CIT v. Shah Alloys Ltd.

396 ITR 711High Court2017#9048 most cited

What is CIT v. Shah Alloys Ltd. authority for?

Interest received on margin money placed for business purposes is not taxable as income from other sources and is eligible for deduction under Section 80-IA as it is incidental to the assessee's business.

12

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2019 to 2024.

Also referred to as

CIT v. Shah Alloys Ltd · 396 ITR 711 · interest on margin money · income from other sources · eligible for deduction · section 80-IA · incidental to business · Gujarat High Court

Issues it is cited on

eligible businessincome from other sourcessection 80transfersection 143companysection 14section 143(3)businessinterest

Judgments citing CIT v. Shah Alloys Ltd.

Kalthia Infracon Pvt.Ltd., Ahmedabad vs. The Income Tax Officer, Ward-2(1)(2), Ahmedabad

In the result, the appeal filed by the assessee is allowed

ITA 140/AHD/2024[2016-17]Status: DisposedITAT Ahmedabad23 Oct 2024AY 2016-17

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं /Ita No.140/Ahd/2024 िनधा"रण वष" /Assessment Year : 2016-17 Kalthia Infra-Con Pvt.Ltd. The Ito बनाम/ 193 “Kalthia House” Ward-2(1)(2) V/S. Satya Grah Chavni Ahmedabad Opp. Iscon Mall, S.G.Highway Ahmedabad – 380 015 (Gujarat) "थायी लेखा सं./Pan: Aaeck 3940 N अपीलाथ%/ (Appellant) &' यथ%/ (Respondent) Assessee By : Shri M.J. Shah, Ar & Shri Rushin Patel, Ar Revenue By : Shri V.K. Mangla, Sr.Dr सुनवाई की तारीख/Date Of Hearing : 16/10/2024 घोषणा की तारीख /Date Of Pronouncement: 23/10/2024 आदेश/O R D E R Per Makarand V. Mahadeokar, Am:

For Appellant: Shri M.J. Shah, AR &For Respondent: Shri V.K. Mangla, Sr.DR
Section 143(3)Section 56Section 80Section 801A

…आयकर अपीलीय अिधकरण, अहमदाबाद "ायपीठ SMC, अहमदाबाद । IN THE INCOME TAX APPELLATE TRIBUNAL “ SMC” BENCH, AHMEDABAD सु"ी सुिच"ा का"ले, "ाियक सद" एवं "ी मकरंद वसंत महादेवकर, लेखा सद" के सम"। ] ] BEFORE MS. SUCHITRA KAMBLE, JUDICIAL MEMBER AND SHRI MAKARAND V. MAHADEOKAR, ACCOUNTANT MEMBER आयकर अपील सं /ITA No.140/Ahd/2024 िनधा"रण वष" /Assessment Year : 2016-17 Kalthia Infra-Con Pvt.Ltd. The ITO बनाम/ 193 “Kalthia House” Ward-2(1)(2) v/s. Satya Grah Chavni Ahmedabad Opp. Iscon Mall, S.G.Highway Ahmedabad – 380 015 (Gujarat) "थायी लेखा सं./PAN: AAECK 3940 N अपीलाथ%/ (Appellant) &' यथ%/ (Respondent) Assessee by : Shri…

Asst CIT (Ltu) 1, Mumbai vs. Grasim Industries Limited (As A Successor to Aditya Birla Nuvo Ltd, Mumbai

In the result, appeal of the Revenue is dismissed

ITA 1248/MUM/2017[2011-12]Status: DisposedITAT Mumbai28 Dec 2023AY 2011-12

Bench: Shri Vikas Awasthy, Jm & Ms Padmavathy S, Am

For Appellant: Shri Yogesh Thar, ARFor Respondent: Ms. A. Alankrutha, Sr. DR
Section 10BSection 115JSection 14ASection 234BSection 271(1)(c)Section 32(1)(iia)Section 37Section 40Section 43BSection 80I

…ofits and gains of the industrial undertaking within the parameters of sections 80HH and 80-1, the relief could be given. the purpose of deductions under sections 80HH and 80-I. The Hon'ble Gujarat High Court in the case of CIT vs. Shah Alloys Ltd reported in 396 ITR 711 had decided that "Whether interest received on margin money placed for business purpose cannot be treated as income from other sources and, therefore, eligible for deduction under section 80-IA being incidental to business of assessee-Held, yes." The Hon'ble Meghalaya High Court in the case of Pr. CIT vs. Shree Mahabir Foods Ltd reported in 282 C…

Grasim Industries Limited (As A Successor to Aditya Birla Nuvo Ltd), Mumbai vs. Addl CIT Ltu, Mumbai

In the result, appeal of the Revenue is dismissed

ITA 1065/MUM/2017[2011-12]Status: DisposedITAT Mumbai28 Dec 2023AY 2011-12

Bench: Shri Vikas Awasthy, Jm & Ms Padmavathy S, Am

For Appellant: Shri Yogesh Thar, ARFor Respondent: Ms. A. Alankrutha, Sr. DR
Section 10BSection 115JSection 14ASection 234BSection 271(1)(c)Section 32(1)(iia)Section 37Section 40Section 43BSection 80I

…ofits and gains of the industrial undertaking within the parameters of sections 80HH and 80-1, the relief could be given. the purpose of deductions under sections 80HH and 80-I. The Hon'ble Gujarat High Court in the case of CIT vs. Shah Alloys Ltd reported in 396 ITR 711 had decided that "Whether interest received on margin money placed for business purpose cannot be treated as income from other sources and, therefore, eligible for deduction under section 80-IA being incidental to business of assessee-Held, yes." The Hon'ble Meghalaya High Court in the case of Pr. CIT vs. Shree Mahabir Foods Ltd reported in 282 C…

Dy CIT CC 1 (4), Mumbai vs. M/S Aditya Birla Nuvo Ltd (Now Merged Eith Grasim Industries Ltd), Mumbai

In the result, appeal of the assessee for A

ITA 7643/MUM/2019[2009-10]Status: DisposedITAT Mumbai10 Jan 2023AY 2009-10
Section 143Section 143(3)Section 145ASection 147Section 148Section 801ASection 80I

…ons 80HH and 80-1, the relief could be given. Therefore, refund of excise duty was includible in its profits computed for the purpose of deductions under sections 80HH and 80-I. The Hon'ble Gujarat High Court in the case of CIT vs. Shah Alloys Ltd reported in 396 ITR 711 had decided that "Whether interest received on margin money placed for business purpose cannot be treated as income from other sources and, therefore, eligible for deduction under section 80-IA being incidental to business of assessee-Held, yes." The Hon'ble Meghalaya High Court in the case of Pr. CIT vs. Shree Mahabir Foods Ltd reported in 282 C…

Grasim Industries Ltd (Successor to Aditya Birla Nuvo Ltd), Mumbai vs. Dy CIT CC 1 (4), Mumbai

In the result, appeal of the assessee for A

ITA 7642/MUM/2019[2010-11]Status: DisposedITAT Mumbai10 Jan 2023AY 2010-11
Section 143Section 143(3)Section 145ASection 147Section 148Section 801ASection 80I

…ons 80HH and 80-1, the relief could be given. Therefore, refund of excise duty was includible in its profits computed for the purpose of deductions under sections 80HH and 80-I. The Hon'ble Gujarat High Court in the case of CIT vs. Shah Alloys Ltd reported in 396 ITR 711 had decided that "Whether interest received on margin money placed for business purpose cannot be treated as income from other sources and, therefore, eligible for deduction under section 80-IA being incidental to business of assessee-Held, yes." The Hon'ble Meghalaya High Court in the case of Pr. CIT vs. Shree Mahabir Foods Ltd reported in 282 C…

Grasim Industries Ltd (Successor to Aditya Birla Nuvo Ltd), Mumbai vs. Dy CIT CC 1 (4), Mumbai

In the result, appeal of the assessee for A

ITA 7641/MUM/2019[2009-10]Status: DisposedITAT Mumbai10 Jan 2023AY 2009-10
Section 143Section 143(3)Section 145ASection 147Section 148Section 801ASection 80I

…ons 80HH and 80-1, the relief could be given. Therefore, refund of excise duty was includible in its profits computed for the purpose of deductions under sections 80HH and 80-I. The Hon'ble Gujarat High Court in the case of CIT vs. Shah Alloys Ltd reported in 396 ITR 711 had decided that "Whether interest received on margin money placed for business purpose cannot be treated as income from other sources and, therefore, eligible for deduction under section 80-IA being incidental to business of assessee-Held, yes." The Hon'ble Meghalaya High Court in the case of Pr. CIT vs. Shree Mahabir Foods Ltd reported in 282 C…

Grasim Industries Ltd (Successor to Aditya Birla Nuvo Ltd), Mumbai vs. Dy CIT CC 1 (4), Mumbai

In the result, appeal of the assessee for A

ITA 7640/MUM/2019[2008-09]Status: DisposedITAT Mumbai10 Jan 2023AY 2008-09
Section 143Section 143(3)Section 145ASection 147Section 148Section 801ASection 80I

…ons 80HH and 80-1, the relief could be given. Therefore, refund of excise duty was includible in its profits computed for the purpose of deductions under sections 80HH and 80-I. The Hon'ble Gujarat High Court in the case of CIT vs. Shah Alloys Ltd reported in 396 ITR 711 had decided that "Whether interest received on margin money placed for business purpose cannot be treated as income from other sources and, therefore, eligible for deduction under section 80-IA being incidental to business of assessee-Held, yes." The Hon'ble Meghalaya High Court in the case of Pr. CIT vs. Shree Mahabir Foods Ltd reported in 282 C…

Dy CIT CC 1 (4), Mumbai vs. M/S Aditya Birla Nuvo Ltd ( Now Merged With Grasim Industrial Ltd), Mumbai

In the result, appeal of the assessee for A

ITA 7609/MUM/2019[2008-09]Status: DisposedITAT Mumbai10 Jan 2023AY 2008-09
Section 143Section 143(3)Section 145ASection 147Section 148Section 801ASection 80I

…ons 80HH and 80-1, the relief could be given. Therefore, refund of excise duty was includible in its profits computed for the purpose of deductions under sections 80HH and 80-I. The Hon'ble Gujarat High Court in the case of CIT vs. Shah Alloys Ltd reported in 396 ITR 711 had decided that "Whether interest received on margin money placed for business purpose cannot be treated as income from other sources and, therefore, eligible for deduction under section 80-IA being incidental to business of assessee-Held, yes." The Hon'ble Meghalaya High Court in the case of Pr. CIT vs. Shree Mahabir Foods Ltd reported in 282 C…

DCIT (Ltu), New Delhi vs. M/S. Gail (India) Ltd., New Delhi

Appeal is dismissed

ITA 4642/DEL/2013[1996-97]Status: DisposedITAT Delhi26 Oct 2020AY 1996-97

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

Section 80HSection 80I

…rein in context of deduction available under Section 80IA, the Hon’ble High Court held that interest income earned by assessee on fixed deposits with bank and other interest income were eligible for deduction under that Section. iii. CIT vs. Shah Alloys Ltd. 396 ITR 711 (Guj. HC) iv. Arul Mariammal Textiles Ltd. vs. ACIT 97 taxmann.com 298 (Mad. HC) v. CIT vs. Hewlett Packard Global Soft Ltd. 299 CTR 118 (Kar. HC Full Bench) wherein in context of similar provisions of Section 10A of the Act, the Hon’ble High Court held that interest income earned by the assessee on short term deposits made out of the surplus fun…

Gail (India) Ltd., New Delhi vs. DCIT-Ltu Delhi, New Delhi

Appeal is dismissed

ITA 4454/DEL/2013[1996-97]Status: DisposedITAT Delhi26 Oct 2020AY 1996-97

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

Section 80HSection 80I

…rein in context of deduction available under Section 80IA, the Hon’ble High Court held that interest income earned by assessee on fixed deposits with bank and other interest income were eligible for deduction under that Section. iii. CIT vs. Shah Alloys Ltd. 396 ITR 711 (Guj. HC) iv. Arul Mariammal Textiles Ltd. vs. ACIT 97 taxmann.com 298 (Mad. HC) v. CIT vs. Hewlett Packard Global Soft Ltd. 299 CTR 118 (Kar. HC Full Bench) wherein in context of similar provisions of Section 10A of the Act, the Hon’ble High Court held that interest income earned by the assessee on short term deposits made out of the surplus fun…

Assistant Commissioner of Income-Tax vs. Laxmi Civil Engineering Services Pvt. Ltd., Kolhapur

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

ITA 1244/PUN/2015[2008-09]Status: DisposedITAT Pune31 Jul 2019AY 2008-09

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita No.1176/Pun/2015 यििाारण वषा / Assessment Year : 2008-09

For Appellant: S/Shri M.K. Kulkarni and S.N. PuranikFor Respondent: Shri S.B. Prasad, CIT
Section 143(3)Section 14ASection 80I

…it had distinguished the decision of Apex Court in CIT Vs. Pandian Chemicals Ltd. 318 ITR 420 (SC). The next reliance was on the judgment of Hon’ble Bombay High Court in CIT Vs. Jagdishprasad M. Joshi (2009) 318 ITR 420 (Bom), CIT Vs. Shah Alloys Ltd. (2017) 396 ITR 711 (Guj) and CIT Vs. Eltek SGS (P) Ltd. (2008) 76 CCH 249 (Del). 19. Another point which was raised in respect of bank interest was that most of the bank deposits were made from borrowed funds, which carry interest and accordingly, net interest was to be treated income attributable to assessee. However, as against interest received of ₹ 78,85,014/-…

Laxmi Civil Engineering Services Pvt. Ltd., Kolhapur vs. Assistant Commisisoner of Income-Tax

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

ITA 1176/PUN/2015[2008-09]Status: DisposedITAT Pune31 Jul 2019AY 2008-09

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita No.1176/Pun/2015 यििाारण वषा / Assessment Year : 2008-09

For Appellant: S/Shri M.K. Kulkarni and S.N. PuranikFor Respondent: Shri S.B. Prasad, CIT
Section 143(3)Section 14ASection 80I

…it had distinguished the decision of Apex Court in CIT Vs. Pandian Chemicals Ltd. 318 ITR 420 (SC). The next reliance was on the judgment of Hon’ble Bombay High Court in CIT Vs. Jagdishprasad M. Joshi (2009) 318 ITR 420 (Bom), CIT Vs. Shah Alloys Ltd. (2017) 396 ITR 711 (Guj) and CIT Vs. Eltek SGS (P) Ltd. (2008) 76 CCH 249 (Del). 19. Another point which was raised in respect of bank interest was that most of the bank deposits were made from borrowed funds, which carry interest and accordingly, net interest was to be treated income attributable to assessee. However, as against interest received of ₹ 78,85,014/-…

CIT v. Shah Alloys Ltd. (396 ITR 711) — Cited in 12 Judgments | BharatTax