CIT v. Ponni Sugars & Chemicals Ltd.

306 ITR 392Supreme Court of India2008#107 most cited

What is CIT v. Ponni Sugars & Chemicals Ltd. authority for?

The "Purpose Test" determines whether an incentive or subsidy is a capital or revenue receipt for income tax purposes. If the incentive's purpose is to enable an assessee to set up a new industry or make investments in capital assets, it is a capital receipt and not taxable.

577

judgments rely on this decision, according to BharatTax’s citation analysis of 367,181 Indian tax judgments — from 2007 to 2026.

Also referred to as

CIT v. Ponni Sugars & Chemicals Ltd. · 306 ITR 392 · capital receipt vs revenue receipt · subsidy taxability · incentive scheme purpose test · sales tax incentive capital receipt · excise duty exemption capital receipt · section 2(24)(xviii) · section 43(1) · investment incentive taxability · purpose test subsidy · nature of receipt

Also reported as

174 Taxmann 87219 CTR 105

Sections most often in play

Section 115JBSection 143(3)Section 14ASection 2(24)(xviii)Section 37(1)Section 80P(2)(d)Section 80P(4)Section 43(1)
Read the full judgment

Issues it is cited on

section 2(24)(xviii)section 43(1)initial assessment yearsection 80hhcsection 80hhsection 2(24)additional depreciationbook profitswritten down valueblock of assetssection 32(1)liable to tax

Judgments citing CIT v. Ponni Sugars & Chemicals Ltd.

ACIT 3(1)(1), Mumbai vs. Bajaj Hindustan Sugar Pvt.Ltd, Mumbai

In the result, the appeal is partly allowed for statistical purpose

ITA 7251/MUM/2017[2012-13]Status: DisposedITAT Mumbai17 Dec 2024AY 2012-13

Bench: Shri Saktijit Dey, Vp & Shri Narendra Kumar Billaiya, Am

For Appellant: Shri Kirit KamdarFor Respondent: Shri Kailash C. Kanojiya &

…IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, MUMBAI BEFORE SHRI SAKTIJIT DEY, VP AND SHRI NARENDRA KUMAR BILLAIYA, AM ITA No. 735/Mum/2017 (Assessment Year: 2011-12) ACIT-3(1)(1) M/s. Bajaj Hindusthan Sugar Ltd. Room No. 607, 6th Floor, (Formerly Bajaj Hindusthan Sugar Aayakar Bhavan, Mumbai-400 020 & Industries Ltd.) Bajaj Bhavan, 2nd Floor, Vs. Jamnalal Bajaj Marg, 226, Nariman Point, Mumbai-400 021 PAN/GIR No. AAACB 4351 J (Revenue) : (Assessee) ITA No. 788/Mum/2016 (Assessment Year: 2010-11) Bajaj Hindusthan Sugar Ltd. ACIT-3(1) Bajaj Bhavan, 2nd Floor, 4th Floor, 628, Aaykar Bhavan, Jamnalal Bajaj Marg,…

Bajaj Hindustan Sugar Ltd, Mumbai vs. Addl CIT RG 3(1), Mumbai

In the result, the appeal is partly allowed for statistical purpose

ITA 788/MUM/2016[2010-11]Status: DisposedITAT Mumbai17 Dec 2024AY 2010-11

Bench: Shri Saktijit Dey, Vp & Shri Narendra Kumar Billaiya, Am

For Appellant: Shri Kirit KamdarFor Respondent: Shri Kailash C. Kanojiya &

…IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, MUMBAI BEFORE SHRI SAKTIJIT DEY, VP AND SHRI NARENDRA KUMAR BILLAIYA, AM ITA No. 735/Mum/2017 (Assessment Year: 2011-12) ACIT-3(1)(1) M/s. Bajaj Hindusthan Sugar Ltd. Room No. 607, 6th Floor, (Formerly Bajaj Hindusthan Sugar Aayakar Bhavan, Mumbai-400 020 & Industries Ltd.) Bajaj Bhavan, 2nd Floor, Vs. Jamnalal Bajaj Marg, 226, Nariman Point, Mumbai-400 021 PAN/GIR No. AAACB 4351 J (Revenue) : (Assessee) ITA No. 788/Mum/2016 (Assessment Year: 2010-11) Bajaj Hindusthan Sugar Ltd. ACIT-3(1) Bajaj Bhavan, 2nd Floor, 4th Floor, 628, Aaykar Bhavan, Jamnalal Bajaj Marg,…

ACIT 3(1)(1), Mumbai vs. Bajaj Hindustan Sugar Ltd, Mumbai

In the result, the appeal is partly allowed for statistical purpose

ITA 764/MUM/2016[2010-11]Status: DisposedITAT Mumbai17 Dec 2024AY 2010-11

Bench: Shri Saktijit Dey, Vp & Shri Narendra Kumar Billaiya, Am

For Appellant: Shri Kirit KamdarFor Respondent: Shri Kailash C. Kanojiya &

…IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, MUMBAI BEFORE SHRI SAKTIJIT DEY, VP AND SHRI NARENDRA KUMAR BILLAIYA, AM ITA No. 735/Mum/2017 (Assessment Year: 2011-12) ACIT-3(1)(1) M/s. Bajaj Hindusthan Sugar Ltd. Room No. 607, 6th Floor, (Formerly Bajaj Hindusthan Sugar Aayakar Bhavan, Mumbai-400 020 & Industries Ltd.) Bajaj Bhavan, 2nd Floor, Vs. Jamnalal Bajaj Marg, 226, Nariman Point, Mumbai-400 021 PAN/GIR No. AAACB 4351 J (Revenue) : (Assessee) ITA No. 788/Mum/2016 (Assessment Year: 2010-11) Bajaj Hindusthan Sugar Ltd. ACIT-3(1) Bajaj Bhavan, 2nd Floor, 4th Floor, 628, Aaykar Bhavan, Jamnalal Bajaj Marg,…

Bajaj Hindustan Sugar & Industries Ltd, Mumbai vs. DCIT 3(1), Mumbai

In the result, the appeal is partly allowed for statistical purpose

ITA 5806/MUM/2012[2009-10]Status: DisposedITAT Mumbai17 Dec 2024AY 2009-10

Bench: Shri Saktijit Dey, Vp & Shri Narendra Kumar Billaiya, Am

For Appellant: Shri Kirit KamdarFor Respondent: Shri Kailash C. Kanojiya &

…IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, MUMBAI BEFORE SHRI SAKTIJIT DEY, VP AND SHRI NARENDRA KUMAR BILLAIYA, AM ITA No. 735/Mum/2017 (Assessment Year: 2011-12) ACIT-3(1)(1) M/s. Bajaj Hindusthan Sugar Ltd. Room No. 607, 6th Floor, (Formerly Bajaj Hindusthan Sugar Aayakar Bhavan, Mumbai-400 020 & Industries Ltd.) Bajaj Bhavan, 2nd Floor, Vs. Jamnalal Bajaj Marg, 226, Nariman Point, Mumbai-400 021 PAN/GIR No. AAACB 4351 J (Revenue) : (Assessee) ITA No. 788/Mum/2016 (Assessment Year: 2010-11) Bajaj Hindusthan Sugar Ltd. ACIT-3(1) Bajaj Bhavan, 2nd Floor, 4th Floor, 628, Aaykar Bhavan, Jamnalal Bajaj Marg,…

ACIT CC-6(1), Mumbai, Bkc vs. Prism Johnson, Mumbai

In the result, captioned appeals by the revenue are dismissed

ITA 5619/MUM/2024[2009-10]Status: DisposedITAT Mumbai13 Dec 2024AY 2009-10

Bench: Smt. Beena Pillai, Hon’Ble

For Appellant: Shri Vijay Mehta, A/RFor Respondent: Mr. R.A. Dhyani, CIT, D/R
Section 115JSection 35ESection 40A(9)

…ts of the Hon’ble Supreme Court. 5. After considering the submission of the assessee, the AO was of the firm belief that the ratio laid down by the Hon’ble Supreme Court in the case of Commissioner of Income-tax, Madras v. Ponni Sugars & Chemicals Ltd. [2008] 306 ITR 392 (SC), does not apply on the facts of the case in hand and concluded by holding that the impugned subsidy is of revenue in nature and taxed the same accordingly. The assessee I.T.A. No. 5612/Mum/2024 I.T.A. No. 5614/Mum/2024 I.T.A. No. 5617/Mum/2024 I.T.A. No. 5618/Mum/2024 I.T.A. No. 5619/Mum/2024 3 challenged the assessment before the ld. CIT(A…

ACIT CC -6(1), Mumbai, Bkc vs. Prism Johnson, Mumbai

In the result, captioned appeals by the revenue are dismissed

ITA 5618/MUM/2024[2008-09]Status: DisposedITAT Mumbai13 Dec 2024AY 2008-09

Bench: Smt. Beena Pillai, Hon’Ble

For Appellant: Shri Vijay Mehta, A/RFor Respondent: Mr. R.A. Dhyani, CIT, D/R
Section 115JSection 35ESection 40A(9)

…ts of the Hon’ble Supreme Court. 5. After considering the submission of the assessee, the AO was of the firm belief that the ratio laid down by the Hon’ble Supreme Court in the case of Commissioner of Income-tax, Madras v. Ponni Sugars & Chemicals Ltd. [2008] 306 ITR 392 (SC), does not apply on the facts of the case in hand and concluded by holding that the impugned subsidy is of revenue in nature and taxed the same accordingly. The assessee I.T.A. No. 5612/Mum/2024 I.T.A. No. 5614/Mum/2024 I.T.A. No. 5617/Mum/2024 I.T.A. No. 5618/Mum/2024 I.T.A. No. 5619/Mum/2024 3 challenged the assessment before the ld. CIT(A…

ACIT CC -6(1), Mumbai, Bkc vs. Prism Johnson Limited, Mumbai

ITA 5617/MUM/2024[2007-08]Status: DisposedITAT Mumbai13 Dec 2024AY 2007-08

Bench: Smt. Beena Pillai, Hon'Ble

For Appellant: Shri Vijay Mehta, A/RFor Respondent: Mr. R.A. Dhyani, CIT, D/R
Section 115JSection 35ESection 40A(9)

…ts of the Hon'ble Supreme Court. 5. After considering the submission of the assessee, the AO was of the firm belief that the ratio laid down by the Hon'ble Supreme Court in the case of Commissioner of Income-tax, Madras v. Ponni Sugars & Chemicals Ltd. [2008] 306 ITR 392 (SC), does not apply on the facts of the case in hand and concluded by holding that the impugned subsidy is of revenue in nature and taxed the same accordingly. The assessee challenged the assessment before the ld. CIT(A) and reiterated its claim of capital receipt drawing support from the decision of the Hon'ble Supreme Court in the case of Ponn…

ACIT CC-6(1), Mumbai, Bkc vs. Prism Johnson Limited, Mumbai

In the result, captioned appeals by the revenue are dismissed

ITA 5614/MUM/2024[2006-07]Status: DisposedITAT Mumbai13 Dec 2024AY 2006-07

Bench: Smt. Beena Pillai, Hon’Ble

For Appellant: Shri Vijay Mehta, A/RFor Respondent: Mr. R.A. Dhyani, CIT, D/R
Section 115JSection 35ESection 40A(9)

…ts of the Hon’ble Supreme Court. 5. After considering the submission of the assessee, the AO was of the firm belief that the ratio laid down by the Hon’ble Supreme Court in the case of Commissioner of Income-tax, Madras v. Ponni Sugars & Chemicals Ltd. [2008] 306 ITR 392 (SC), does not apply on the facts of the case in hand and concluded by holding that the impugned subsidy is of revenue in nature and taxed the same accordingly. The assessee I.T.A. No. 5612/Mum/2024 I.T.A. No. 5614/Mum/2024 I.T.A. No. 5617/Mum/2024 I.T.A. No. 5618/Mum/2024 I.T.A. No. 5619/Mum/2024 3 challenged the assessment before the ld. CIT(A…

ACIT CC -6(1), Mumbai, Bkc vs. Prism Johnson Limited, Mumbai

In the result, captioned appeals by the revenue are dismissed

ITA 5612/MUM/2024[2005-06]Status: DisposedITAT Mumbai13 Dec 2024AY 2005-06

Bench: Smt. Beena Pillai, Hon’Ble

For Appellant: Shri Vijay Mehta, A/RFor Respondent: Mr. R.A. Dhyani, CIT, D/R
Section 115JSection 35ESection 40A(9)

…ts of the Hon’ble Supreme Court. 5. After considering the submission of the assessee, the AO was of the firm belief that the ratio laid down by the Hon’ble Supreme Court in the case of Commissioner of Income-tax, Madras v. Ponni Sugars & Chemicals Ltd. [2008] 306 ITR 392 (SC), does not apply on the facts of the case in hand and concluded by holding that the impugned subsidy is of revenue in nature and taxed the same accordingly. The assessee I.T.A. No. 5612/Mum/2024 I.T.A. No. 5614/Mum/2024 I.T.A. No. 5617/Mum/2024 I.T.A. No. 5618/Mum/2024 I.T.A. No. 5619/Mum/2024 3 challenged the assessment before the ld. CIT(A…

ITO, New Delhi vs. M/S. Jitf Water Infra (Naya Raipur) Ltd., New Delhi

In the result, appeal of the Revenue is dismissed

ITA 2457/DEL/2017[2012-13]Status: DisposedITAT Delhi10 Dec 2024AY 2012-13

Bench: Shri Mahavir Singh & Shri Naveen Chandra, Ita No:- 2457/Del/2017 (Assessment Year- 2012-13)

For Appellant: Shri Rohit Jain, Adv. and Shri Saksham Singhal, AdvFor Respondent: Shri Dayainder Singh Sidhu, CIT(DR)

…onally been commencement of production such subsidy is to be treated as assistance for the purpose of the trade and would constitute revenue receipt. This principle was once again reiterated by the Hon'ble Supreme Court in the case of Ponni Sugars & Chemicals 306 ITR 392. 13. Considering the afore-stated ratio laid down by the Hon'ble Supreme Court and considering the nature of financial assistance given by NRDA to the appellant, we are of the considered view that the financial assistance is capital in Page 7 of 12 ITA No.-2457/Del/2017 M/s JITF Water Infra (Naya Raipur) Ltd. nature and the amount received by th…

DCIT CC-1(4), Kol, Kolkata vs. Saj Food Products Pvt Ltd, Kolkata

In the result, all the appeals of the revenue are dismissed

ITA 1246/KOL/2024[2015-16]Status: DisposedITAT Kolkata25 Nov 2024AY 2015-16

Bench: Shri Rajpal Yadav, Vice- & Shri Rajesh Kumar]

Section 132Section 153ASection 36(1)(va)Section 40A(3)

…आयकर अपील"य अ"धकरण, कोलकाता पीठ “ए’’, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH: KOLKATA "ी राजपाल यादव, उपा"य" एबं "ी राजेश कुमार, लेखा सद"य के सम" [Before Shri Rajpal Yadav, Vice-President & Shri Rajesh Kumar, Accountant Member ] I.T.A. Nos. 1244 to 1246/Kol/2024 Assessment Years: 2013-14 to 2015-16 DCIT, Central Circle-1(4), Kolkata Vs. Saj Food Products Pvt. Ltd. (PAN: AAICS 0790 G) ( अपीलाथ" ) Respondent / (""यथ") Appellant / Date of Hearing / सुनवाई 23.10.2024 क" "त"थ Date of Pronouncement/ 25.11.2024 आदेश उ"घोषणा क" "त"थ For the Appellant/ Shri S. K. Tulsiyan, Advocate "नधा"रती क" ओर से Mit…

DCIT CC-1(4), Kol., Kolkata vs. Saj Food Products Pvt Ltd, Kolkata

In the result, all the appeals of the revenue are dismissed

ITA 1245/KOL/2024[2014-15]Status: DisposedITAT Kolkata25 Nov 2024AY 2014-15

Bench: Shri Rajpal Yadav, Vice- & Shri Rajesh Kumar]

Section 132Section 153ASection 36(1)(va)Section 40A(3)

…आयकर अपील"य अ"धकरण, कोलकाता पीठ “ए’’, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH: KOLKATA "ी राजपाल यादव, उपा"य" एबं "ी राजेश कुमार, लेखा सद"य के सम" [Before Shri Rajpal Yadav, Vice-President & Shri Rajesh Kumar, Accountant Member ] I.T.A. Nos. 1244 to 1246/Kol/2024 Assessment Years: 2013-14 to 2015-16 DCIT, Central Circle-1(4), Kolkata Vs. Saj Food Products Pvt. Ltd. (PAN: AAICS 0790 G) ( अपीलाथ" ) Respondent / (""यथ") Appellant / Date of Hearing / सुनवाई 23.10.2024 क" "त"थ Date of Pronouncement/ 25.11.2024 आदेश उ"घोषणा क" "त"थ For the Appellant/ Shri S. K. Tulsiyan, Advocate "नधा"रती क" ओर से Mit…

DCIT CC-1(4), Kol., Kolkata vs. Saj Food Products Pvt Ltd, Kolkata

In the result, all the appeals of the revenue are dismissed

ITA 1244/KOL/2024[2013-14]Status: DisposedITAT Kolkata25 Nov 2024AY 2013-14

Bench: Shri Rajpal Yadav, Vice- & Shri Rajesh Kumar]

Section 132Section 153ASection 36(1)(va)Section 40A(3)

…आयकर अपील"य अ"धकरण, कोलकाता पीठ “ए’’, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH: KOLKATA "ी राजपाल यादव, उपा"य" एबं "ी राजेश कुमार, लेखा सद"य के सम" [Before Shri Rajpal Yadav, Vice-President & Shri Rajesh Kumar, Accountant Member ] I.T.A. Nos. 1244 to 1246/Kol/2024 Assessment Years: 2013-14 to 2015-16 DCIT, Central Circle-1(4), Kolkata Vs. Saj Food Products Pvt. Ltd. (PAN: AAICS 0790 G) ( अपीलाथ" ) Respondent / (""यथ") Appellant / Date of Hearing / सुनवाई 23.10.2024 क" "त"थ Date of Pronouncement/ 25.11.2024 आदेश उ"घोषणा क" "त"थ For the Appellant/ Shri S. K. Tulsiyan, Advocate "नधा"रती क" ओर से Mit…

M/S. Geena Garments, Tiruppur vs. ACIT, Circle-1, Tiruppur

ITA 1823/CHNY/2024[2018-19]Status: DisposedITAT Chennai16 Oct 2024AY 2018-19

Bench: Shri S.S. Viswanethra Ravi & Shri Amitabh Shuklaआयकर अपील सं./I.T.A. No.1823/Chny/2024 निर्धारण वर्ष/Assessment Year: 2018-19 Geena Garments Vs. The Assistant Commissioner Of S.F. No. 410, R.K. Nagar, Income Tax, Circle 1, Pichampalayampudur B.O., Tirupur. Tiruppur 641 603. [Pan: Aagfg6962K] (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) अपीलार्थी की ओर से / Appellant By : Shri Suraj Nahar, C.A. प्रत्यर्थी की ओर से/Respondent By : Ms. Gouthami Manivasagam, Jcit सुनवाई की तारीख / Date Of Hearing : 09.10.2024 घोषणा की तारीख /Date Of Pronouncement : 16.10.2024 आदेश/Order Per S.S. Viswanethra Ravi: This Appeal Filed By The Assessee Is Directed Against The Order Dated 29.04.2024 Passed By The Id. Commissioner Of Income Tax (Appeals), National Faceless Appeal Centre [Nfac], Delhi For The

For Appellant: Shri Suraj Nahar, C.AFor Respondent: Ms. Gouthami Manivasagam, JCIT
Section 143(3)Section 2(24)Section 2(24)(xviii)

…essee was given incentive for exploring the new markets across the globe, whether such incentive would be a capital receipt or revenue receipt? The Tribunal followed the decision of the Hon'ble Supreme Court in the case of CIT v. Ponni Sugars & Chemicals Ltd. 306 ITR 392, held the incentives provided by the Government of India for exploring the new markets across the globe and given to the assessee is not for running the business profitably but for expanding the market area, is a capital receipt, cannot be treated as income either under section 2(24) or section 28 of the Act. Further, the same finding was followe…

Principal Commissioner of Income Tax 1 Kolkata vs. M/S Sova Ispat Limited

In the result, the appeal filed by the revenue is dismissed and

ITAT/235/2024HC Calcutta25 Sept 2024

Bench: : The Hon'Ble The Chief Justice T.S Sivagnanam -A N D- Hon'Ble Justice Bivas Pattanayak Date : September 25, 2024. Appearance : Mr. Vipul Kundulia, Adv. Mr. Amit Sharma, Adv. …For Appellant.

Section 260A

…od 14 IN THE HIGH COURT AT CALCUTTA SPECIAL JURISDICTION (IINCOME TAX) ORIGINAL SIDE ITAT/235/2024 IA NO: GA/1/2024, GA/2/2024 PRINCIPAL COMMISSIONER OF INCOME TAX 1 KOLKATA VS M/S SOVA ISPAT LIMITED BEFORE : THE HON'BLE THE CHIEF JUSTICE T.S SIVAGNANAM -A N D- HON'BLE JUSTICE BIVAS PATTANAYAK DATE : September 25, 2024. Appearance : Mr. Vipul Kundulia, Adv. Mr. Amit Sharma, Adv. …for appellant. Mr. J. P. Khaitan, Sr. Adv. Ms. Swapna Das, Adv. Mr. Siddharth Das, Adv. …for respondent. The Court :- We have heard learned advocates on either side. The…

Murude Sahakari Patsanstha Maryadit, Mumbai vs. ITO, Ward-22(2)(1), Mumbai

The Appeal is allowed

ITA 901/MUM/2024[2018-19]Status: DisposedITAT Mumbai24 Sept 2024AY 2018-19

Bench: SHRI NARENDRA KUMAR BILLAIYA, ACCOUNTANT MEMBER SHRI RAHUL CHAUDHARY (Judicial Member)

For Appellant: Shri Dharan GandhiFor Respondent: Shri Himanshu Sharma
Section 143Section 143(3)Section 5Section 80Section 80P(2)(a)Section 80P(2)(d)Section 80P(4)

…ociety must be "engaged in" the providing credit facilities to its members. As has been rightly pointed out by the learned Additional Solicitor General, the expression "engaged in", as has been held in CIT v. Ponni Sugars & Chemicals Ltd. [2008] 174 Taxman 87/306 ITR 392 (SC), would necessarily entail an examination of all the facts of the case. This Court in Ponni Sugars & Chemicals Ltd. (supra) held: "20. In order to earn exemption under section 80P(2) a cooperative society must prove that it had engaged itself in carrying on any of the several businesses referred to in sub- section (2). In that connection, it…

Deputy Commissioner of Income Tax, Circle-1, Tiruppur vs. Eastman Exports Global Clothing P Ltd, Tiruppur, Tamilnadu

In the result, the appeal of the assessee is allowed

ITA 326/CHNY/2024[2018-19]Status: DisposedITAT Chennai20 Sept 2024AY 2018-19

Bench: Shri S.S. Viswanethra Ravi & Shri Jagadishआयकर अपील सं./I.T.A. Nos.3326/Chny/2019 & 326/Chny/2024 िनधा"रण वष"/Assessment Years: 2017-18 & 2018-19 The Assistant Commissioner Of Vs. Eastman Exports Global Clothing (P) Ltd., No. 10, 12, 2Nd Street, Kumar Income Tax, Circle 1(1), 121, Adams Buildings, 60 Feet Road, Nagar South, Tirupur 641 603. Tirupur 641 602. [Pan: Aaccc0952E] (अपीलाथ"/Appellant) (""थ"/Respondent) आयकर अपील सं./I.T.A. No.706/Chny/2022 िनधा"रण वष"/Assessment Year: 2017-18 Victus Dyeings, The Assistant Commissioner Of 410, P.N. Road, R.K. Nagar, Income Tax, Circle 1, Vs. Tirupur 641 601. Tirupur. [Pan: Aacfv4420D] (अपीलाथ"/Appellant) (""थ"/Respondent) आयकर अपील सं./I.T.A. No.768/Chny/2022 िनधा"रण वष"/Assessment Year: 2017-18 The Deputy Commissioner Of M/S. K.M. Knit Wear, Income Tax, Circle 1, 14, E.F. Lakshmi Nagar, First Street, Vs. Tirupur. City Garden, Tirupur 641 602. [Pan: Aacfk3053B] (अपीलाथ"/Appellant) (""थ"/Respondent) आयकर अपील सं./I.T.A. No.358/Chny/2022 िनधा"रण वष"/Assessment Year: 2018-19 M/S. K.M. Knit Wear, The Assistant Commissioner Of 14, E.F. Lakshmi Nagar, First Street, Income Tax, Circle 1, Vs. City Garden, Tirupur 641 602. Tirupur. (अपीलाथ"/Appellant) (""थ"/Respondent)

Section 28

…page 131 of the paper book and submits that 12 I.T.A. Nos.3326/Chny/19, 326 & 1014/Chny/24, 706, 768,358/Chny/22 & 94 & 1348Chny/23 this Tribunal, by following the decision of the Hon’ble Supreme Court in the case of Ponni Sugars & Chemicals Ltd. Reported in 306 ITR 392 and also in the case of PCIT v. Nitin Spinners Ltd. (supra), held that the incentives provided to the industrial unit with the object of creating avenues for perpetual employment, to eradicate the social problem of unemployment in the State by accelerated industrial development, would be capital in nature. Further, he drew our attention to para 1…

Gates Wears, Tiruppur vs. DCIT Circle 1, Tiruppur

ITA 1014/CHNY/2024[2020-21]Status: DisposedITAT Chennai20 Sept 2024AY 2020-21

Bench: Shri S.S. Viswanethra Ravi & Shri Jagadishआयकर अपील सं./I.T.A. Nos.3326/Chny/2019 & 326/Chny/2024 निर्धारण वर्ष/Assessment Years: 2017-18 & 2018-19 The Assistant Commissioner Of Vs. Eastman Exports Global Clothing (P) Income Tax, Circle 1(1), 121, Adams Ltd., No. 10, 12, 2Nd Street, Kumar Buildings, 60 Feet Road, Nagar South, Tirupur 641 603. Tirupur 641 602. [Pan: Aaccc0952E] (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) Victus Dyeings, आयकर अपील सं./I.T.A. No.706/Chny/2022 410, P.N. Road, R.K. Nagar, निर्धारण वर्ष/Assessment Year: 2017-18 Tirupur 641 601. The Assistant Commissioner Of [Pan: Aacfv4420D] Vs. Income Tax, Circle 1, (अपीलार्थी/Appellant) Tirupur. (प्रत्यर्थी/Respondent) आयकर अपील सं./I.T.A. No.768/Chny/2022 निर्धारण वर्ष/Assessment Year: 2017-18 The Deputy Commissioner Of M/S. K.M. Knit Wear, Income Tax, Circle 1, 14, E.F. Lakshmi Nagar, First Street, Tirupur. Vs. City Garden, Tirupur 641 602. [Pan: Aacfk3053B] (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) आयकर अपील सं./I.T.A. No.358/Chny/2022 निर्धारण वर्ष/Assessment Year: 2018-19 M/S. K.M. Knit Wear, 14, E.F. Lakshmi Nagar, First Street, City Garden, Tirupur 641 602. The Assistant Commissioner Of Vs. Income Tax, Circle 1, Tirupur. (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) San Tex Inc., 2

Section 143(1)Section 28

…o consolidated order of this Tribunal in assessee's own case for AY 2014-15 & 2015-16 at page 131 of the paper book and submits that this Tribunal, by following the decision of the Hon'ble Supreme Court in the case of Ponni Sugars & Chemicals Ltd. Reported in 306 ITR 392 and also in the case of PCIT v. Nitin Spinners Ltd. (supra), held that the incentives provided to the industrial unit with the object of creating avenues for perpetual employment, to eradicate the social problem of unemployment in the State by accelerated industrial development, would be capital in nature. Further, he drew our attention to para 1…

San Tex Inc., Tirupur vs. ACIT Circle 1, Tirupur

ITA 94/CHNY/2023[2017-18]Status: DisposedITAT Chennai20 Sept 2024AY 2017-18

Bench: Shri S.S. Viswanethra Ravi & Shri Jagadishआयकर अपील सं./I.T.A. Nos.3326/Chny/2019 & 326/Chny/2024 निर्धारण वर्ष/Assessment Years: 2017-18 & 2018-19 The Assistant Commissioner Of Income Tax, Circle 1(1), 121, Adams Buildings, 60 Feet Road, Tirupur 641 602. Vs. Eastman Exports Global Clothing (P) Ltd., No. 10, 12, 2Nd Street, Kumar Nagar South, Tirupur 641 603. [Pan: Aaccc0952E] (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) आयकर अपील सं./I.T.A. No.706/Chny/2022 निर्धारण वर्ष/Assessment Year: 2017-18 Victus Dyeings, 410, P.N. Road, R.K. Nagar, Tirupur 641 601. [Pan: Aacfv4420D] The Assistant Commissioner Of Vs. Income Tax, Circle 1, Tirupur. (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) आयकर अपील सं./I.T.A. No.768/Chny/2022 निर्धारण वर्ष/Assessment Year: 2017-18 The Deputy Commissioner Of Income Tax, Circle 1, Tirupur. M/S. K.M. Knit Wear, 14, E.F. Lakshmi Nagar, First Street, Vs. City Garden, Tirupur 641 602. [Pan: Aacfk3053B] (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) आयकर अपील सं./I.T.A. No.358/Chny/2022 निर्धारण वर्ष/Assessment Year: 2018-19 M/S. K.M. Knit Wear, 14, E.F. Lakshmi Nagar, First Street, City Garden, Tirupur 641 602. The Assistant Commissioner Of Vs. Income Tax, Circle 1, Tirupur. (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) 2

Section 28

…page 131 of the paper book and submits that 12 I.T.A. Nos.3326/Chny/19, 326 T 1014/Chny/24, 706, 768,358/Chny/22 & 94 T 1348Chny/23 this Tribunal, by following the decision of the Hon'ble Supreme Court in the case of Ponni Sugars & Chemicals Ltd. Reported in 306 ITR 392 and also in the case of PCIT v. Nitin Spinners Ltd. (supra), held that the incentives provided to the industrial unit with the object of creating avenues for perpetual employment, to eradicate the social problem of unemployment in the State by accelerated industrial development, would be capital in nature. Further, he drew our attention to para 1…

Geena Garments, Tiruppur vs. ACIT, Circle-1, Tiruppur

In the result, the appeal of the assessee is allowed

ITA 1348/CHNY/2023[2017-18]Status: DisposedITAT Chennai20 Sept 2024AY 2017-18

Bench: Shri S.S. Viswanethra Ravi & Shri Jagadishआयकर अपील सं./I.T.A. Nos.3326/Chny/2019 & 326/Chny/2024 िनधा"रण वष"/Assessment Years: 2017-18 & 2018-19 The Assistant Commissioner Of Vs. Eastman Exports Global Clothing (P) Ltd., No. 10, 12, 2Nd Street, Kumar Income Tax, Circle 1(1), 121, Adams Buildings, 60 Feet Road, Nagar South, Tirupur 641 603. Tirupur 641 602. [Pan: Aaccc0952E] (अपीलाथ"/Appellant) (""थ"/Respondent) आयकर अपील सं./I.T.A. No.706/Chny/2022 िनधा"रण वष"/Assessment Year: 2017-18 Victus Dyeings, The Assistant Commissioner Of 410, P.N. Road, R.K. Nagar, Income Tax, Circle 1, Vs. Tirupur 641 601. Tirupur. [Pan: Aacfv4420D] (अपीलाथ"/Appellant) (""थ"/Respondent) आयकर अपील सं./I.T.A. No.768/Chny/2022 िनधा"रण वष"/Assessment Year: 2017-18 The Deputy Commissioner Of M/S. K.M. Knit Wear, Income Tax, Circle 1, 14, E.F. Lakshmi Nagar, First Street, Vs. Tirupur. City Garden, Tirupur 641 602. [Pan: Aacfk3053B] (अपीलाथ"/Appellant) (""थ"/Respondent) आयकर अपील सं./I.T.A. No.358/Chny/2022 िनधा"रण वष"/Assessment Year: 2018-19 M/S. K.M. Knit Wear, The Assistant Commissioner Of 14, E.F. Lakshmi Nagar, First Street, Income Tax, Circle 1, Vs. City Garden, Tirupur 641 602. Tirupur. (अपीलाथ"/Appellant) (""थ"/Respondent)

Section 28

…page 131 of the paper book and submits that 12 I.T.A. Nos.3326/Chny/19, 326 & 1014/Chny/24, 706, 768,358/Chny/22 & 94 & 1348Chny/23 this Tribunal, by following the decision of the Hon’ble Supreme Court in the case of Ponni Sugars & Chemicals Ltd. Reported in 306 ITR 392 and also in the case of PCIT v. Nitin Spinners Ltd. (supra), held that the incentives provided to the industrial unit with the object of creating avenues for perpetual employment, to eradicate the social problem of unemployment in the State by accelerated industrial development, would be capital in nature. Further, he drew our attention to para 1…