CIT v. Noble and Hewitt (I) P. Ltd.

305 ITR 324High Court2008#990 most cited

What is CIT v. Noble and Hewitt (I) P. Ltd. authority for?

Section 43B of the Income-tax Act does not apply to disallow an amount (such as statutory dues like service tax or GST) if it has not been debited to the Profit & Loss account and no deduction for it has been claimed by the assessee.

109

judgments rely on this decision, according to BharatTax’s citation analysis of 366,470 Indian tax judgments — from 2015 to 2025.

Also referred to as

CIT v. Noble and Hewitt · 305 ITR 324 · Section 43B · disallowance of statutory dues · no deduction claimed · not debited to P&L account · service tax · GST · current liability · Delhi High Court

Also reported as

166 Taxmann 48

Sections most often in play

Section 43BSection 250Section 139(1)Section 143(1)Section 143(2)Section 143(3)Section 194ASection 201(1)
Read the full judgment

Issues it is cited on

statutory duessection 145asection 43bmercantile system of accountingsection 43section 36(1)(iii)section 36(1)(va)section 145section 36(1)section 36section 28section 234b

Judgments citing CIT v. Noble and Hewitt (I) P. Ltd.

Inayat Peermohammad Shaikh, Mumbai vs. ITO 19(3)(2), Mumbai

In the result, both appeals of the assessee are allowed

ITA 4104/MUM/2015[2011-12]Status: DisposedITAT Mumbai31 Mar 2016AY 2011-12

Bench: Shri R.C.Sharma, Am & Shri Amarjit Singh, Jm आमकय अऩीर सं./Ita No.4104/Mum/2015 (नििाारण वषा / Assessment Year :2011-12) Mr. Inayatullah Peer Mohammad Vs. Ito-19(3)(2), Shaikh, C/O Mohan Sriharsha & Mumbai Associates, Chartered Accountants, 302 B Wing, Mangalya, Off Marol Maroshi Road, Near Marol Fire Brigade, Andheri (East), Mumbai- 400059 स्थामी रेखा सं./ जीआइआय सं./ Pan/Gir No. : Aleps 9159 H (अऩीराथी /Appellant) (प्रत्मथी / Respondent) .. & आमकय अऩीर सं./Ita No.2276/Mum/2014 (नििाारण वषा / Assessment Year :2009-10) Mr. Inayat Peermohammad Shaikh, Vs. Ito-19(3)(2), C/O Mohan Sriharsha & Associates, Mumbai Chartered Accountants, 302 B Wing, Mangalya, Off Marol Maroshi Road, Near Marol Fire Brigade, Andheri (East), Mumbai-400059 स्थामी रेखा सं./ जीआइआय सं./ Pan/Gir No. : Aleps 9159 H (अऩीराथी /Appellant) (प्रत्मथी / Respondent) .. ननधाारयती की ओर से /Assessee By : Shri Nishit Gandhi याजस्व की ओर से /Revenue By Shri Santosh Mankoskar : सुनवाई की तायीख / Date Of Hearing : 01/02/2016 घोषणा की तायीख/Date Of Pronouncement : 31/03/2016 आदेश / O R D E R Per R.C.Sharma (A.M.) : These Are The Appeals Filed By The Assessee Against The Order Of Cit(A), Mumbai, For The Assessment Years 2011-12 & 2009-10, In The Matter Of Order Passed U/S.143(3) Of The I.T. Act.

For Appellant: Shri Nishit Gandhi
Section 143(3)Section 43B

…and loss account nor did the assessee claimed any deduction in respect of VAT and Service Tax amount while computing his taxable income, the issue is squarely covered by the decision of Hon’ble Delhi High Court in the case of Noble & Hewitt (India) (P) Ltd., 305 ITR 324. The Mumbai bench of the Tribunal in the case of Pharma Search, 82 DTR 303 also held that provisions of Section 43B cannot be invoked unless the assessee has claimed by way deduction the amounts specified u/s.43B without 3 & ITA No2276/2014 making actual payment. Respectfully following the decision of Hon’ble Delhi High Court as well as decision…

Inayat Peermohammad Shaikh, Mumbai vs. ITO 19(3)(2), Mumbai

In the result, both appeals of the assessee are allowed

ITA 2276/MUM/2014[2009-10]Status: DisposedITAT Mumbai31 Mar 2016AY 2009-10

Bench: Shri R.C.Sharma, Am & Shri Amarjit Singh, Jm आमकय अऩीर सं./Ita No.4104/Mum/2015 (नििाारण वषा / Assessment Year :2011-12) Mr. Inayatullah Peer Mohammad Vs. Ito-19(3)(2), Shaikh, C/O Mohan Sriharsha & Mumbai Associates, Chartered Accountants, 302 B Wing, Mangalya, Off Marol Maroshi Road, Near Marol Fire Brigade, Andheri (East), Mumbai- 400059 स्थामी रेखा सं./ जीआइआय सं./ Pan/Gir No. : Aleps 9159 H (अऩीराथी /Appellant) (प्रत्मथी / Respondent) .. & आमकय अऩीर सं./Ita No.2276/Mum/2014 (नििाारण वषा / Assessment Year :2009-10) Mr. Inayat Peermohammad Shaikh, Vs. Ito-19(3)(2), C/O Mohan Sriharsha & Associates, Mumbai Chartered Accountants, 302 B Wing, Mangalya, Off Marol Maroshi Road, Near Marol Fire Brigade, Andheri (East), Mumbai-400059 स्थामी रेखा सं./ जीआइआय सं./ Pan/Gir No. : Aleps 9159 H (अऩीराथी /Appellant) (प्रत्मथी / Respondent) .. ननधाारयती की ओर से /Assessee By : Shri Nishit Gandhi याजस्व की ओर से /Revenue By Shri Santosh Mankoskar : सुनवाई की तायीख / Date Of Hearing : 01/02/2016 घोषणा की तायीख/Date Of Pronouncement : 31/03/2016 आदेश / O R D E R Per R.C.Sharma (A.M.) : These Are The Appeals Filed By The Assessee Against The Order Of Cit(A), Mumbai, For The Assessment Years 2011-12 & 2009-10, In The Matter Of Order Passed U/S.143(3) Of The I.T. Act.

For Appellant: Shri Nishit Gandhi
Section 143(3)Section 43B

…and loss account nor did the assessee claimed any deduction in respect of VAT and Service Tax amount while computing his taxable income, the issue is squarely covered by the decision of Hon’ble Delhi High Court in the case of Noble & Hewitt (India) (P) Ltd., 305 ITR 324. The Mumbai bench of the Tribunal in the case of Pharma Search, 82 DTR 303 also held that provisions of Section 43B cannot be invoked unless the assessee has claimed by way deduction the amounts specified u/s.43B without 3 & ITA No2276/2014 making actual payment. Respectfully following the decision of Hon’ble Delhi High Court as well as decision…

ACIT, Chennai vs. V.S.L.India Private Limited, Chennai

In the result, the appeal of the Department in ITA

ITA 1703/CHNY/2013[2008-09]Status: DisposedITAT Chennai01 Feb 2016AY 2008-09

Bench: Shri Chandra Poojari & Shri G. Pavan Kumar

For Appellant: Shri. V. Vivekanandan, CIT. DRFor Respondent: Shri. R. Vijayaraghavan, Advocate
Section 143(1)Section 143(2)Section 143(3)Section 195Section 40

…the assessee company payments were not routed through profit and loss account but dealt Via Balance sheet. Therefore no allowance or deductions was claimed in the computation of income and relied on the decision in the case of Noble and Hewitt India P. Ltd 305 ITR 324 and disallowance U/Sec.43B consist of service tax, R & D cess and Sales tax payments and observed in his order at page No.11 on each disallowance as under:- ‘’Sec 68 of Finance Act read with Rule 6 of the Service tax rules stipulate that Service provider has to make payment only on the basis of receipt of consideration. Thus service tax liabil…

ACIT, Chennai vs. V.S.L.India Private Limited, Chennai

In the result, the appeal of the Department in ITA

ITA 1702/CHNY/2013[2007-08]Status: DisposedITAT Chennai01 Feb 2016AY 2007-08

Bench: Shri Chandra Poojari & Shri G. Pavan Kumar

For Appellant: Shri. V. Vivekanandan, CIT. DRFor Respondent: Shri. R. Vijayaraghavan, Advocate
Section 143(1)Section 143(2)Section 143(3)Section 195Section 40

…the assessee company payments were not routed through profit and loss account but dealt Via Balance sheet. Therefore no allowance or deductions was claimed in the computation of income and relied on the decision in the case of Noble and Hewitt India P. Ltd 305 ITR 324 and disallowance U/Sec.43B consist of service tax, R & D cess and Sales tax payments and observed in his order at page No.11 on each disallowance as under:- ‘’Sec 68 of Finance Act read with Rule 6 of the Service tax rules stipulate that Service provider has to make payment only on the basis of receipt of consideration. Thus service tax liabil…

ACIT, Chennai vs. V.S.L.India Private Limited, Chennai

In the result, the appeal of the Department in ITA

ITA 1701/CHNY/2013[2006-07]Status: DisposedITAT Chennai01 Feb 2016AY 2006-07

Bench: Shri Chandra Poojari & Shri G. Pavan Kumar

For Appellant: Shri. V. Vivekanandan, CIT. DRFor Respondent: Shri. R. Vijayaraghavan, Advocate
Section 143(1)Section 143(2)Section 143(3)Section 195Section 40

…the assessee company payments were not routed through profit and loss account but dealt Via Balance sheet. Therefore no allowance or deductions was claimed in the computation of income and relied on the decision in the case of Noble and Hewitt India P. Ltd 305 ITR 324 and disallowance U/Sec.43B consist of service tax, R & D cess and Sales tax payments and observed in his order at page No.11 on each disallowance as under:- ‘’Sec 68 of Finance Act read with Rule 6 of the Service tax rules stipulate that Service provider has to make payment only on the basis of receipt of consideration. Thus service tax liabil…

Alstom India Ltd, Mumbai vs. Addl CIT RG 1(1), Mumbai

In the result: ITA No.5335/Mum/2014 is dismissed

ITA 5487/MUM/2014[2007-08]Status: DisposedITAT Mumbai28 Oct 2015AY 2007-08

Bench: Sh. A.D. Jain & Sh. Rajendraassessment Year: 2007-08 Pan : Aabca8679F Dy. Commr. Of Income-Tax, Vs. M/S. Alstom Projects India Ltd., The International, 5Th Floor, Circle 1(1), Mumbai. 16, Marine Lines Cross Road No.1, Off Maharshi Karve Road, Mumbai-400020. (Appellant) (Respondent) Assessment Year: 2007-08 Pan : Aabca8679F M/S. Alstom India Ltd. Vs. Addl. Commr. Of Income Tax, (Earlier Known As Alstom Projects Range 1(1), India Limited), Mumbai. Mumbai (Appellant) (Respondent) Assessment Year: 2009-10 Pan : Aabca8679F Dy. Commr. Of Income-Tax, Vs. M/S. Alstom India Ltd., Circle 1(1), (Formerly Kown As Alstom Projects Sindia Ltd.,)The International, 5Th Mumbai. Floor, 16, Marine Lines Cross Road No.1, Off Maharshi Karve Road, Mumbai-400020. (Appellant) (Respondent) Asstt. Years 2007-08 & 2009-10 Assessment Year: 2009-10 Pan : Aabca8679F

For Appellant: S/Sh. Sunil M. Lala & Dharan GandhiFor Respondent: Sh. N.K. Chand, CIT(DR)

…IT(A) erred in not considering the submission that since the amount would not be debited to the profit & loss account & not allowed as a deduction, it could not be disallowed u/s 43B of the Act. Reliance has been placed on “CIT vs. Noble & Hewitt Pvt. Ltd.”, 305 ITR 324 (Del), as followed i.e. in “CIT vs. Calibre Personnel Services Pvt. Ltd.”, ITAs 158 and 160 of 2013 by the Hon’ble Bombay High Court, vide order dated 02.02.2015 (copy filed). The Ld. counsel for the assessee further contended that this stand of assessee has been accepted by Ld. DRP in its order for the assessment year 2009-10. 15. It has been…

DCIT 1(1), Mumbai vs. Alstom Projects India Ltd, Mumbai

In the result: ITA No.5335/Mum/2014 is dismissed

ITA 5335/MUM/2014[2007-08]Status: DisposedITAT Mumbai28 Oct 2015AY 2007-08

Bench: Sh. A.D. Jain & Sh. Rajendraassessment Year: 2007-08 Pan : Aabca8679F Dy. Commr. Of Income-Tax, Vs. M/S. Alstom Projects India Ltd., The International, 5Th Floor, Circle 1(1), Mumbai. 16, Marine Lines Cross Road No.1, Off Maharshi Karve Road, Mumbai-400020. (Appellant) (Respondent) Assessment Year: 2007-08 Pan : Aabca8679F M/S. Alstom India Ltd. Vs. Addl. Commr. Of Income Tax, (Earlier Known As Alstom Projects Range 1(1), India Limited), Mumbai. Mumbai (Appellant) (Respondent) Assessment Year: 2009-10 Pan : Aabca8679F Dy. Commr. Of Income-Tax, Vs. M/S. Alstom India Ltd., Circle 1(1), (Formerly Kown As Alstom Projects Sindia Ltd.,)The International, 5Th Mumbai. Floor, 16, Marine Lines Cross Road No.1, Off Maharshi Karve Road, Mumbai-400020. (Appellant) (Respondent) Asstt. Years 2007-08 & 2009-10 Assessment Year: 2009-10 Pan : Aabca8679F

For Appellant: S/Sh. Sunil M. Lala & Dharan GandhiFor Respondent: Sh. N.K. Chand, CIT(DR)

…IT(A) erred in not considering the submission that since the amount would not be debited to the profit & loss account & not allowed as a deduction, it could not be disallowed u/s 43B of the Act. Reliance has been placed on “CIT vs. Noble & Hewitt Pvt. Ltd.”, 305 ITR 324 (Del), as followed i.e. in “CIT vs. Calibre Personnel Services Pvt. Ltd.”, ITAs 158 and 160 of 2013 by the Hon’ble Bombay High Court, vide order dated 02.02.2015 (copy filed). The Ld. counsel for the assessee further contended that this stand of assessee has been accepted by Ld. DRP in its order for the assessment year 2009-10. 15. It has been…

DCIT 1(1), Mumbai vs. Alstom Projects India Ltd, Mumbai

In the result: ITA No.5335/Mum/2014 is dismissed

ITA 2143/MUM/2014[2009-10]Status: DisposedITAT Mumbai28 Oct 2015AY 2009-10

Bench: Sh. A.D. Jain & Sh. Rajendraassessment Year: 2007-08 Pan : Aabca8679F Dy. Commr. Of Income-Tax, Vs. M/S. Alstom Projects India Ltd., The International, 5Th Floor, Circle 1(1), Mumbai. 16, Marine Lines Cross Road No.1, Off Maharshi Karve Road, Mumbai-400020. (Appellant) (Respondent) Assessment Year: 2007-08 Pan : Aabca8679F M/S. Alstom India Ltd. Vs. Addl. Commr. Of Income Tax, (Earlier Known As Alstom Projects Range 1(1), India Limited), Mumbai. Mumbai (Appellant) (Respondent) Assessment Year: 2009-10 Pan : Aabca8679F Dy. Commr. Of Income-Tax, Vs. M/S. Alstom India Ltd., Circle 1(1), (Formerly Kown As Alstom Projects Sindia Ltd.,)The International, 5Th Mumbai. Floor, 16, Marine Lines Cross Road No.1, Off Maharshi Karve Road, Mumbai-400020. (Appellant) (Respondent) Asstt. Years 2007-08 & 2009-10 Assessment Year: 2009-10 Pan : Aabca8679F

For Appellant: S/Sh. Sunil M. Lala & Dharan GandhiFor Respondent: Sh. N.K. Chand, CIT(DR)

…IT(A) erred in not considering the submission that since the amount would not be debited to the profit & loss account & not allowed as a deduction, it could not be disallowed u/s 43B of the Act. Reliance has been placed on “CIT vs. Noble & Hewitt Pvt. Ltd.”, 305 ITR 324 (Del), as followed i.e. in “CIT vs. Calibre Personnel Services Pvt. Ltd.”, ITAs 158 and 160 of 2013 by the Hon’ble Bombay High Court, vide order dated 02.02.2015 (copy filed). The Ld. counsel for the assessee further contended that this stand of assessee has been accepted by Ld. DRP in its order for the assessment year 2009-10. 15. It has been…

Alstom India Ltd( Formerly Known As Alstom Projects India Ltd), Mumbai vs. Addl CIT RG 1(1), Mumbai

In the result: ITA No.5335/Mum/2014 is dismissed

ITA 2095/MUM/2014[2009-10]Status: DisposedITAT Mumbai28 Oct 2015AY 2009-10

Bench: Sh. A.D. Jain & Sh. Rajendraassessment Year: 2007-08 Pan : Aabca8679F Dy. Commr. Of Income-Tax, Vs. M/S. Alstom Projects India Ltd., The International, 5Th Floor, Circle 1(1), Mumbai. 16, Marine Lines Cross Road No.1, Off Maharshi Karve Road, Mumbai-400020. (Appellant) (Respondent) Assessment Year: 2007-08 Pan : Aabca8679F M/S. Alstom India Ltd. Vs. Addl. Commr. Of Income Tax, (Earlier Known As Alstom Projects Range 1(1), India Limited), Mumbai. Mumbai (Appellant) (Respondent) Assessment Year: 2009-10 Pan : Aabca8679F Dy. Commr. Of Income-Tax, Vs. M/S. Alstom India Ltd., Circle 1(1), (Formerly Kown As Alstom Projects Sindia Ltd.,)The International, 5Th Mumbai. Floor, 16, Marine Lines Cross Road No.1, Off Maharshi Karve Road, Mumbai-400020. (Appellant) (Respondent) Asstt. Years 2007-08 & 2009-10 Assessment Year: 2009-10 Pan : Aabca8679F

For Appellant: S/Sh. Sunil M. Lala & Dharan GandhiFor Respondent: Sh. N.K. Chand, CIT(DR)

…IT(A) erred in not considering the submission that since the amount would not be debited to the profit & loss account & not allowed as a deduction, it could not be disallowed u/s 43B of the Act. Reliance has been placed on “CIT vs. Noble & Hewitt Pvt. Ltd.”, 305 ITR 324 (Del), as followed i.e. in “CIT vs. Calibre Personnel Services Pvt. Ltd.”, ITAs 158 and 160 of 2013 by the Hon’ble Bombay High Court, vide order dated 02.02.2015 (copy filed). The Ld. counsel for the assessee further contended that this stand of assessee has been accepted by Ld. DRP in its order for the assessment year 2009-10. 15. It has been…