CIT v. Indo Nippon Chemicals Co. Ltd.

261 ITR 275Supreme Court of India2003#445 most cited

What is CIT v. Indo Nippon Chemicals Co. Ltd. authority for?

A liability recognized in accordance with the Accounting Standards prescribed by the Institute of Chartered Accountants of India (ICAI) is an allowable expense for income tax purposes.

204

judgments rely on this decision, according to BharatTax’s citation analysis of 367,514 Indian tax judgments — from 2007 to 2025.

Also referred to as

CIT v. Indo Nippon Chemicals Co. Ltd. · 261 ITR 275 · allowable expense · liability recognition · Accounting Standards · ICAI · Section 37(1) Income Tax Act · business expenditure · mercantile system of accounting · SC decision

Also reported as

130 Taxmann 179

Sections most often in play

Section 41(1)Section 36(1)(va)Section 37(1)Section 41(2)Section 43BSection 2(24)Section 115JBSection 143(3)

Issues it is cited on

section 153b(i)(a)section 132(8)section 132(9a)section 153(1)(a)section 145avaluation of sharessection 65bsection 65section 153(1)icdsdumb documentssection 153b

Judgments citing CIT v. Indo Nippon Chemicals Co. Ltd.

Godrej Industries Ltd, Mumbai vs. DCIT RG 10(2), Mumbai

In the result, the appeal of assessee is partly allowed and the appeal of Revenue is dismissed

ITA 1858/MUM/2017[2011-12]Status: DisposedITAT Mumbai05 Jul 2019AY 2011-12

Bench: Sri Mahavir Singh, Jm & Sri Rajesh Kumar, Am Aayakr Apila Sam./ Ita No. 1823/Mum/2017 (Inaqa-Arna Baya- / Assessment Year 2011-12) The Dy. Commissioner Of M/S. Godrej Industries Ltd., Income Tax-14(1)(2), Phirojshanagar, Eastern Mumbai Vs. Express Highway, Vikhroli (East), Mumbai .. (Apilaaqai- / Appellant) (P`%Yaqaai-/ Respondent) स्थायीलेखा िं./Pan No.Aacg2953R Aayakr Apila Sam./ Ita No. 1858/Mum/2017 (Inaqa-Arna Baya- / Assessment Year 2011-12) Godrej Industries Ltd., The Dy. Commissioner Of C/O. Kalyaniwalla & Income Tax, Mistry Llp, Range-10(2), Vs. 2Nd Floor, Esplanade Now, The Asst. Commissioner House,29, Hazarimal Of Income Tax, Range-14(1)(2) Somani Marg,Fort,Mumbai Mumbai (Apilaaqai- / Appellant) .. (P`%Yaqaai-/ Respondent) अपीलाथीकीओर े/ Appellant By : Shri Rajendra Prasad, Dr प्रत्यथीकीओर े/ Respondent By : Shri F.V. Irani, Ar ुनवाईकीतारीख/ Date Of Hearing: 09.04.2019 घोषणाकीतारीख/ Date Of Pronouncement : 05.07.2019

For Appellant: Shri Rajendra Prasad, DRFor Respondent: Shri F.V. Irani, AR
Section 115Section 115JSection 14ASection 36(1)(iii)

…rein Hon’ble Bombay High court held as under: - “2 The issue pertains to inclusion of cenvat credit balance as part of the closing stock. We noticed that the Supreme Court in the case of Commissioner of Income Tax v/s Indo Nippon Chemicals Co Ltd reported in 261 ITR 275 confirmed the decision of the High Court in which the accounting practice consistently followed by the Assessee of excluding Modvat credit (which was prevailing at the relevant time and which was later on replaced by cenvat in the valuation of closing stock.) Following the judgment of the Supreme Court in the case of Indo Nippon Chemicals Co Ltd…

DCIT 14(1)(2), Mumbai vs. Godrej Industries Ltd, Mumbai

In the result, the appeal of assessee is partly allowed and the appeal of Revenue is dismissed

ITA 1823/MUM/2017[2011-12]Status: DisposedITAT Mumbai05 Jul 2019AY 2011-12

Bench: Sri Mahavir Singh, Jm & Sri Rajesh Kumar, Am Aayakr Apila Sam./ Ita No. 1823/Mum/2017 (Inaqa-Arna Baya- / Assessment Year 2011-12) The Dy. Commissioner Of M/S. Godrej Industries Ltd., Income Tax-14(1)(2), Phirojshanagar, Eastern Mumbai Vs. Express Highway, Vikhroli (East), Mumbai .. (Apilaaqai- / Appellant) (P`%Yaqaai-/ Respondent) स्थायीलेखा िं./Pan No.Aacg2953R Aayakr Apila Sam./ Ita No. 1858/Mum/2017 (Inaqa-Arna Baya- / Assessment Year 2011-12) Godrej Industries Ltd., The Dy. Commissioner Of C/O. Kalyaniwalla & Income Tax, Mistry Llp, Range-10(2), Vs. 2Nd Floor, Esplanade Now, The Asst. Commissioner House,29, Hazarimal Of Income Tax, Range-14(1)(2) Somani Marg,Fort,Mumbai Mumbai (Apilaaqai- / Appellant) .. (P`%Yaqaai-/ Respondent) अपीलाथीकीओर े/ Appellant By : Shri Rajendra Prasad, Dr प्रत्यथीकीओर े/ Respondent By : Shri F.V. Irani, Ar ुनवाईकीतारीख/ Date Of Hearing: 09.04.2019 घोषणाकीतारीख/ Date Of Pronouncement : 05.07.2019

For Appellant: Shri Rajendra Prasad, DRFor Respondent: Shri F.V. Irani, AR
Section 115Section 115JSection 14ASection 36(1)(iii)

…rein Hon’ble Bombay High court held as under: - “2 The issue pertains to inclusion of cenvat credit balance as part of the closing stock. We noticed that the Supreme Court in the case of Commissioner of Income Tax v/s Indo Nippon Chemicals Co Ltd reported in 261 ITR 275 confirmed the decision of the High Court in which the accounting practice consistently followed by the Assessee of excluding Modvat credit (which was prevailing at the relevant time and which was later on replaced by cenvat in the valuation of closing stock.) Following the judgment of the Supreme Court in the case of Indo Nippon Chemicals Co Ltd…

Mahindra & Mahindra Ltd, Mumbai vs. DCIT Cir 2(2), Mumbai

Appeal is partly allowed

ITA 7074/MUM/2011[2004-05]Status: DisposedITAT Mumbai01 Jul 2019AY 2004-05

Bench: Shri G.S.Pannu, Vice- & Shri Sandeep Gosain

For Appellant: Shri M.P.MahajaniFor Respondent: Shri T. Kipgen &
Section 143(3)Section 145Section 145ASection 2(14)Section 35Section 35DSection 36Section 4Section 43BSection 45

…Diamond Dye Chem Ltd. (supra) has already dealt with the issue whether addition on account of MODVAT credit is warranted or not. The Hon’ble High Court relying on the decision of the Hon’ble Supreme Court in the case of CIT vs. Indo Nippon Chemicals Co. Ltd., 261 ITR 275 held that the unutilised credit cannot be directly added to the income of the assessee. The relevant para of the said decision is reproduced hereunder:- “5. We have considered the submissions. It is not disputed that the assessee was liable to excise duty. The assessee got credit in the excise duty already paid on the raw materials purchased by…

Kansai Nerolac Paints Ltd, Mumbai vs. Addl CIT RG 6(2), Mumbai

ITA 7196/MUM/2013[2007-08]Status: DisposedITAT Mumbai15 May 2019AY 2007-08

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपीऱ सं./I.T.A. No.6789/Mum/2013 (नििाारण वर्ा / Assessment Year: 2007-08) बिाम/ Dcit Circle -6(2) M/S. Kansai Nerolac Paints Ltd., R.No. 563, Aayakar Bhavan, Nerolac House, K.G. Marg, M.K. Road, Churchgate, V. Lower Parel, Mumbai-400020 Mumbai-400013 स्थायी ऱेखा सं./ Pan :Aaacg1376N (अपीऱाथी /Appellant) (प्रत्यथी / Respondent) .. आयकर अपीऱ सं./I.T.A. No.7196/Mum/2013 (नििाारण वर्ा / Assessment Year: 2007-08) बिाम/ M/S. Kansai Nerolac Paints Addl. Cit Circle -6(2) Ltd., R.No. 669, Nerolac House, K.G. Marg, Aayakar Bhavan, V. Lower Parel, Mumbai 400013 M.K. Road, Mumbai- 400020 स्थायी ऱेखा सं./ Pan : Aaacg1376N (अपीऱाथी /Appellant) (प्रत्यथी / Respondent) ..

For Appellant: Ms. Aarti VissanjiFor Respondent: Shri. Rignesh K. Das (DR)
Section 143(3)Section 144C(3)Section 145ASection 14A

…Cenvat in opening and closing stock disregarding the actual values mentioned in Tax Audit Report. c. The learned Commissioner of Income-tax (Appeals) has erred in not following the decision of Supreme Court in the case of CIT Vs. Indo Nippon Chemical Co. Ltd (261 ITR 275) and decision of I.T.A.T. Mumbai in the case of Hawkins Cookers Ltd V. ITO (14 DTR 206). 5. a. The learned Commissioner of Income-tax (Appeals) erred in upholding action of the Assessing Officer of making adjustment/addition of Rs.53,16,420/- on account of notional guarantee fee for counter guarantee given by the appellant to an Associated Concer…

DCIT 6(2), Mumbai vs. Kansai Nerolac Paints Ltd, Mumbai

ITA 6789/MUM/2013[2007-08]Status: DisposedITAT Mumbai15 May 2019AY 2007-08

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपीऱ सं./I.T.A. No.6789/Mum/2013 (नििाारण वर्ा / Assessment Year: 2007-08) बिाम/ Dcit Circle -6(2) M/S. Kansai Nerolac Paints Ltd., R.No. 563, Aayakar Bhavan, Nerolac House, K.G. Marg, M.K. Road, Churchgate, V. Lower Parel, Mumbai-400020 Mumbai-400013 स्थायी ऱेखा सं./ Pan :Aaacg1376N (अपीऱाथी /Appellant) (प्रत्यथी / Respondent) .. आयकर अपीऱ सं./I.T.A. No.7196/Mum/2013 (नििाारण वर्ा / Assessment Year: 2007-08) बिाम/ M/S. Kansai Nerolac Paints Addl. Cit Circle -6(2) Ltd., R.No. 669, Nerolac House, K.G. Marg, Aayakar Bhavan, V. Lower Parel, Mumbai 400013 M.K. Road, Mumbai- 400020 स्थायी ऱेखा सं./ Pan : Aaacg1376N (अपीऱाथी /Appellant) (प्रत्यथी / Respondent) ..

For Appellant: Ms. Aarti VissanjiFor Respondent: Shri. Rignesh K. Das (DR)
Section 143(3)Section 144C(3)Section 145ASection 14A

…Cenvat in opening and closing stock disregarding the actual values mentioned in Tax Audit Report. c. The learned Commissioner of Income-tax (Appeals) has erred in not following the decision of Supreme Court in the case of CIT Vs. Indo Nippon Chemical Co. Ltd (261 ITR 275) and decision of I.T.A.T. Mumbai in the case of Hawkins Cookers Ltd V. ITO (14 DTR 206). 5. a. The learned Commissioner of Income-tax (Appeals) erred in upholding action of the Assessing Officer of making adjustment/addition of Rs.53,16,420/- on account of notional guarantee fee for counter guarantee given by the appellant to an Associated Concer…

M/S. Fag Bearings India Ltd., Baroda vs. The ACIT, Circle-1(2), Baroda

ITA 799/AHD/2016[2008-09]Status: DisposedITAT Ahmedabad30 Apr 2019AY 2008-09

Bench: Shri Waseem Ahmed & Ms Madhumita Roy1. आयकर अपील सं./Ita No.4565/Ahd/2007 – Ay 2004-05 2. आयकर अपील सं./Ita No.1529/Ahd/2009 – Ay 2005-06 3. आयकर अपील सं./Ita No.1256/Ahd/2012 – Ay 2007-08 4. आयकर अपील सं./It(Tp)A No.1941/Ahd/2012 – Ay 2008-09 5. आयकर अपील सं./It(Tp)A No.551/Ahd/2016 – Ay 2009-10

For Appellant: Shri Milin Mehta, A.R
Section 36Section 36(1)(iv)Section 40A(2)(b)Section 40A(9)Section 92C

…145A of the Act require following the inclusive method of accounting. Consequently, the stock should be inclusive of the CENVAT Credit. But this will be tax neutral exercise as held by the Hon’ble Apex court in the case of Nippon Oxo chemical Ltd reported in 261 ITR 275 that under both the method same profit is determined and accordingly a tax neutral method. ITA No.4565/Ahd/2007 and 4 Other appeals(By Revenue) & 80/Ahd/2008 and 7 Other appeals (By Assessee ) Asstt. Yeasr 2004-05, 05-06, 06-07, 07-08, 08-09, 09-10 76 74.3 The assessee further submitted that it has paid the amount of duty before the due date of…

The ACIT, Circle-5, Ahmedabad vs. M/S. Nabros Pharma Ltd., Ahmedabad

ITA 788/AHD/2016[2008-09]Status: DisposedITAT Ahmedabad30 Apr 2019AY 2008-09

Bench: Shri Waseem Ahmed & Ms Madhumita Roy1. आयकर अपील सं./Ita No.4565/Ahd/2007 – Ay 2004-05 2. आयकर अपील सं./Ita No.1529/Ahd/2009 – Ay 2005-06 3. आयकर अपील सं./Ita No.1256/Ahd/2012 – Ay 2007-08 4. आयकर अपील सं./It(Tp)A No.1941/Ahd/2012 – Ay 2008-09 5. आयकर अपील सं./It(Tp)A No.551/Ahd/2016 – Ay 2009-10

For Appellant: Shri Milin Mehta, A.R
Section 36Section 36(1)(iv)Section 40A(2)(b)Section 40A(9)Section 92C

…145A of the Act require following the inclusive method of accounting. Consequently, the stock should be inclusive of the CENVAT Credit. But this will be tax neutral exercise as held by the Hon’ble Apex court in the case of Nippon Oxo chemical Ltd reported in 261 ITR 275 that under both the method same profit is determined and accordingly a tax neutral method. ITA No.4565/Ahd/2007 and 4 Other appeals(By Revenue) & 80/Ahd/2008 and 7 Other appeals (By Assessee ) Asstt. Yeasr 2004-05, 05-06, 06-07, 07-08, 08-09, 09-10 76 74.3 The assessee further submitted that it has paid the amount of duty before the due date of…

The ACIT, Circle-1(2), Baroda vs. M/S. Fag Bearings India Ltd., Vadodara

ITA 551/AHD/2016[2009-10]Status: DisposedITAT Ahmedabad30 Apr 2019AY 2009-10

Bench: Shri Waseem Ahmed & Ms Madhumita Roy1. आयकर अपील सं./Ita No.4565/Ahd/2007 – Ay 2004-05 2. आयकर अपील सं./Ita No.1529/Ahd/2009 – Ay 2005-06 3. आयकर अपील सं./Ita No.1256/Ahd/2012 – Ay 2007-08 4. आयकर अपील सं./It(Tp)A No.1941/Ahd/2012 – Ay 2008-09 5. आयकर अपील सं./It(Tp)A No.551/Ahd/2016 – Ay 2009-10

For Appellant: Shri Milin Mehta, A.R
Section 36Section 36(1)(iv)Section 40A(2)(b)Section 40A(9)Section 92C

…145A of the Act require following the inclusive method of accounting. Consequently, the stock should be inclusive of the CENVAT Credit. But this will be tax neutral exercise as held by the Hon’ble Apex court in the case of Nippon Oxo chemical Ltd reported in 261 ITR 275 that under both the method same profit is determined and accordingly a tax neutral method. ITA No.4565/Ahd/2007 and 4 Other appeals(By Revenue) & 80/Ahd/2008 and 7 Other appeals (By Assessee ) Asstt. Yeasr 2004-05, 05-06, 06-07, 07-08, 08-09, 09-10 76 74.3 The assessee further submitted that it has paid the amount of duty before the due date of…

M/S. Fag Bearings India Ltd., Baroda vs. The ACIT., Circle-1(2), (Tpo), Baroda

ITA 2061/AHD/2012[2008-09]Status: DisposedITAT Ahmedabad30 Apr 2019AY 2008-09

Bench: Shri Waseem Ahmed & Ms Madhumita Roy1. आयकर अपील सं./Ita No.4565/Ahd/2007 – Ay 2004-05 2. आयकर अपील सं./Ita No.1529/Ahd/2009 – Ay 2005-06 3. आयकर अपील सं./Ita No.1256/Ahd/2012 – Ay 2007-08 4. आयकर अपील सं./It(Tp)A No.1941/Ahd/2012 – Ay 2008-09 5. आयकर अपील सं./It(Tp)A No.551/Ahd/2016 – Ay 2009-10

For Appellant: Shri Milin Mehta, A.R
Section 36Section 36(1)(iv)Section 40A(2)(b)Section 40A(9)Section 92C

…145A of the Act require following the inclusive method of accounting. Consequently, the stock should be inclusive of the CENVAT Credit. But this will be tax neutral exercise as held by the Hon’ble Apex court in the case of Nippon Oxo chemical Ltd reported in 261 ITR 275 that under both the method same profit is determined and accordingly a tax neutral method. ITA No.4565/Ahd/2007 and 4 Other appeals(By Revenue) & 80/Ahd/2008 and 7 Other appeals (By Assessee ) Asstt. Yeasr 2004-05, 05-06, 06-07, 07-08, 08-09, 09-10 76 74.3 The assessee further submitted that it has paid the amount of duty before the due date of…

M/S. Fag Bearings India Ltd., Baroda vs. The Dy.CIT., Circle-1(2), Baroda

ITA 1197/AHD/2012[2007-08]Status: DisposedITAT Ahmedabad30 Apr 2019AY 2007-08

Bench: Shri Waseem Ahmed & Ms Madhumita Roy1. आयकर अपील सं./Ita No.4565/Ahd/2007 – Ay 2004-05 2. आयकर अपील सं./Ita No.1529/Ahd/2009 – Ay 2005-06 3. आयकर अपील सं./Ita No.1256/Ahd/2012 – Ay 2007-08 4. आयकर अपील सं./It(Tp)A No.1941/Ahd/2012 – Ay 2008-09 5. आयकर अपील सं./It(Tp)A No.551/Ahd/2016 – Ay 2009-10

For Appellant: Shri Milin Mehta, A.R
Section 36Section 36(1)(iv)Section 40A(2)(b)Section 40A(9)Section 92C

…145A of the Act require following the inclusive method of accounting. Consequently, the stock should be inclusive of the CENVAT Credit. But this will be tax neutral exercise as held by the Hon’ble Apex court in the case of Nippon Oxo chemical Ltd reported in 261 ITR 275 that under both the method same profit is determined and accordingly a tax neutral method. ITA No.4565/Ahd/2007 and 4 Other appeals(By Revenue) & 80/Ahd/2008 and 7 Other appeals (By Assessee ) Asstt. Yeasr 2004-05, 05-06, 06-07, 07-08, 08-09, 09-10 76 74.3 The assessee further submitted that it has paid the amount of duty before the due date of…

M/S. Fag Bearings India Ltd., Baroda vs. The CIT-I, Baroda

ITA 1453/AHD/2011[2005-06]Status: DisposedITAT Ahmedabad30 Apr 2019AY 2005-06

Bench: Shri Waseem Ahmed & Ms Madhumita Roy1. आयकर अपील सं./Ita No.4565/Ahd/2007 – Ay 2004-05 2. आयकर अपील सं./Ita No.1529/Ahd/2009 – Ay 2005-06 3. आयकर अपील सं./Ita No.1256/Ahd/2012 – Ay 2007-08 4. आयकर अपील सं./It(Tp)A No.1941/Ahd/2012 – Ay 2008-09 5. आयकर अपील सं./It(Tp)A No.551/Ahd/2016 – Ay 2009-10

For Appellant: Shri Milin Mehta, A.R
Section 36Section 36(1)(iv)Section 40A(2)(b)Section 40A(9)Section 92C

…145A of the Act require following the inclusive method of accounting. Consequently, the stock should be inclusive of the CENVAT Credit. But this will be tax neutral exercise as held by the Hon’ble Apex court in the case of Nippon Oxo chemical Ltd reported in 261 ITR 275 that under both the method same profit is determined and accordingly a tax neutral method. ITA No.4565/Ahd/2007 and 4 Other appeals(By Revenue) & 80/Ahd/2008 and 7 Other appeals (By Assessee ) Asstt. Yeasr 2004-05, 05-06, 06-07, 07-08, 08-09, 09-10 76 74.3 The assessee further submitted that it has paid the amount of duty before the due date of…

The DCIT, Circle-7(2), Ahmedabad vs. Shri Udaykumar C. Patel, Ahmedabad

In the result, revenue’s appeal is dismissed

ITA 1171/AHD/2017[2014-15]Status: DisposedITAT Ahmedabad04 Mar 2019AY 2014-15

Bench: Shri Amarjit Singh & Ms. Madhumita Roydcit, Vs. Udaykumar C. Patel, Circle – 7(2), Prop. Line O Matic Graphic Ahmedabad. Industries, D/62 Diamond Park, Gidc, Estate, Opp. Toyota Show Room, Naroda, Ahmedabad – 382 330. [Pan No. Aatpp 8316 R] (Appellant) .. (Respondent)

For Appellant: Shri S. K. Dev, Sr. D.RFor Respondent: Shri A. C. Shah, A.R
Section 143(1)Section 143(2)Section 145ASection 44A

…ed are exclusive of excise duty, then the question of including the same in the closing stock account does not arise since the assessee has not incurred any expenditure by debiting to P&L account. Ld.AR has cited the case of CIT vs. Indo Nippon Chemicals Ltd. 261 ITR 275 (SC). However, we have noted that the issue before the Hon'ble Supreme Court was slightly different than the issue in hand because in that case the AO had adopted different methods of valuation of excise duty paid when raw-material was purchased and at the time valuing the unconsumed raw-material in the hands of the assessee at the end of the yea…

The ACIT, Circle 7(2), Ahmedabad vs. M/S. Lubi Electronics, Ahmedabad

In the result, Revenue’s appeal stands dismissed

ITA 2197/AHD/2016[2008-09]Status: DisposedITAT Ahmedabad18 Feb 2019AY 2008-09

Bench: Shri Waseem Ahmed & Ms. Madhumita Royआयकर अपील सं./Ita No.2197/Ahd/2016 ("नधा"रण वष"/Assessment Year : 2008-09)

For Respondent: Shri Vinod Tanwani, Sr.DR
Section 145A

…IN THE INCOME TAX APPELLATE TRIBUNAL “ D ” BENCH, AHMEDABAD BEFORE SHRI WASEEM AHMED, ACCOUNTANT MEMBER And MS. MADHUMITA ROY, JUDICIAL MEMBER आयकर अपील सं./ITA No.2197/Ahd/2016 ("नधा"रण वष"/Assessment Year : 2008-09) The ACIT M/s. Lubi Electronics बनाम/ Circle7(2) Nr. Kalyan Mill Vs. Ahmedabad Naroda Road Ahmedabad-380 025 "थायी लेखा सं./जीआइआर सं./PAN/GIR No. : AABFL 4708 P .. (अपीलाथ"/Appellant) (""यथ" / Respondent) Ms. Urvashi Shodhan, AR अपीलाथ" ओर से/ Appellant by : ""यथ" क" ओर से/Respondent by: Shri Vinod Tanwani, Sr.DR 30/01/2019 सुनवाई क" तार"ख/ Date of Hearing घोषणा क" तार"ख /Date of Pronounceme…

The DCIT, Circle-1(1)(1), Ahmedabad vs. M/S. Amtech Electronics (India) Ltd., Gandhinagar

In the result, all three appeals filed by the Revenue are dismissed

ITA 629/AHD/2015[2010-11]Status: DisposedITAT Ahmedabad15 Oct 2018AY 2010-11

Bench: Shri Pramod Kumar & Shri Mahavir Prasad)

For Appellant: Shri S. K. Dev, Sr. D.RFor Respondent: Shri T. P. Hemani & P.B. Parmar,AR
Section 145A

…IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD “A” BENCH (BEFORE SHRI PRAMOD KUMAR, ACCOUNTANT MEMBER & SHRI MAHAVIR PRASAD, JUDICIAL MEMBER) ITA. No: 629 & 1124/AHD/2015 & Dy. CIT, Circle-1(1)(1), V/S M/s Amtech Electronics Ahmedabad (India) Ltd. E-6, GIDC Electronics Zone, Gandhinagar-382028 (Appellant) (Respondent) PAN: AABCA 2793A Appellant by : Shri S. K. Dev, Sr. D.R. Respondent by : Shri T. P. Hemani & P.B. Parmar,AR (आदेश)/ORDER Date of hearing : 19 -07-2018 Date of Pronouncement : 15-10-2018 PER MAHAVIR PRASAD, JUDICIAL MEMBER 1. These three appeals have been preferred by the Department ag…

Bisazza India Pvt. Ltd., Kadi vs. The Pr. CIT- 1, Ahmedabad

In the result, the appeal is allowed

ITA 1480/AHD/2015[2009-10]Status: DisposedITAT Ahmedabad15 Oct 2018AY 2009-10
Section 143(3)Section 145ASection 263Section 263(1)

…able to the assessee in terms of provisions of Central Excise Act is not liable to be taxed. Before the ld. Pr. CIT a reliance was placed on the judgement(s) of the Hon’ble Supreme Court in the case of CIT vs. Indo Nippon Chemicals Co. Ltd. reported at (2003) 261 ITR 275(SC) and of CIT vs. Shri Ram Honda Power Equipment Ltd. reported at (2013) 258 CTR 329(SC). The reliance was also placed on the judgment of Hon’ble Gujarat High Court in the case of CIT vs. Unique Industries reported at (2008) 307 ITR 350 (Guj) and also the decision of the Coordinate Bench of this Tribunal in the case of Bemco Sleepers Ltd. Aurang…

The DCIT, Circle-1, Ahmedabad vs. M/S. Amtech Electronics (India) Ltd., Gandhinagar

In the result, all three appeals filed by the Revenue are dismissed

ITA 1124/AHD/2015[2011-12]Status: DisposedITAT Ahmedabad15 Oct 2018AY 2011-12

Bench: Shri Pramod Kumar & Shri Mahavir Prasad)

For Appellant: Shri S. K. Dev, Sr. D.RFor Respondent: Shri T. P. Hemani & P.B. Parmar,AR
Section 145A

…IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD “A” BENCH (BEFORE SHRI PRAMOD KUMAR, ACCOUNTANT MEMBER & SHRI MAHAVIR PRASAD, JUDICIAL MEMBER) ITA. No: 629 & 1124/AHD/2015 & Dy. CIT, Circle-1(1)(1), V/S M/s Amtech Electronics Ahmedabad (India) Ltd. E-6, GIDC Electronics Zone, Gandhinagar-382028 (Appellant) (Respondent) PAN: AABCA 2793A Appellant by : Shri S. K. Dev, Sr. D.R. Respondent by : Shri T. P. Hemani & P.B. Parmar,AR (आदेश)/ORDER Date of hearing : 19 -07-2018 Date of Pronouncement : 15-10-2018 PER MAHAVIR PRASAD, JUDICIAL MEMBER 1. These three appeals have been preferred by the Department ag…

Essel Propack Ltd, Mumbai vs. Asst CIT RG 6(2)(2), Mumbai

In the result, the appeal is allowed

ITA 1397/MUM/2017[2007-08]Status: DisposedITAT Mumbai28 Sept 2018AY 2007-08

Bench: Shri Mahavir Singh () & Shri N.K. Pradhan () Assessment Year: 2007-08 Essel Propack Ltd. Top Asst. Commissioner Of Floor, Times Tower, Vs. Income Tax, Range- Kamala City, Senapati 6(2)(2), Bapat Marg, Lower Parel, Aayakarbhavan Mumbai-400013. Mumbai-400020. Pan No. Aaace1568L Appellant Respondent Assessee By : Mr. Niraj Sheth, Ar Revenue By : Mr. D.W. Pansari, Dr Date Of Hearing : 25/09/2018 Date Of Pronouncement : 28/09/2018

For Appellant: Mr. Niraj Sheth, ARFor Respondent: Mr. D.W. Pansari, DR
Section 143(3)Section 145ASection 14A

…Cenvat credit. Had once that included in the purchases ultimately there is no effect on the profit and understatement of the profit would not arise. Similar view has been taken by the Hon'ble Supreme Court in the case of CIT vs. Indo Nippon Chemicals Co. Ltd. 261 ITR 275. Similar view was also taken by the Hon'ble Calcutta High Court in the case of CIT vs. Berger Paints India Ltd. 264 ITR 503. The Hon'ble Bombay High Court in the case of CIT vs. Mahalaxmi Glass Works (P) Ltd. 318 ITR 116 following the Hon'ble Delhi High Court decision in the case of Mahavir Alluminimum Limited 297 ITR 77 held that to give effect…

The DCIT, Circle-8, Ahmedabad vs. Symphony Comforts System Ltd., Ahmedabad

In the result, ITA Nol. 1817/Ahd/2014 is allowed and ITA No

ITA 1896/AHD/2014[2009-10]Status: DisposedITAT Ahmedabad29 Aug 2018AY 2009-10

Bench: Shri Pradip Kumar Kedia & Shri Mahavir Prasad)

For Appellant: Shri Mudit Nagpal, Sr.D.RFor Respondent: Shri Bharat S. Shah, A.R
Section 10Section 143Section 14ASection 32Section 72

…losing stock consequently valued excluding the CENVAT/VAT receivable. This system is consistently adopted by the appellant on the basis of recognition of such treatment by the ICAI. 13. Hon’ble Supreme Court has held in the case of Indo Nippon Chemicals Ltd. 261 ITR 275 that MODVAT credit was an irreversible credit available to manufacturers and would not amount to income which was liable to be taxed under the Act. Therefore, the MODVAT / CENVAT credit balance available with the assessee is neither income nor any incentive or subsidy which can be considered as income of the appellant. Therefore, we dismiss this…

De La Rue Cash Processing Solution Pvt. Ltd., Gurgaon vs. ACIT, Gurgaon

ITA 2671/DEL/2013[2008-09]Status: DisposedITAT Delhi03 Jul 2018AY 2008-09

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

Section 145A

…mits that the addition made by the Ld. AO to the closing stock of the Company on account of CVD and Service Tax credit u/s 145A of the Act amounting to Rs.23,806,391/- is unwarranted and merits to be deleted. " CIT(A) Vs. Indo Nippon Chemicals Co. Ltd [2003] 130 Taxmann 179 (S.C) " Aditya Birla Nuvo Ltd. Vs. ACIT, [2015] 56 taxmann.com 168 (Mumbai Tribunal) " CIT V. Avery Cycle Inds Ltd. [2015] 56 taxman.. com 459 (Punjab & Haryana H.C) " Westd Coast Paper Mills Ltd. Vs. ACIT [2014] 52 taxmann. Com 268 (Mumbai Tribunal) 16. Without prejudice to the above submissions, the Ld. AR submitted that the provisions of…

De La Rue Cash Systems India P, Ltd(Presently Known As - De La Rue Cash Processing Solutins P.Ltd, Gurgaon vs. ITO 1(1)(2), Mumbai

ITA 5017/MUM/2012[2007-08]Status: DisposedITAT Delhi03 Jul 2018AY 2007-08

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

Section 145A

…mits that the addition made by the Ld. AO to the closing stock of the Company on account of CVD and Service Tax credit u/s 145A of the Act amounting to Rs.23,806,391/- is unwarranted and merits to be deleted. " CIT(A) Vs. Indo Nippon Chemicals Co. Ltd [2003] 130 Taxmann 179 (S.C) " Aditya Birla Nuvo Ltd. Vs. ACIT, [2015] 56 taxmann.com 168 (Mumbai Tribunal) " CIT V. Avery Cycle Inds Ltd. [2015] 56 taxman.. com 459 (Punjab & Haryana H.C) " Westd Coast Paper Mills Ltd. Vs. ACIT [2014] 52 taxmann. Com 268 (Mumbai Tribunal) 16. Without prejudice to the above submissions, the Ld. AR submitted that the provisions of…