the deduction u/s 37(1) is on the assessee and if the assessee fails to establish the same then the claim of deduction is not admissible. Further the CIT(A) also relied upon Andhra Pradesh High Court in the case of CIT Vs Transport Corporation of India 256 ITR 701 and…

Chetna Sundaram, Janak Puri Delhi vs. DCIT, Circle 70(1), Delhi

ITA 2512/DEL/2024[2012-13]Status: DisposedITAT Delhi10 Mar 2025AY 2012-13

Bench: Ms. Madhumita Roy & Shri Naveen Chandraa.Y. 2015-16 A.Y. 2016-17 A.Y. 2017-18 A.Y. 2018-19 A.Y. 2019-20

…basis of exact number of micro seconds details whereof are available. 92 | P a g e 93 ITA Nos. 2713-2714/Del/2023; ITA Nos. 7,51,271/Del/2024 etc. Super Cassettes Industries Pvt. Ltd. 8. The Ld. CIT (A) relied upon the judgment of CIT vs Calcutta Agency Ltd 19 ITR 191, wherein it was held that the onus of proving necessary facts in order to avail the deduction u/s 37(1) is on the assessee and if the assessee fails to establish the same then the claim of deduction is not admissible. Further the CIT(A) also relied upon Andhra Pradesh High Court in the case of CIT Vs Transport Corporation of India 256 ITR 701 and…

Devender Kumar, Rohtak vs. ITO, Ward 1, Rohtak

ITA 2509/DEL/2024[2012-13]Status: HeardITAT Delhi06 Mar 2025AY 2012-13

Bench: Ms. Madhumita Roy & Shri Naveen Chandraa.Y. 2015-16 A.Y. 2016-17 A.Y. 2017-18 A.Y. 2018-19 A.Y. 2019-20

…basis of exact number of micro seconds details whereof are available. 92 | P a g e 93 ITA Nos. 2713-2714/Del/2023; ITA Nos. 7,51,271/Del/2024 etc. Super Cassettes Industries Pvt. Ltd. 8. The Ld. CIT (A) relied upon the judgment of CIT vs Calcutta Agency Ltd 19 ITR 191, wherein it was held that the onus of proving necessary facts in order to avail the deduction u/s 37(1) is on the assessee and if the assessee fails to establish the same then the claim of deduction is not admissible. Further the CIT(A) also relied upon Andhra Pradesh High Court in the case of CIT Vs Transport Corporation of India 256 ITR 701 and…

ACIT, New Delhi vs. Smt. Shashi Mehta, New Delhi

ITA 271/DEL/2015[2011-12]Status: DisposedITAT Delhi19 Feb 2025AY 2011-12

Bench: Ms. Madhumita Roy & Shri Naveen Chandraa.Y. 2015-16 A.Y. 2016-17 A.Y. 2017-18 A.Y. 2018-19 A.Y. 2019-20

…basis of exact number of micro seconds details whereof are available. 92 | P a g e 93 ITA Nos. 2713-2714/Del/2023; ITA Nos. 7,51,271/Del/2024 etc. Super Cassettes Industries Pvt. Ltd. 8. The Ld. CIT (A) relied upon the judgment of CIT vs Calcutta Agency Ltd 19 ITR 191, wherein it was held that the onus of proving necessary facts in order to avail the deduction u/s 37(1) is on the assessee and if the assessee fails to establish the same then the claim of deduction is not admissible. Further the CIT(A) also relied upon Andhra Pradesh High Court in the case of CIT Vs Transport Corporation of India 256 ITR 701 and…

Paramasivam Mahalingam, Ghaziabad vs. ACIT, Central Circle-6, New Delhi

ITA 281/DEL/2020[2014-15]Status: DisposedITAT Delhi17 Jan 2025AY 2014-15

Bench: Ms. Madhumita Roy & Shri Naveen Chandraa.Y. 2015-16 A.Y. 2016-17 A.Y. 2017-18 A.Y. 2018-19 A.Y. 2019-20

…basis of exact number of micro seconds details whereof are available. 92 | P a g e 93 ITA Nos. 2713-2714/Del/2023; ITA Nos. 7,51,271/Del/2024 etc. Super Cassettes Industries Pvt. Ltd. 8. The Ld. CIT (A) relied upon the judgment of CIT vs Calcutta Agency Ltd 19 ITR 191, wherein it was held that the onus of proving necessary facts in order to avail the deduction u/s 37(1) is on the assessee and if the assessee fails to establish the same then the claim of deduction is not admissible. Further the CIT(A) also relied upon Andhra Pradesh High Court in the case of CIT Vs Transport Corporation of India 256 ITR 701 and…

ACIT, Circle 1(1), Chandigarh vs. M/S Sml Isuzu Ltd., Chandigarh

ITA 644/CHANDI/2022[2015-16]Status: DisposedITAT Chandigarh18 Sept 2024AY 2015-16

Bench: SHRI. VIKRAM SINGH YADAV (Accountant Member), SHRI. PARESH M. JOSHI (Judicial Member)

For Appellant: Shri Rohit Jain, Advocate and Ms. Somya Jain, C.AFor Respondent: Shri Vivek Vardhan, JCIT, Sr. DR
Section 143(2)Section 143(3)Section 147Section 148Section 250Section 253Section 3

…आयकर अपीलीय अिधकरण,च"ीगढ़ "ायपीठ “बी” , च"ीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH “B”, CHANDIGARH HEARING THROUGH: HYBRID MODE "ी िव"म िसंह यादव, लेखा सद" एवं "ी परेश म. जोशी, "ाियक सद" BEFORE: SHRI. VIKRAM SINGH YADAV, AM & SHRI. PARESH M. JOSHI, JM आयकर अपील सं./ ITA NO. 644/Chd/2022 िनधा"रण वष" / Assessment Year : 2015-16 The ACIT बनाम M/s SML Isuzu Ltd. Circle1 (1), Chandigarh SCO 204-205, Sector 34-A, Chandigarh "ायी लेखा सं./PAN NO: AACCS2991P अपीलाथ"/Appellant ""थ"/Respondent िनधा"रती की ओर से/Assessee by : Shri Rohit Jain, Advocate and Ms. Somya Jain, C.A राज" की ओर से/ Revenue by : Shri…

Chathankandath Usha, Kootanad vs. Income Tax Officer, Palakkad

In the result, the assessee’s appeal is partly allowed and partly allowed for statistical purposes

ITA 605/COCH/2023[2012-13]Status: HeardITAT Cochin20 May 2024AY 2012-13

Bench: Shri Sanjay Arora & Shri Soundararajan K.Assessment Year: 2012-13

For Appellant: N O N EFor Respondent: Smt. Jamuna Devi, Sr.D.R
Section 250

…6 (SC), to cite some; and accords that the principle that it is the assessee who is to prove it’s return and the claims preferred thereby, being in the intimate know of its affairs Chathankandath Usha, Kootanad Page 4 of 5 ((CIT v. Calcutta Agency Ltd. [1951] 19 ITR 191 (SC) (also see: Lakshmiratan Cotton Mills Co. v. CIT [1969] 73 ITR 634 (SC); and which can further only be on the basis of proper materials (CIT v. R. Venkataswamy Naidu [1956] 29 ITR 529 (SC)). Further, the same would extend to the entire income claimed exempt. The Tribunal in the case of the assessee’s daughter (ITA No. 26 & 27/Coch/2022 dated 0…

Truth India Housing P.Ltd, New Delhi vs. ITO, Ward-25(4), New Delhi

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

ITA 2545/DEL/2019[2014-15]Status: DisposedITAT Delhi17 May 2024AY 2014-15

Bench: SHRI S.RIFAUR RAHMAN (Accountant Member), SHRI YOGESH KUMAR U.S. (Judicial Member)

Section 143(3)

…produce the same. It has been held by the Hon'ble Courts/ Tribunals that onus is on the party/ assessee to adduce the Truth India Housing Pvt. Ltd. vs. ITO evidences in support of its claim. It has been held in the case of CIT vs Calcutta Agency Ltd (1951) 19 ITR 191 by the Hon'ble Apex Court that in order to claim that an expenditure falls u/s 37(1), the burden of proving the necessary facts in that connection is on the assessee. Similarly, the Hon'ble High Court of Guhawati in the case of Assam Pesticides and Agro Chemical vs. CIT (1997) 227 ITR 846 held that it cannot be said that even if the taxpayer doe…

Dr. C Usha, Palakkad vs. ITO Ward-3, Palakkad

In the result, the assessee’s appeal is partly allowed and partly allowed for statistical purposes

ITA 657/COCH/2022[2013-2014]Status: DisposedITAT Cochin15 Mar 2024AY 2013-2014

Bench: Shri Sanjay Arora & Dr. Seethalakshmidr. C. Usha Income Tax Officer Modern Hospital Ward -3, Palakkad Guruvayur Road, Koottanad Vs. Palakkad 679533 [Pan:Aafpu8363H] (Appellant) (Respondent)

For Appellant: Shri K.V. Venkitaraman, CAFor Respondent: Smt. J.M. Jamuna Devi, Sr. D.R
Section 143(3)

…ms v. Dilip Kumar & Co. [2018] 6 GSTR-OL 46 (SC), to cite some; and accords that the principle that it is the assessee who is to prove it’s return and the claims preferred thereby, being in the intimate know of its affairs ((CIT v. Calcutta Agency Ltd. [1951] 19 ITR 191 (SC)(also see: Lakshmiratan Cotton Mills Co. v. CIT [1969] 73 ITR 634 (SC);and which can further only be on the basis of proper materials (CIT v. R. Venkataswamy Naidu [1956] 29 ITR 529 (SC)). Further, the same would extend to the entire income claimed exempt. The Tribunal in the case of the assessee’s daughter 7 Dr. C. UshaModern Hospital v. Inco…

Carmel Convent, Thiruvananthapuram vs. ITO Exemption Ward, Trivandram, Thiruvananthapuram

In the result, the assessee’s appeal is partly allowed and partly allowed for statistical purposes, and it’s stay petition is dismissed

ITA 689/COCH/2022[2016-2017]Status: DisposedITAT Cochin07 Mar 2024AY 2016-2017

Bench: Shri Sanjay Arora & Dr. Seethalakshmi

For Appellant: Shri Anil D. Nair, AdvocateFor Respondent: Smt. J.M. Jamuna Devi, Sr. D.R
Section 11(1)Section 11(1)(d)Section 12ASection 143(3)

…IN THE INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH, COCHIN Before Shri Sanjay Arora, Accountant Member and Dr. Seethalakshmi, Judicial Member ITA No. 689/Coch/2022 & SA No. 55/Coch/2022 (Assessment Year: 2016-17) Carmel Convent Income Tax Officer (Exemption) Coton Hill, Vazhuthacaud Thiruvananthapuram 695003 vs. Thiruvananthapuram 695014 [PAN:AAATC3967C] (Appellant) (Respondent) Appellant by: Shri Anil D. Nair, Advocate Respondent by: Smt. J.M. Jamuna Devi, Sr. D.R. Date of Hearing: 20.12.2023 Date of Pronouncement: 07.03.2024 O R D E R Per: Sanjay Arora, AM This is an Appeal by the Assessee directed against th…

Hindustan Coca-Cola Beverages Pvt. Ltd., New Delhi vs. JCIT, Special Range- 4, New Delhi

In the result, Appeals filed by the Assessee in ITA No

ITA 2315/DEL/2019[2012-13]Status: DisposedITAT Delhi05 Mar 2024AY 2012-13

Bench: SHRI M. BALAGANESH (Accountant Member), SHRI YOGESH KUMAR U.S. (Judicial Member)

…clusively for the business purposes and since the appellant has failed to substantiate its claim by supporting evidence or documentary evidences regarding the claim made before following case law, the Hon'ble SC in the case of CIT vs Calcutta Agency Ltd. (SC) 19 ITR 191 and in the case of Lashinaratan Cotton mills Co. Ltd. Vs CIT (SC) 73 ITR 634, added back the amount claimed under this head. 4.5.3.2. The appellant has stated that during the year under consideration, the appellant had debited a sum of Rs. 10,67,24,494 on account of inventory losses and leakages in the P&L account. The above loss incurred by appe…

Hindustan Coca-Cola Beverages Pvt. Ltd., New Delhi vs. Addlcit, Special Range-4, New Delhi

In the result, Appeals filed by the Assessee in ITA No

ITA 6506/DEL/2018[2013-14]Status: DisposedITAT Delhi05 Mar 2024AY 2013-14

Bench: SHRI M. BALAGANESH (Accountant Member), SHRI YOGESH KUMAR U.S. (Judicial Member)

…clusively for the business purposes and since the appellant has failed to substantiate its claim by supporting evidence or documentary evidences regarding the claim made before following case law, the Hon'ble SC in the case of CIT vs Calcutta Agency Ltd. (SC) 19 ITR 191 and in the case of Lashinaratan Cotton mills Co. Ltd. Vs CIT (SC) 73 ITR 634, added back the amount claimed under this head. 4.5.3.2. The appellant has stated that during the year under consideration, the appellant had debited a sum of Rs. 10,67,24,494 on account of inventory losses and leakages in the P&L account. The above loss incurred by appe…

Addl. CIT, Special Range- 4, New Delhi vs. Hindustan Coca-Cola Beverages Pvt. Ltd., New Delhi

In the result, Appeals filed by the Assessee in ITA No

ITA 6296/DEL/2018[2013-14]Status: DisposedITAT Delhi05 Mar 2024AY 2013-14

Bench: SHRI M. BALAGANESH (Accountant Member), SHRI YOGESH KUMAR U.S. (Judicial Member)

…clusively for the business purposes and since the appellant has failed to substantiate its claim by supporting evidence or documentary evidences regarding the claim made before following case law, the Hon'ble SC in the case of CIT vs Calcutta Agency Ltd. (SC) 19 ITR 191 and in the case of Lashinaratan Cotton mills Co. Ltd. Vs CIT (SC) 73 ITR 634, added back the amount claimed under this head. 4.5.3.2. The appellant has stated that during the year under consideration, the appellant had debited a sum of Rs. 10,67,24,494 on account of inventory losses and leakages in the P&L account. The above loss incurred by appe…

Hindustan Coca-Cola Beverages Pvt. Ltd., New Delhi vs. Addl. CIT, Special Range- 4, New Delhi

In the result, Appeals filed by the Assessee in ITA No

ITA 5925/DEL/2018[2011-12]Status: DisposedITAT Delhi05 Mar 2024AY 2011-12

Bench: SHRI M. BALAGANESH (Accountant Member), SHRI YOGESH KUMAR U.S. (Judicial Member)

…clusively for the business purposes and since the appellant has failed to substantiate its claim by supporting evidence or documentary evidences regarding the claim made before following case law, the Hon'ble SC in the case of CIT vs Calcutta Agency Ltd. (SC) 19 ITR 191 and in the case of Lashinaratan Cotton mills Co. Ltd. Vs CIT (SC) 73 ITR 634, added back the amount claimed under this head. 4.5.3.2. The appellant has stated that during the year under consideration, the appellant had debited a sum of Rs. 10,67,24,494 on account of inventory losses and leakages in the P&L account. The above loss incurred by appe…

Addl. CIT, Special Range- 4, New Delhi vs. Hindustan Coca-Cola Beverages Pvt. Ltd., New Delhi

In the result, Appeals filed by the Assessee in ITA No

ITA 5903/DEL/2018[2011-12]Status: DisposedITAT Delhi05 Mar 2024AY 2011-12

Bench: SHRI M. BALAGANESH (Accountant Member), SHRI YOGESH KUMAR U.S. (Judicial Member)

…clusively for the business purposes and since the appellant has failed to substantiate its claim by supporting evidence or documentary evidences regarding the claim made before following case law, the Hon'ble SC in the case of CIT vs Calcutta Agency Ltd. (SC) 19 ITR 191 and in the case of Lashinaratan Cotton mills Co. Ltd. Vs CIT (SC) 73 ITR 634, added back the amount claimed under this head. 4.5.3.2. The appellant has stated that during the year under consideration, the appellant had debited a sum of Rs. 10,67,24,494 on account of inventory losses and leakages in the P&L account. The above loss incurred by appe…

Kandathil Jewellers, Kerala vs. DCIT, Circle Ingtl. Txan, Kerala

In the result, the assessee’s appeals are dismissed

ITA 874/COCH/2022[2019-20]Status: DisposedITAT Cochin21 Feb 2024AY 2019-20

Bench: Shri Sanjay Arora & Shri Manomohan Das

For Appellant: Shri Jyothison J., CAFor Respondent: Smt. J.M. Jamuna Devi, Sr. D.R
Section 133ASection 148(1)Section 44A

…by law obliged to gather materials and confront them to the assessee before making assessment, is u/s. 143(3) of the Act. The burden to prove his return of income, including the claims preferred thereby, is on the assessee (CIT v. Calcutta Agency Ltd. [1951] 19 ITR 191 (SC)(also see: Lakshmiratan Cotton Mills Co. v. CIT [1969] 73 ITR 634 (SC);and which can further only be on the basis of proper materials (CIT v. R. Venkataswamy Naidu [1956] 29 ITR 529 (SC)). The objection to adoption of a higher net profit rate of 5% (of sales) for AY 2019-20, as against at 2% for the preceding years, apparently appealing, is fo…