CIT v. Hero Cycles Ltd.

323 ITR 518High Court2010#150 most cited

What is CIT v. Hero Cycles Ltd. authority for?

Disallowance under Section 14A, for expenditure incurred in relation to exempt income, is not permissible when the assessee has not earned any exempt income, such as dividend income under Section 10(34), during the year under consideration.

470

judgments rely on this decision, according to BharatTax’s citation analysis of 367,181 Indian tax judgments — from 2012 to 2026.

Also referred to as

CIT v. Hero Cycles Ltd. · Section 14A disallowance · no exempt income earned · Section 10(34) dividend · expenditure nexus · disallowance if no dividend income · 323 ITR 518 · Hero Cycles 14A · exempt income disallowance

Also reported as

189 Taxmann 504 ITR-OL 246221 CTR 435

Sections most often in play

Section 14ASection 142(1)Section 143(3)Section 8DSection 143(2)Section 115JBSection 37(1)Section 43B
Read the full judgment

Issues it is cited on

section 10(34)disallowance under section 14adisallowance u/s 14asection 14asection 115jsection 115jbsection 37section 37(1)section 10section 115previous yearassistant commissioner

Judgments citing CIT v. Hero Cycles Ltd.

Sbi Capital Markets Ltd., Mumbai vs. Addl.C.I.T. Ltu, Mumbai

In the result, the 1st, 2nd, 3rd and 4th ground of appeals are partly allowed

ITA 2483/MUM/2012[2008-09]Status: DisposedITAT Mumbai09 Feb 2018AY 2008-09

Bench: Shri D.T. Garasia () & Shri N.K. Pradhan () Assessment Year: 2008-09 & Assessment Year: 2009-10 Sbi Capital Markets Ltd. Addl.Cit Ltu, 202, Maker Tower E, Cuff 29Th Floor Centre-I, Vs. Parade, World Trade Centre, Mumbai-400005 Cuffe Parade, Mumbai-400005 Pan No. Aaacs7914E Appellant Respondent Assessee By : Mr. Rajnikant V. Chaniyari, Ar Revenue By : Mr. V. Justin, Dr Date Of Hearing : 15/11/2017 Date Of Pronouncement : 09/02/2018

For Appellant: Mr. Rajnikant V. Chaniyari, ARFor Respondent: Mr. V. Justin, DR
Section 143(3)Section 14ASection 14A(2)

…Ltd. v. DCIT [2016] 67 taxmann.com 260 (Kolkata), (iv) CIT v. Reliance Utilities & Power Ltd. (2009) 313 ITR 340 (Bom. HC), (v) Oswal Industries v. ACIT (2000) 109 Taxman 279 (Mum. ITAT), (vi) Maruti Udyog Ltd. (92 ITD 119) (Del. ITAT), (vii)Hero Cycles Ltd. (323 ITR 518) (P&H HC) and (viii)Bunge Agribusiness (India) (P.) Ltd. v. DCIT 132 ITD 549 (Mumbai ITAT). 5.3 The Ld. counsel finally submits that strategic investments should be excluded while calculating average value of investment. It is stated that investments of Rs.63,96,30,000/- outstanding as on March 31, 2009 and Rs.60,00,00,000/- outstanding as on Mar…

DCIT 1(1)(1), Mumbai vs. Gcil Fianance Ltd, Mumbai

The appeal of the revenue is dismissed

ITA 5686/MUM/2015[2010-11]Status: DisposedITAT Mumbai02 Feb 2018AY 2010-11

Bench: Shri Rajendra, Am & Shri Ravish Sood, Jm Dy. Commissioner Of Income M/S Gcil Finance Ltd. बिधम/ Tax-1(1)(2), 579 209-210, Arcadia Bldg, Aayakar Bhavan, 195, Nariman Point, Vs. M.K. Road, Mumbai- 400 021 Mumbai-400 020 स्थामी रेखा सं./ जीआइआय सं./ Pan No. Aadcg0600Q (अऩीराथी /Revenue) (प्रत्मथी / Assessee) :

For Appellant: Shri R.C. Jain, A.RFor Respondent: Shri Ram Tiwari, D.R
Section 10(35)Section 143(1)Section 143(2)Section 143(3)Section 14A

…P a g e | 1 ITA No. 5686/Mum/2015 AY: 2010-11 DCIT Vs. M/s GCIL Finance Ltd. IN THE INCOME TAX APPELLATE TRIBUNAL “G” BENCH, MUMBAI BEFORE SHRI RAJENDRA, AM AND SHRI RAVISH SOOD, JM Dy. Commissioner of Income M/s GCIL Finance Ltd. बिधम/ tax-1(1)(2), 579 209-210, Arcadia Bldg, Aayakar Bhavan, 195, Nariman Point, Vs. M.K. Road, Mumbai- 400 021 Mumbai-400 020 स्थामी रेखा सं./ जीआइआय सं./ PAN No. AADCG0600Q (अऩीराथी /Revenue) (प्रत्मथी / Assessee) : अऩीराथी की ओय से / Revenue by : Shri Ram Tiwari, D.R प्रत्मथी की ओय से/Assessee by : Shri R.C. Jain, A.R सुनवाई की तायीख / : 07.11.2017 Date of Hearing घोषणा की ता…

The Dy. CIT-1(2), Raipur (Cg) vs. M/S. Saumya Mining Ltd., Raipur (Cg)

In the result, appeal filed by the Revenue is dismissed

ITA 150/BIL/2013[2010-11]Status: DisposedITAT Raipur31 Jan 2018AY 2010-11
For Appellant: Shri Praveen Jain, ARFor Respondent: Shri P.K.Mishra, CITDR
Section 14ASection 194C

…IN THE INCOME TAX APPELLATE TRIBUNAL RAIPUR BENCH, RAIPUR BEFORE:SHRI N.S.SAINI, AM & SHRI PAVAN KUMAR GADALE,JM DCIT-1(2), Raipur vs M/s Saumya Mining Limited, Nathani Building, Shastri Chowk, Raipur(C.G.) PAN No. : AADCS 5050 J (Appellant) .. tnednopseR Revenue by : Shri P.K.Mishra, CITDR Assessee by : Shri Praveen Jain, AR Date of Hearing : 17/01/2018 Date of Pronouncement 31/01/2018 आदेश / O R D E R Per Shri N.S.Saini, AM: This is an appeal filed by the Revenue against the order of the CIT(A), Raipur, dated 07.08.2013 for the assessment year 2010-2011. 2. The Revenue has raised the following grounds of…

State Bank of India, Mumbai vs. ACIT Cir 2(2)

In the result, appeal of the revenue is dismissed

ITA 4736/MUM/2010[1999-2000]Status: DisposedITAT Mumbai31 Jan 2018AY 1999-2000

Bench: Shri G.S. Pannu & Shri Pawan Singhstate Bank Of India Acit Circle (2)(2), Financial Reporting, Compliance & Mumbai. Taxation Department, 19Th Floor, Vs. Corporate Centre, Madam Cama Road, Mumbai-400021. Pan: Aaacs8577K (Appellant) (Respondent) Acit Circle (2)(2), State Bank Of India Mumbai. Financial Reporting, Compliance & Taxation Department, 19Th Floor, Vs. Corporate Centre, Madam Cama Road, Mumbai-400021. Pan: Aaacs8577K (Appellant) (Respondent)

For Respondent: Shri R.P. Meena (CIT-DR)
Section 14ASection 195Section 253Section 254(1)Section 36(1)(viia)Section 40Section 43D

…ion in favour of assessee’s Bank viz. CIT vs. Central Bank of India 264 ITR 522(Bom), CIT vs. General Insurance Corpn. Of India 254 ITR 203(Bom), Eicher Ltd. (101 TTJ 369) (Del), Dhanlakshmi Bank Ltd. vs. ACIT 12 SOT 625 (Cochin), CIT vs. Hero Cycles Ltd. 323 ITR 518) (Punjab & Haryana High Court). The ld. AR further argued that as per guidelines laid down by Reserve Bank of India, the bank has to invest interest free securities to maintain Statutory Liquidity Ratio (SLR). The rate of return on tax free deployment of funds lower in view of the tax exemption available. The Borrowings and interest expenses…

ACIT Cir 2(2), Mumbai vs. State Bank of India, Mumbai

In the result, appeal of the revenue is dismissed

ITA 4598/MUM/2010[1999-00]Status: DisposedITAT Mumbai31 Jan 2018AY 1999-00

Bench: Shri G.S. Pannu & Shri Pawan Singhstate Bank Of India Acit Circle (2)(2), Financial Reporting, Compliance & Mumbai. Taxation Department, 19Th Floor, Vs. Corporate Centre, Madam Cama Road, Mumbai-400021. Pan: Aaacs8577K (Appellant) (Respondent) Acit Circle (2)(2), State Bank Of India Mumbai. Financial Reporting, Compliance & Taxation Department, 19Th Floor, Vs. Corporate Centre, Madam Cama Road, Mumbai-400021. Pan: Aaacs8577K (Appellant) (Respondent)

For Respondent: Shri R.P. Meena (CIT-DR)
Section 14ASection 195Section 253Section 254(1)Section 36(1)(viia)Section 40Section 43D

…ion in favour of assessee’s Bank viz. CIT vs. Central Bank of India 264 ITR 522(Bom), CIT vs. General Insurance Corpn. Of India 254 ITR 203(Bom), Eicher Ltd. (101 TTJ 369) (Del), Dhanlakshmi Bank Ltd. vs. ACIT 12 SOT 625 (Cochin), CIT vs. Hero Cycles Ltd. 323 ITR 518) (Punjab & Haryana High Court). The ld. AR further argued that as per guidelines laid down by Reserve Bank of India, the bank has to invest interest free securities to maintain Statutory Liquidity Ratio (SLR). The rate of return on tax free deployment of funds lower in view of the tax exemption available. The Borrowings and interest expenses…

Dy. C.I.T. 1(2), Raipur (Cg) vs. M/S Hira Ferro Alloys Ltd., Raipur

In the result, appeal filed for assessment year 2010-11 is dismissed

ITA 360/BIL/2014[2011-12]Status: DisposedITAT Raipur18 Jan 2018AY 2011-12

Bench: S/Shri N.S Saini & Pavan Kumar Gadale

For Appellant: NoneFor Respondent: Shri P.K.Mishra, CIT DR
Section 14ASection 801ASection 80ISection 8Q

…IN THE INCOME TAX APPELLATE TRIBUNAL, RAIPUR BENCH, RAIPUR BEFORE S/SHRI N.S SAINI, ACCOUNTANT MEMBER AND PAVAN KUMAR GADALE, JUDICIAL MEMBER ITA Nos.358 to 360/Rpr/2014 Assessment Years : 2009-10, 2010-2011 & 2011-12 DCIT, 1(2), Aayakar Vs. Hira Ferro Alloys Ltd., B- Bhawan, Central Revenue 567, Urla Industrial Area, Building, Civil Lines, Raipur Raipur PAN/GIR No.AAACH 5679 (Appellant) .. ( Respondent) Assessee by : None Revenue by : Shri P.K.Mishra, CIT DR Date of Hearing : 16/01/ 2018 Date of Pronouncement : 18 /01/ 2018 O R D E R Per Pavan Kumar Gadale, JM These are appeal filed by the revenue again…

Dy. C.I.T. 1(2), Raipur (Cg) vs. M/S Hira Ferro Alloys Ltd., Raipur

In the result, appeal filed for assessment year 2010-11 is dismissed

ITA 359/BIL/2014[2010-11]Status: DisposedITAT Raipur18 Jan 2018AY 2010-11

Bench: S/Shri N.S Saini & Pavan Kumar Gadale

For Appellant: NoneFor Respondent: Shri P.K.Mishra, CIT DR
Section 14ASection 801ASection 80ISection 8Q

…IN THE INCOME TAX APPELLATE TRIBUNAL, RAIPUR BENCH, RAIPUR BEFORE S/SHRI N.S SAINI, ACCOUNTANT MEMBER AND PAVAN KUMAR GADALE, JUDICIAL MEMBER ITA Nos.358 to 360/Rpr/2014 Assessment Years : 2009-10, 2010-2011 & 2011-12 DCIT, 1(2), Aayakar Vs. Hira Ferro Alloys Ltd., B- Bhawan, Central Revenue 567, Urla Industrial Area, Building, Civil Lines, Raipur Raipur PAN/GIR No.AAACH 5679 (Appellant) .. ( Respondent) Assessee by : None Revenue by : Shri P.K.Mishra, CIT DR Date of Hearing : 16/01/ 2018 Date of Pronouncement : 18 /01/ 2018 O R D E R Per Pavan Kumar Gadale, JM These are appeal filed by the revenue again…

Dy. C.I.T. 1(2), Raipur (Cg) vs. M/S Hira Ferro Alloys Ltd., Raipur

In the result, appeal filed for assessment year 2010-11 is dismissed

ITA 358/BIL/2014[2009-10]Status: DisposedITAT Raipur18 Jan 2018AY 2009-10

Bench: S/Shri N.S Saini & Pavan Kumar Gadale

For Appellant: NoneFor Respondent: Shri P.K.Mishra, CIT DR
Section 14ASection 801ASection 80ISection 8Q

…IN THE INCOME TAX APPELLATE TRIBUNAL, RAIPUR BENCH, RAIPUR BEFORE S/SHRI N.S SAINI, ACCOUNTANT MEMBER AND PAVAN KUMAR GADALE, JUDICIAL MEMBER ITA Nos.358 to 360/Rpr/2014 Assessment Years : 2009-10, 2010-2011 & 2011-12 DCIT, 1(2), Aayakar Vs. Hira Ferro Alloys Ltd., B- Bhawan, Central Revenue 567, Urla Industrial Area, Building, Civil Lines, Raipur Raipur PAN/GIR No.AAACH 5679 (Appellant) .. ( Respondent) Assessee by : None Revenue by : Shri P.K.Mishra, CIT DR Date of Hearing : 16/01/ 2018 Date of Pronouncement : 18 /01/ 2018 O R D E R Per Pavan Kumar Gadale, JM These are appeal filed by the revenue again…

ITO 3(2)(2), Mumbai vs. Millennium Appliances India Ltd, Mumbai

The appeal of the Revenue is dismissed

ITA 5149/MUM/2015[2011-12]Status: DisposedITAT Mumbai18 Jan 2018AY 2011-12

Bench: Shri Joginder Singh & Shri Rajesh Kumarassessment Year: 2011-12 Income Tax Officer-3(2)(2), M/S Millenium Room No.673, 6Th Floor, Appliances India Ltd. बनाम/ Aayakar Bhavan, 171-C, Mittal Court, Vs. M.K. Road, Nariman Point, Mumbai-400020 Mumbai-400021 (राज"व /Revenue) ("नधा"रती /Assessee) Pan. No.Aaccm7838D

Section 143(3)Section 144CSection 14ASection 153A

…n'ble 14 M/s Millenium Appliances India Ltd. jurisdictional High Court in the case of Reliance Utilities & Power Ltd. was followed, and decided in favour of the assessee. The case of the assessee is also covered by the ratio laid down in CIT vs Hero Cycles 323 ITR 518 (P & H). Considering the totality of facts, when no exempt incomes was earned and own funds are more than the investment, we find no infirmity in the order of the Ld. Commissioner of Income Tax (Appeal), it is upheld. Finally, the appeal of the Revenue is dismissed. This order was pronounced in the open court in the presence of the ld. repre…

ACIT 3(1)(2), Mumbai vs. Edelweiss Trading & Holdings Ltd, Mumbai

In the result, the appeal filed by the revenue is hereby ordered to be dismissed

ITA 4259/MUM/2016[2011-12]Status: DisposedITAT Mumbai17 Jan 2018AY 2011-12

Bench: Shri Rajendra, Am & Shri Amarjit Singh, Jm आयकर अपील सं/ I.T.A. No.4259/Mum/2016 (निर्धारण वर्ा / Assessment Year: 2011-12) Acit-3(1)(2) बिधम/ M/S. Edelweiss Trading & Room No. 607, 6Th Floor, Holding Ltd. (Formerly Vs. Aayakar Bhavan, Mumbai- Edelweiss Commodities 400020 Ltd.) 1, Edelweiss House, Off, Cst Road, Kalina, Santacruz (E) Mumbai- 400098 स्थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aabce3819M (अपीलाथी /Appellant) .. (प्रत्यथी / Respondent) Revenue By: Shri Saurabh Deshpande (Dr) Assessee By: Shri Rajan Vora सुनवाई की तारीख / Date Of Hearing: 26.10.2017 घोषणा की तारीख /Date Of Pronouncement: 17. 01.2018 आदेश / O R D E R Per Amarjit Singh, Jm: The Revenue Has Filed The Present Appeal Against The Order Dated 16.03.2016 Passed By The Commissioner Of Income Tax (Appeals) - 8, Mumbai [Hereinafter Referred To As The “Cit(A)”] Relevant To The A.Y.2011- 12. 2. The Revenue Has Raised The Following Grounds:- “1. "On The Facts & Circumstances Of The Case & In Law, The Ld. Cit{A) Erred In Deleting The Addition Of Rs.12,74,59,362/- Made By Assessing Officer On Account Of Mark To Market Loss A.Y.2011-12

For Appellant: Shri Rajan VoraFor Respondent: Shri Saurabh Deshpande (DR)
Section 10(34)Section 142(1)Section 143(2)Section 14ASection 14A(2)

…record to controvert the contention of the assessee that no .expenditure has been incurred for earning the exempt income, there is no justification to disallow proportionate business expenses on estimate basis. 6 A.Y.2011-12 • CIT vs. M/s. Hero Cycles Ltd. 323 ITR 518 wherein Hon'ble Punjab & Haryana High Court in case of has held that whether in a given situation any expenditure was incurred which was to be disallowed was a question of fact. The contention of the revenue that directly or indirectly some expenditure is always incurred which must be disallowed u/s 14A was not accepted. It was held that disallow…

Bala Reddy Gopu, Hyderabad vs. DCIT, Circle-2(1), Hyderabad

In the result, appeal of the assessee is allowed for statistical purposes

ITA 455/HYD/2017[2010-11]Status: DisposedITAT Hyderabad12 Jan 2018AY 2010-11

Bench: Shri D. Manmohan & Shri S. Rifaur Rahman

For Appellant: Shri P. Murali Mohan RaoFor Respondent: Shri V. Sreekar
Section 143(1)Section 143(2)Section 145Section 14ASection 17(1)(iv)Section 192Section 194HSection 44A

…pak Mittal & Amrit Sagar Mittal reported in 361 ITR 131 held that: "No expenditure was claimed to have been incurred for earning exempted income and the Assessing Officer cannot disallow any part of the expenditure claimed." • CIT Vs. Hero Cycles Ltd (2010) 323 ITR 518 (P &H) 8 I.T.A. Nos. 455 & 456/Hyd/2017 Bala Reddy G "For the purpose of making disallowance u/ s 14A, a finding of incurring the expenditure for earning exempt income is absolutely necessarily. " • CIT vs. Reliance Industries Ltd (2011) 339 ITR 632 (Bom.) "Dividend income is statutory exempt and in the absence of any expenditure shown for ea…

Tata Lokheed Martin Aerostructures Ltd., Hyderabad vs. DCIT - 1(3), Mumbai

ITA 2144/MUM/2016[2011-12]Status: DisposedITAT Mumbai12 Jan 2018AY 2011-12

Bench: Sh. Shamim Yahya, Am & Sh. Sandeep Gosain, Jm आयकरअपीलसं./ I.T.A. No. 2144/Mum/2016 (निर्धारणवर्ा / Assessment Year: 2011-12)

For Appellant: Ms. Aarati VisanjiFor Respondent: Sh. M. V. Rajguru
Section 10(34)Section 14A

…) CIT v. Walfort Share and Stock Brokers Private Limited (2009) 310 ITR 421 (Born) [Affirmed in 326 ITR I (SC)] (e) CIT v. Reliance Industries Ltd. 339 ITR 632 (Born) (f) CIT v. Metalman Auto P. Ltd. (2011) 336 ITR 434 (P&H) (g) CIT v. Hero Cycles Ltd. (2010) 323 ITR 518 (P&H) (h) CIT v. Winsome Textile Industries Ltd. 319 hR 204 (P&H) (i) Godrej & Boyce Manufacturing Co Ltd, 328 ITR 81 (Bombay High Court) (j) Wimco Seedlings Ltd. v. DCIT (2007) 107 lTD 267 (De) (TM) (k) Relaxo Footwears Ltd.,V. ACIT (2012) 50 SOT 102 (DEL); (I) Chanakya International Pvt. Ltd.v. ACIT (2013) 36 CCH 032 (Mum); (m) Justice Ram P Bh…

ITO, WD-12(1), Kolkata vs. M/S Bonanza Trading Co. Pvt. Ltd., Kolkata

In the result, the appeal filed by the Revenue (ITA No

ITA 174/KOL/2016[2010-2011]Status: DisposedITAT Kolkata10 Jan 2018AY 2010-2011

Bench: Shri A. T. Varkey, Jm &Dr. A.L.Saini, Am आयकरअपीलसं./Ita No.172, 173 & 174/Kol/2016 (िनधा"रणवष" / Assessment Years: 2008-09, 2009-10 & 2010-11) Vs. M/S Bonanza Trading Ito, Wd-12(1), Kolkata Company (P) Ltd. Aayakar Bhawan, P-7, Chowringhee Square, Kolkata – B-103, Rai Enclave, 7/1A, 700 069. Sunny Park, Kolkata – 700 019. "थायीलेखासं./जीआइआरसं./Pan/Gir No. : Aabcb 0175 D (Appellant) .. (Respondent) Appellantby :Shrisaurabh Kumar, Addl. Cit(Dr) Respondent By :Shri Asim Choudhury, Advocate. सुनवाईकीतारीख/ Date Of Hearing : 13/11/2017 घोषणाकीतारीख/Date Of Pronouncement : 10/01/2018 आदेश / O R D E R Per Dr. Arjun Lal Saini, Am: The Captioned Three Appeals Filed By The Revenue, Pertaining To Assessment Years2008-09, 2009-10 & 2010-11, Are Directed Against The Orders Passed By The Ld. Commissioner Of Income Tax (Appeals)-9, Kolkata,In Appeal Nos. 588/589/ & 590/Cit(A)-9/Wd-12(1)/2014-15/Kol, Which In Turn Arise Out Of Assessment Orders Passed By The Assessing Officer U/S.143(3) Of The Income Tax Act, 1961 (Hereinafter Referred To As The ‘Act’). 2.Since, These Three Appeals Relate To Same Assessee, Different Assessment Years, Identical Issues Are Involved, Therefore, These Have Been Clubbed & Heard Together & A Consolidated Order Is Being Passed For The Sake Of Convenience & Brevity. Revenue’S Appeal In Ita No.172/Kol/2016, Assessment Year 2008-09, Is Taken As The Lead Case.

For Appellant: ShriSaurabh Kumar, Addl. CIT(DR)For Respondent: Shri Asim Choudhury, Advocate
Section 10Section 10(38)Section 143(3)Section 14ASection 40

…was also found that Real Estate Development and Real Estate Investment was one of the main objects of the company. Thus, the ld. CIT(A) found that the case is covered by the decision of the Punjab & Haryana High Court in the case of CIT vs. Hero Cycle Limited 323 ITR 518, wherein it was held that if sale proceeds from investment is enough to be used for the purpose of purchase of investment then it is clear that the assessee has surplus fund M/s Bonanza Trading Company (P) Ltd. ITA No.172, 173 & 174/Kol/2016 Assessment Years: 2008-09, 2009-10 & 2010-11 and no disallowance under 14A can be made. This way, the ld.…

ITO, WD-12(1), Kolkata vs. M/S Bonanza Trading Co. Pvt. Ltd., Kolkata

In the result, the appeal filed by the Revenue (ITA No

ITA 173/KOL/2016[2009-2010]Status: DisposedITAT Kolkata10 Jan 2018AY 2009-2010

Bench: Shri A. T. Varkey, Jm &Dr. A.L.Saini, Am आयकरअपीलसं./Ita No.172, 173 & 174/Kol/2016 (िनधा"रणवष" / Assessment Years: 2008-09, 2009-10 & 2010-11) Vs. M/S Bonanza Trading Ito, Wd-12(1), Kolkata Company (P) Ltd. Aayakar Bhawan, P-7, Chowringhee Square, Kolkata – B-103, Rai Enclave, 7/1A, 700 069. Sunny Park, Kolkata – 700 019. "थायीलेखासं./जीआइआरसं./Pan/Gir No. : Aabcb 0175 D (Appellant) .. (Respondent) Appellantby :Shrisaurabh Kumar, Addl. Cit(Dr) Respondent By :Shri Asim Choudhury, Advocate. सुनवाईकीतारीख/ Date Of Hearing : 13/11/2017 घोषणाकीतारीख/Date Of Pronouncement : 10/01/2018 आदेश / O R D E R Per Dr. Arjun Lal Saini, Am: The Captioned Three Appeals Filed By The Revenue, Pertaining To Assessment Years2008-09, 2009-10 & 2010-11, Are Directed Against The Orders Passed By The Ld. Commissioner Of Income Tax (Appeals)-9, Kolkata,In Appeal Nos. 588/589/ & 590/Cit(A)-9/Wd-12(1)/2014-15/Kol, Which In Turn Arise Out Of Assessment Orders Passed By The Assessing Officer U/S.143(3) Of The Income Tax Act, 1961 (Hereinafter Referred To As The ‘Act’). 2.Since, These Three Appeals Relate To Same Assessee, Different Assessment Years, Identical Issues Are Involved, Therefore, These Have Been Clubbed & Heard Together & A Consolidated Order Is Being Passed For The Sake Of Convenience & Brevity. Revenue’S Appeal In Ita No.172/Kol/2016, Assessment Year 2008-09, Is Taken As The Lead Case.

For Appellant: ShriSaurabh Kumar, Addl. CIT(DR)For Respondent: Shri Asim Choudhury, Advocate
Section 10Section 10(38)Section 143(3)Section 14ASection 40

…was also found that Real Estate Development and Real Estate Investment was one of the main objects of the company. Thus, the ld. CIT(A) found that the case is covered by the decision of the Punjab & Haryana High Court in the case of CIT vs. Hero Cycle Limited 323 ITR 518, wherein it was held that if sale proceeds from investment is enough to be used for the purpose of purchase of investment then it is clear that the assessee has surplus fund M/s Bonanza Trading Company (P) Ltd. ITA No.172, 173 & 174/Kol/2016 Assessment Years: 2008-09, 2009-10 & 2010-11 and no disallowance under 14A can be made. This way, the ld.…

ITO, WD-12(1), Kolkata vs. M/S Bonanza Trading Co. Pvt. Ltd., Kolkata

In the result, the appeal filed by the Revenue (ITA No

ITA 172/KOL/2016[2008-09]Status: DisposedITAT Kolkata10 Jan 2018AY 2008-09

Bench: Shri A. T. Varkey, Jm &Dr. A.L.Saini, Am आयकरअपीलसं./Ita No.172, 173 & 174/Kol/2016 (िनधा"रणवष" / Assessment Years: 2008-09, 2009-10 & 2010-11) Vs. M/S Bonanza Trading Ito, Wd-12(1), Kolkata Company (P) Ltd. Aayakar Bhawan, P-7, Chowringhee Square, Kolkata – B-103, Rai Enclave, 7/1A, 700 069. Sunny Park, Kolkata – 700 019. "थायीलेखासं./जीआइआरसं./Pan/Gir No. : Aabcb 0175 D (Appellant) .. (Respondent) Appellantby :Shrisaurabh Kumar, Addl. Cit(Dr) Respondent By :Shri Asim Choudhury, Advocate. सुनवाईकीतारीख/ Date Of Hearing : 13/11/2017 घोषणाकीतारीख/Date Of Pronouncement : 10/01/2018 आदेश / O R D E R Per Dr. Arjun Lal Saini, Am: The Captioned Three Appeals Filed By The Revenue, Pertaining To Assessment Years2008-09, 2009-10 & 2010-11, Are Directed Against The Orders Passed By The Ld. Commissioner Of Income Tax (Appeals)-9, Kolkata,In Appeal Nos. 588/589/ & 590/Cit(A)-9/Wd-12(1)/2014-15/Kol, Which In Turn Arise Out Of Assessment Orders Passed By The Assessing Officer U/S.143(3) Of The Income Tax Act, 1961 (Hereinafter Referred To As The ‘Act’). 2.Since, These Three Appeals Relate To Same Assessee, Different Assessment Years, Identical Issues Are Involved, Therefore, These Have Been Clubbed & Heard Together & A Consolidated Order Is Being Passed For The Sake Of Convenience & Brevity. Revenue’S Appeal In Ita No.172/Kol/2016, Assessment Year 2008-09, Is Taken As The Lead Case.

For Appellant: ShriSaurabh Kumar, Addl. CIT(DR)For Respondent: Shri Asim Choudhury, Advocate
Section 10Section 10(38)Section 143(3)Section 14ASection 40

…was also found that Real Estate Development and Real Estate Investment was one of the main objects of the company. Thus, the ld. CIT(A) found that the case is covered by the decision of the Punjab & Haryana High Court in the case of CIT vs. Hero Cycle Limited 323 ITR 518, wherein it was held that if sale proceeds from investment is enough to be used for the purpose of purchase of investment then it is clear that the assessee has surplus fund M/s Bonanza Trading Company (P) Ltd. ITA No.172, 173 & 174/Kol/2016 Assessment Years: 2008-09, 2009-10 & 2010-11 and no disallowance under 14A can be made. This way, the ld.…

M/S. Chengmari Tea Co. Ltd, Kolkata vs. Dy./ACIT, Circle - 4(1), Kolkata

In the result the appeal by the assessee is partly allowed

ITA 1932/KOL/2017[2010-11]Status: DisposedITAT Kolkata03 Jan 2018AY 2010-11

Bench: Hon’Ble Sri N.V.Vasudevan, Jm] I.T.A No. 1932/Kol/2017 Assessment Year : 2010-11

For Appellant: Shri Sunil Surana, AdvocateFor Respondent: Shri Snehangshu Biswas, Addl.CIT
Section 14A

…td. A.Yr.2010-11 Punjab and Haryana High Court in Commissioner of Income Tax, Faridabad Vs. M/s. Lakhani Marketing Incl., ITA No. 970/2008, decided on 02.04.2014, made reference to two earlier decisions of the same Court in CIT Vs. Hero Cycles Limited, [2010] 323 ITR 518 and CIT Vs. Winsome Textile Industries Limited, [2009] 319 ITR 204 to hold that Section 14A cannot be invoked when no exempt income was earned. The second decision is of the Gujarat High Court in Commissioner of Income Tax-I Vs. Corrtecb Energy (P.) Ltd. [2014] 223 Taxmann 130 (Guj .). The third decision is of the AlIahabad High Court in Income T…

ACIT 3(2)(1), Mumbai vs. Indiabulls Wholsale Services Ltd, Mumbai

ITA 7490/MUM/2016[2012-13]Status: DisposedITAT Mumbai03 Jan 2018AY 2012-13
For Appellant: NoneFor Respondent: Shri Ram Tiwari - DR
Section 143(3)Section 14ASection 254(1)

…आयकर अपीलीय अपीलीय अिधकरण अिधकरण मुंबई मुंबई “जी जी” खंडपीठ खंडपीठ आयकर आयकर आयकर अपीलीय अपीलीय अिधकरण अिधकरण मुंबई मुंबई जी जी खंडपीठ खंडपीठ IN THE INCOME TAX APPELLATE TRIBUNAL “G” BENCH, MUMBAI सव"ी राजे"" राजे"", लेखा लेखा सद"य सद"य एवं एवं रिवश सूद रिवश सूद, "याियक "याियक सद"य सद"य सव"ी सव"ी सव"ी राजे"" राजे"" लेखा लेखा सद"य सद"य एवं एवं रिवश सूद रिवश सूद "याियक "याियक सद"य सद"य Before S/Sh. Rajendra,Accountant Member & Ravish Sood, Judicial Member आयकर अपील अपील संसंसंसं/.ITA No.7490/Mum/2016,िनधा"रण िनधा"रण वष" वष" / Assessment Year: 2012-13 आयकर आयकर आयकर अपील अपील िनधा"रण िनधा"रण वष" वष" A.C.I.T-3(2)(1),…

Assistant Commissioner of Income Tax, Circle-1, Kota vs. M/S Jainco Enterprises Pvt. Ltd., Kota

In the result, the appeal of the revenue stands dismissed

ITA 755/JPR/2017[2014-15]Status: DisposedITAT Jaipur26 Dec 2017AY 2014-15
For Appellant: NoneFor Respondent: Shri R.A. Verma (Addl.CIT) fu/kZkfjrh dh vksj ls@
Section 143(3)Section 145(3)Section 14ASection 2(24)(x)

…e against Revenue. The first was the decision in CIT v. Lakhani Marketing Inc . [2014] 226 Taxman 45/49 taxmann.com 257 of the High Court of Punjab and Haryana which in turn referred to two earlier decisions of the same Court in CIT v. Hero Cycles Ltd. [2010] 323 ITR 518/189 Taxman 50 and CIT v. Winsome Textile Industries Ltd . [2009] 319 ITR 204. The second was of the Gujarat High Court in CIT v. Corrtech Energy (P.) Ltd. [2014] 223 Taxman 130/ 45 taxmann.com 116 and the third of the Allahabad High Court in CIT v. ITA 755/JP/2017_ 9 Shivam Motors (P.) Ltd. [2015] 230 Taxman 63/55 taxmann.com 262. These three d…

M/S Ub Infrastructure Projects Limited, Bangalore vs. Deputy Commissioner of Income Tax, Bangalore

In the result, the appeal of the assessee is dismissed

ITA 2098/BANG/2016[2012-13]Status: DisposedITAT Bangalore22 Dec 2017AY 2012-13

Bench: Shri Sunil Kumar Yadav & Shri Inturi Rama Raoassessment Year : 2012-13

For Appellant: Miss. Girija G. P, CAFor Respondent: Smt. Padma Meenakshi, JCIT
Section 14ASection 234B

…keting Incl. (decision dated April 2, 2014, of the High Court of Punjab and Haryana in I. T. A. No. 970 of 2008)--since reported in [2015] 4 ITR-OL 246 (P&H)-- which in turn referred to two earlier decisions of the same court in CIT v. Hero Cycles Ltd. [2010] 323 ITR 518 (P&H) and CIT v. Winsome Textile Industries Ltd. [2009] 319 ITR 204 (P&H). The second was of the Gujarat High Court in CIT v. Corrtech Energy (P.) Ltd. [2014] 223 Taxmann 130 (Guj) ; [2015] 372 ITR 97 (Guj) and the third of the Allahabad High Court in CIT v. Shivam Motors (P) Ltd. (decision dated 5th May, 2014, in I . T. A. No. 88 of ITA No.1107/…

Deputy Commissioner of Income Tax Circle-4(1)(1), Bangalore vs. M/S Kesar Marble and Granite Limited, Bangalore

In the result, the appeal of the revenue is dismissed

ITA 1392/BANG/2017[2012-13]Status: DisposedITAT Bangalore15 Dec 2017AY 2012-13

Bench: Shri Sunil Kumar Yadavassessment Year : 2012-13

For Appellant: Shri Vikas Suryawanshi, AdvocateFor Respondent: Shri C. Ramesh, CA
Section 10Section 14A

…arketing Incl. (decision dated April 2, 2014, of the High Court of Punjab and Haryana in I. T. A. No. 970 of 2008)—since reported in [2015] 4 ITR-OL 246 (P&H)— which in turn referred to two earlier decisions of the same court in CIT v. Hero Cycles Ltd. [2010] 323 ITR 518 (P&H) and CIT v. Winsome Textile Industries Ltd. [2009] 319 ITR 204 (P&H). The second was of the Gujarat High Court in CIT v. Corrtech Energy (P.) Ltd. [2014] 223 Taxmann 130 (Guj) ; [2015] 372 ITR 97 (Guj) and the third of the Allahabad High Court in CIT v. Shivam Motors (P) Ltd. (decision dated 5th May, 2014, in I. T. A. No. 88 of 2014). These…