CIT v. Pure Pharma (P) Ltd.

270 ITR 382High Court2005#8649 most cited

What is CIT v. Pure Pharma (P) Ltd. authority for?

If an assessee proves that an expenditure was incurred in its commercial expediency for running the business effectively, the Revenue cannot deem it unnecessary or uncalled for.

13

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2017 to 2024.

Also referred to as

CIT v Pure Pharma · commercial expediency · business expenditure · allowable deduction · revenue cannot disallow · assessee's proof · running the business effectively · lawful payment

Issues it is cited on

section 250(2)interest u/s 234acommercial expediencyrule 46arevenue expenditurecapital expendituresection 234ascrutiny assessmentsection 139(1)section 68section 143(2)section 25

Judgments citing CIT v. Pure Pharma (P) Ltd.

ACIT (Central)-1, Bhopal vs. Som Distilleries and Breweries Ltd., Bhopal

Appeal is partly allowed for statistical

ITA 297/IND/2023[2014-15]Status: DisposedITAT Indore08 Aug 2024AY 2014-15

Bench: Shri Vijay Pal Rao & Shri B.M. Biyaniay: 2013-14 Som Distilleries & Income-Tax Officer, बनाम/ Breweries Limited, 1(1), Vs. Som House, Bhopal. 23, Zone Ii, M.P. Nagar, Bhopal (Pan: Aabcs3374B) (Assessee/Appellant) (Revenue/Respondent) Ay:2014-15 Acit (Central)-1, Som Distilleries & बनाम/ Bhopal Breweries Limited, Vs. Som House, 23, Zone Ii, M.P. Nagar, Bhopal (Pan: Aabcs3374B) (Revenue/Appellant) (Assessee/Respondent)

Section 139(1)Section 143(2)Section 143(3)Section 14ASection 234A

…such expenses, cannot be termed as unreasonable; in support of its ultimate conclusion. In these circumstances, no substantial question of law arises. Similar view was taken by Hon’ble Jurisdictional High Court in the case of CIT vs Pure Pharma (P) Ltd (2005) 277 ITR 273 (MP) by stating that If it is found as a fact that the assessee has Page 20 of 33 Som Distilleries and Breweries Limited, Bhopal ITA Nos. 271/Ind/2023 (A.Y. 2013-14) & ITA No. 297/Ind/2023 (A.Y. 2014-15) incurred expenditure then the Revenue has no right to say that no such expenditure is called for or can be incurred or it is not necessary. It…

Som Distilleries and Breweries Ltd., Bhopal vs. ITO-1(1), Bhopal

Appeal is partly allowed for statistical

ITA 271/IND/2023[2013-14]Status: DisposedITAT Indore08 Aug 2024AY 2013-14

Bench: Shri Vijay Pal Rao & Shri B.M. Biyaniay: 2013-14 Som Distilleries & Income-Tax Officer, बनाम/ Breweries Limited, 1(1), Vs. Som House, Bhopal. 23, Zone Ii, M.P. Nagar, Bhopal (Pan: Aabcs3374B) (Assessee/Appellant) (Revenue/Respondent) Ay:2014-15 Acit (Central)-1, Som Distilleries & बनाम/ Bhopal Breweries Limited, Vs. Som House, 23, Zone Ii, M.P. Nagar, Bhopal (Pan: Aabcs3374B) (Revenue/Appellant) (Assessee/Respondent)

Section 139(1)Section 143(2)Section 143(3)Section 14ASection 234A

…such expenses, cannot be termed as unreasonable; in support of its ultimate conclusion. In these circumstances, no substantial question of law arises. Similar view was taken by Hon’ble Jurisdictional High Court in the case of CIT vs Pure Pharma (P) Ltd (2005) 277 ITR 273 (MP) by stating that If it is found as a fact that the assessee has Page 20 of 33 Som Distilleries and Breweries Limited, Bhopal ITA Nos. 271/Ind/2023 (A.Y. 2013-14) & ITA No. 297/Ind/2023 (A.Y. 2014-15) incurred expenditure then the Revenue has no right to say that no such expenditure is called for or can be incurred or it is not necessary. It…

Asst. Commissioner of Income Tax (Central)-I, Bhopal vs. Som Distilleries Private Limited, Bhopal

Appeal is partly allowed for statistical

ITA 289/IND/2023[2014-15]Status: DisposedITAT Indore02 Aug 2024AY 2014-15

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 139(1)Section 143(2)Section 143(3)Section 234A

…uch expenses, cannot be termed as unreasonable; in support of its ultimate conclusion. In these circumstances, no substantial question of law arises.’ Similar view was taken by Hon’ble Jurisdictional High Court in the case of CIT vs Pure Pharma (P) Ltd (2005) 277 ITR 273 (MP) by stating that If it is found as a fact that the assessee has incurred expenditure then the Revenue has no right to say that no such expenditure is called for or can be incurred or it is not necessary. It is for the assessee to prove the expenses and the manner in which it is to be incurred in its commercial expediency to run their business…

Som Distilleries Pvt. Ltd., Bhopal vs. ITO-1(3), Bhopal

Appeal is partly allowed for statistical

ITA 272/IND/2023[2014-15]Status: DisposedITAT Indore02 Aug 2024AY 2014-15

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 139(1)Section 143(2)Section 143(3)Section 234A

…uch expenses, cannot be termed as unreasonable; in support of its ultimate conclusion. In these circumstances, no substantial question of law arises.’ Similar view was taken by Hon’ble Jurisdictional High Court in the case of CIT vs Pure Pharma (P) Ltd (2005) 277 ITR 273 (MP) by stating that If it is found as a fact that the assessee has incurred expenditure then the Revenue has no right to say that no such expenditure is called for or can be incurred or it is not necessary. It is for the assessee to prove the expenses and the manner in which it is to be incurred in its commercial expediency to run their business…

The ITO-1, Khandwa vs. M/S. R S P Real Estate, Khandwa

ITA 714/IND/2019[2016-17]Status: DisposedITAT Indore31 Oct 2023AY 2016-17

Bench: Shri Vijay Pal Rao & Shri B.M. Biyaniassessment Year: 2016-17 Ito-1, M/S. Rsp Real Estate, बनाम/ Khandwa Ramkrishnaganj, Khandwa Vs. (Revenue / Appellant) (Assessee / Respondent) Pan: Aapfr1699K Assessee By Shri S.N.Agrawal, Ar Revenue By Shri Ashish Porwal, Sr. Dr Date Of Hearing 25.10.2023 Date Of Pronouncement 31.10.2023

Section 143(2)Section 143(3)Section 68

…ts which got audited u/s 44AB and the case of the appellant was completed u/s 143(3) of the Income-tax Act, 1961. In support of its case, the appellant has relied on the decision of Hon'ble High Court of M.P. in the case of CIT vs. Pure Pharma (P) Ltd. (2005) 270 ITR 382 (MP). 4.2 After going through the assessment order, it is clear that the AO had disallowed the said development expenses due to non-production of any document in respect of development expenses. But the appellant had submitted all the relevant documents i.e. bills, vouchers on e-filing portal before completion of assessment proceedings. The same…

DCIT 1(1), Indore vs. M/S Alpha Laborities Pvt. Ltd., Indore

In the result, both the captioned appeals of the Revenue are dismissed

ITA 548/IND/2018[2010-11]Status: DisposedITAT Indore21 Feb 2022AY 2010-11

Bench: Ms. Suchitra R. Kamble & Shri Bhagirath Mal Biyanivirtual Hearing

Section 143(3)Section 147

…अपील"य अ"धकरण, इ"दौर "यायपीठ, इ"दौर IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE MS. SUCHITRA R. KAMBLE, JUDICIAL MEMBER AND SHRI BHAGIRATH MAL BIYANI, ACCOUNTANT MEMBER Virtual Hearing ITA No.547 & 548/Ind/2018 Assessment Years: 2009-10 & 2010-11 DCIT 1(1) M/s. Alpha Laborities Pvt. Indore Ltd. बनाम/ Indore Vs. (Appellant) (Respondent ) P.A. No.AACCA8437C Appellant by Shri Puneet Kumar, CIT-DR Revenue by Shri S.C. Padliya, AR Date of Hearing: 01.02.2022 Date of Pronouncement: 21.02.2022 आदेश / O R D E R PER BHAGIRATH MAL BIYANI, A.M: These two captioned appeals have been filed by the R…

DCIT1(1), Indore vs. M/S Alpha Laborities Pvt. Ltd., Indore

In the result, both the captioned appeals of the Revenue are dismissed

ITA 547/IND/2018[2009-10]Status: DisposedITAT Indore21 Feb 2022AY 2009-10

Bench: Ms. Suchitra R. Kamble & Shri Bhagirath Mal Biyanivirtual Hearing

Section 143(3)Section 147

…अपील"य अ"धकरण, इ"दौर "यायपीठ, इ"दौर IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE MS. SUCHITRA R. KAMBLE, JUDICIAL MEMBER AND SHRI BHAGIRATH MAL BIYANI, ACCOUNTANT MEMBER Virtual Hearing ITA No.547 & 548/Ind/2018 Assessment Years: 2009-10 & 2010-11 DCIT 1(1) M/s. Alpha Laborities Pvt. Indore Ltd. बनाम/ Indore Vs. (Appellant) (Respondent ) P.A. No.AACCA8437C Appellant by Shri Puneet Kumar, CIT-DR Revenue by Shri S.C. Padliya, AR Date of Hearing: 01.02.2022 Date of Pronouncement: 21.02.2022 आदेश / O R D E R PER BHAGIRATH MAL BIYANI, A.M: These two captioned appeals have been filed by the R…

DCIT, Corporate Circle - 2 (1), Chennai vs. M/S. Ganges Internationale Pvt. Ltd., New Delhi

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

ITA 3370/CHNY/2019[2016-17]Status: DisposedITAT Chennai09 Apr 2021AY 2016-17

Bench: Shri Duvvuru Rl Reddy & Shri S. Jayaramanआयकर अपील सं./I.T.A. No. 3370/Chny/2019 िनधा"रण वष"/Assessment Year:2016-17 The Deputy Commissioner Of M/S. Ganges International Pvt. Ltd., Income Tax, Corporate Circle 2(1), Vs. B-36, Lawrence Road, Room No. 511, 5Th Floor, Wanaparthy Industrial Area, Block, No. 121, M.G. Road, New Delhi 110 035. Chennai 600 034. [Pan:Aaacg4177F] (अपीलाथ"/Appellant) (""थ"/Respondent) अपीलाथ" की ओर से / Appellant By : Shri G. Johnson, Addl. Cit ""थ" की ओर से/Respondent By : Shri Ved Jain, C.A. सुनवाई की तारीख/ Date Of Hearing : 16.03.2021 घोषणा की तारीख /Date Of Pronouncement : 09.04.2021 आदेश /O R D E R Per Duvvuru Rl Reddy: This Appeal Filed By The Revenue Is Directed Against The Order Of The Ld. Commissioner Of Income Tax (Appeals) 6, Chennai Dated 25.09.2019 Relevant To The Assessment Year 2016-17. The Effective Ground Raised By The Revenue Is That The Ld. Cit(A) Has Erred In Deleting The Addition On Account Of Disallowance Of Commission Paid To M/S. Amikong Pte Ltd. For ₹.2,66,91,976/- & M/S. Poushali Sales Pvt. Ltd. For ₹.69,74,865/-.

For Appellant: Shri G. Johnson, Addl. CITFor Respondent: Shri Ved Jain, C.A
Section 143(3)Section 154Section 37

…v. Shree Sajjan Mills Ltd. 302 ITR (Indore)(2008)115 TTJ 145 Business Expenditure-Commission-Agreements and details of Sales Furnished-No Findings that service were not rendered- Commission deductible-Income Tax Act 1961 s.37 CIT V. Pure Pharma Pvt Ltd. (2004)270 ITR 382(MP) Business Expenditure -Appeal to High Court-Substantial question of law-Commission-Findings that amounts had been paid for business purposes-Tribunal justified in allowing deduction -No. substantial question of law-Income Tax Act, 1961, s.37) 260A. CIT V. Electric Construction Equipment Co. Ltd. ( 1990) 82 ITR 510 Reference -Business Expenditu…

M/S Parag Fans & Cooling Systems Ltd., Dewas vs. The ACIT 1(1), Ujjain

In the result, the appeal of the assessee is allowed

ITA 372/IND/2015[2011-12]Status: DisposedITAT Indore11 Aug 2017AY 2011-12

Bench: Shri C.M. Garg & Shri O.P.Meena

Section 37

…M/s. Parag Fans & Cooling Systems Ltd. V ACIT 1(1) Ujjain, ITA No.372/Ind/2015 A. Y 2011-12 Page 1 of 12 आयकर अपील"य अ"धकरण, इंदौर "यायपीठ, इंदौर IN THE INCOME TAX APPELLATE TRIBUNAL, INDORE BENCH, INDORE "ी सी.एम.गग","या"यक सद"यतथा"ी ओ.पी.मीना,लेखा सद"यके सम" BEFORE SHRI C.M. GARG, JUDICIAL MEMBER AND SHRI O.P.MEENA, ACCOUNTANT MEMBER आ.अ.सं./ I.T.A. No.372/Ind/2016 "नधा"रणवष" /Assessment Year: 2011-12 M/s. Parag Fans & Cooling Income Tax Officer, 1(3), Systems Ltd, v. IndorACIT-1(1), Ujjain ½ B Industrial Area No.1 , A.B. Road, Dewas अपीलाथ" /Appellant ""यथ" /Respondent "था.ले.सं./PAN: AACCP1895K Shri S.S…

The DCIT, 1(1), Indore vs. M/S. Modern Laboratories, Indore

In the result, the CO of the assessee is partly allowed

ITA 277/IND/2014[2008-09]Status: DisposedITAT Indore25 Jul 2017AY 2008-09

Bench: Shri C.M.Garg & Shri O.P.Meenaआ.अ.सं./ ./ ./ I.T.A. No.277 & Co.16/Ind/2014 ./ "नधा"रण वष" /Assessment Year:2008-09

…DCIT v 1(1) v Modern Laboratories / I. T. A. No. 277/Ind/2014& CO.No.16/Ind/2014/AY:08-09 Page 1 of 29 आयकर अपील"य अ"धकरण, इंदौर "यायपीठ, इंदौर IN THE INCOME TAX APPELLATE TRIBUNAL, INDORE BENCH, INDORE "ी सी.एम.गग", "या"यक सद"य तथा "ी ओ.पी.मीना, लेखा सद"य के सम" BEFORE SHRI C.M.GARG, JUDICIAL MEMBER AND SHRI O.P.MEENA, ACCOUNTANT MEMBER आ.अ.सं./ ./ ./ I.T.A. No.277 & CO.16/Ind/2014 ./ "नधा"रण वष" /Assessment Year:2008-09 1. DCIT 1(1) Indore V. 1. Modern Laboratories 45 2. Modern Laboratories 45 Sector 45, Sector D-2, Sector 45, Sector D-2, Sanwer Road , Industrial Sanwer Road , Area Indore Industrial Area Indor…

The ITO, Ward-1(1), Indore vs. M/S. Agro Equipment Co. P. Ltd., Indore

The appeal of the Revenue is dismissed

ITA 803/IND/2014[2010-11]Status: DisposedITAT Indore05 Jan 2017AY 2010-11

Bench: Shri D.T. Garasia & Shri O.P. Meenaआ.अ.सं./I.T.A. No. 49/Ind/2013 "नधा"रण वष" /Assessment Year: 2009-10 Acit 4(1) :: अपीलाथ" /Appellant Indore

…ACIT vs. Agro Equipment ITA Nos. 49/Ind/2013 & 803/Ind/2014 आयकर अपील"य अ"धकरण, इ"दौर "यायपीठ, इ"दौर IN THE INCOME TAX APPELLATE TRIBUNAL, INDORE BENCH, INDORE "ी डी.ट".गरा"सया, "या"यक सद"य तथा "ी ओ.पी.मीना, लेखा सद"य के सम" BEFORE SHRI D.T. GARASIA, JUDICIAL MEMBER AND SHRI O.P. MEENA, ACCOUNTANT MEMBER आ.अ.सं./I.T.A. No. 49/Ind/2013 "नधा"रण वष" /Assessment Year: 2009-10 ACIT 4(1) :: अपीलाथ" /Appellant Indore Vs M/s Agro Equipment Co.Pvt. Ltd. Indore "था.ले.सं./PAN: AABCA 4685R :: ""यथ" /Respondent आ.अ.सं./I.T.A. No. 803/Ind/2014 "नधा"रण वष" /Assessment Year: 2010-11 ITO Ward 1(1) अपीलाथ" /Appellant Indore…

The ACIT, 4(1), Indore vs. M/S. Agro Equipment Co. Pvt. Ltd., Indore

The appeal of the Revenue is dismissed

ITA 49/IND/2013[2009-10]Status: DisposedITAT Indore05 Jan 2017AY 2009-10

Bench: Shri D.T. Garasia & Shri O.P. Meenaआ.अ.सं./I.T.A. No. 49/Ind/2013 "नधा"रण वष" /Assessment Year: 2009-10 Acit 4(1) :: अपीलाथ" /Appellant Indore

…ACIT vs. Agro Equipment ITA Nos. 49/Ind/2013 & 803/Ind/2014 आयकर अपील"य अ"धकरण, इ"दौर "यायपीठ, इ"दौर IN THE INCOME TAX APPELLATE TRIBUNAL, INDORE BENCH, INDORE "ी डी.ट".गरा"सया, "या"यक सद"य तथा "ी ओ.पी.मीना, लेखा सद"य के सम" BEFORE SHRI D.T. GARASIA, JUDICIAL MEMBER AND SHRI O.P. MEENA, ACCOUNTANT MEMBER आ.अ.सं./I.T.A. No. 49/Ind/2013 "नधा"रण वष" /Assessment Year: 2009-10 ACIT 4(1) :: अपीलाथ" /Appellant Indore Vs M/s Agro Equipment Co.Pvt. Ltd. Indore "था.ले.सं./PAN: AABCA 4685R :: ""यथ" /Respondent आ.अ.सं./I.T.A. No. 803/Ind/2014 "नधा"रण वष" /Assessment Year: 2010-11 ITO Ward 1(1) अपीलाथ" /Appellant Indore…

Shri Satish Jain, Indore vs. The CIT-2, Indore

In the result, the appeal of the assessee allowed

ITA 342/IND/2015[2010-11]Status: DisposedITAT Indore03 Jan 2017AY 2010-11

Bench: Shri D.T. Garasia & Shri O.P. Meena

Section 133(6)Section 143Section 263

…Shri Satish Jain, Indore / I.T.A. No.342/Ind/2015/A.Y: /10-11 Page 1 of 14 आयकर अपील"य अ"धकरण, इ"दौर "यायपीठ, इ"दौर IN THE INCOME TAX APPELLATE TRIBUNAL, INDORE BENCH, INDORE "ी डी.ट".गरा"सया, "या"यक सद"य तथा "ी ओ.पी.मीना, लेखा सद"य के सम" BEFORE SHRI D.T. GARASIA, JUDICIAL MEMBER AND SHRI O.P. MEENA, ACCOUNTANT MEMBER आ.अ.सं./ I.T.A. No. 342 /Ind/2015 "नधा"रण वष" /Assessment Year:2010-11 Shri Satish Jain, Pr. CIT-2 Indore Pp. Satish Agro Industries , Vs. 1/1 Shrinath Chambers, Maharani Road Indore अपीलाथ" /Appellant ""यथ" /Respondent "था.ले.सं./PAN:ABVPJ0983D Shri Pankaj Shah & Shri G. J. Shah अपीलाथ" क" ओर…

CIT v. Pure Pharma (P) Ltd. (270 ITR 382) — Cited in 13 Judgments | BharatTax