CIT v. Subhas Kabini Corporation Ltd.

385 ITR 592High Court2016#2249 most cited

What is CIT v. Subhas Kabini Corporation Ltd. authority for?

Receipts arising from the sale of Carbon Emission Reduction (CERs) or carbon credits are capital receipts, not revenue receipts, for assessment years preceding the introduction of Section 115BBG.

51

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2016 to 2026.

Also referred to as

Subhash Kabini Power Corporation Ltd. · 385 ITR 592 · carbon credits · CERs · capital receipt · revenue receipt · Section 115BBG · Section 80IA · nature of carbon credit income · pre-115BBG

Sections most often in play

Section 80IASection 143(3)Section 2003)Section 143(1)Section 28(iv)Section 36(1)(iii)Section 115BBGSection 14A

Issues it is cited on

section 40(1)section 41(1)(a)section 41(2)remission or cessation of liabilitytrade creditorssection 28(iv)deduction under section 80iainitial assessment yeardeduction u/s 80iadividend distribution taxsection 80iasection 41(1)

Judgments citing CIT v. Subhas Kabini Corporation Ltd.

Tha Addl. CIT, Range-1, Baroda vs. M/S. Gujarat Flurochemicals Limited., Baroda

Appeals of the Revenue are dismissed, whereas appeals of the assessee are partly allowed for statistical purpose

ITA 106/AHD/2016[2010-11]Status: DisposedITAT Ahmedabad28 Jun 2019AY 2010-11

Bench: Shri Rajpal Yadav & Shri Pradip Kumar Kediasr. No.

For Appellant: Shri S.N. Soparkar, and Shri Parin Shah, ARFor Respondent: Shri Subhas Bains, CIT-DR and Shri Vinod Tanwani, Sr.DR

…erefore would not invite tax. This issue has ITA No.1379 and 1380/Ahd/2009 and 13 Others Gujarat Fluorochemicals Ltd. Vs. ACIT been examined by two High Courts. The Karnataka High Court in the case of CIT Vs. Subhas Kabini Corporation Ltd., reported in (2016) 385 ITR 592 (Karn) and Andhra Pradesh High Court in the case of Commissioner of Income-tax Vs. My Home Power Limited reported in (2014) 365 ITR 82(A) have held that receipts of carbon credit are in the nature of revenue receipts. Following the decisions of said two High courts, this question is also not considered.” It is to be noted here that the Hon’ble G…

Gujarat Fluorochemeicals Ltd, Baroda vs. The Dy.CIT., Circle-1(1)(1), Baroda

Appeals of the Revenue are dismissed, whereas appeals of the assessee are partly allowed for statistical purpose

ITA 135/AHD/2015[2008-09]Status: DisposedITAT Ahmedabad28 Jun 2019AY 2008-09

Bench: Shri Rajpal Yadav & Shri Pradip Kumar Kediasr. No.

For Appellant: Shri S.N. Soparkar, and Shri Parin Shah, ARFor Respondent: Shri Subhas Bains, CIT-DR and Shri Vinod Tanwani, Sr.DR

…erefore would not invite tax. This issue has ITA No.1379 and 1380/Ahd/2009 and 13 Others Gujarat Fluorochemicals Ltd. Vs. ACIT been examined by two High Courts. The Karnataka High Court in the case of CIT Vs. Subhas Kabini Corporation Ltd., reported in (2016) 385 ITR 592 (Karn) and Andhra Pradesh High Court in the case of Commissioner of Income-tax Vs. My Home Power Limited reported in (2014) 365 ITR 82(A) have held that receipts of carbon credit are in the nature of revenue receipts. Following the decisions of said two High courts, this question is also not considered.” It is to be noted here that the Hon’ble G…

The DCIT, Circle-1(1), Baroda vs. Gujarat Flurochemicals Ltd., Baroda

Appeals of the Revenue are dismissed, whereas appeals of the assessee are partly allowed for statistical purpose

ITA 2546/AHD/2012[2009-10]Status: DisposedITAT Ahmedabad28 Jun 2019AY 2009-10

Bench: Shri Rajpal Yadav & Shri Pradip Kumar Kediasr. No.

For Appellant: Shri S.N. Soparkar, and Shri Parin Shah, ARFor Respondent: Shri Subhas Bains, CIT-DR and Shri Vinod Tanwani, Sr.DR

…erefore would not invite tax. This issue has ITA No.1379 and 1380/Ahd/2009 and 13 Others Gujarat Fluorochemicals Ltd. Vs. ACIT been examined by two High Courts. The Karnataka High Court in the case of CIT Vs. Subhas Kabini Corporation Ltd., reported in (2016) 385 ITR 592 (Karn) and Andhra Pradesh High Court in the case of Commissioner of Income-tax Vs. My Home Power Limited reported in (2014) 365 ITR 82(A) have held that receipts of carbon credit are in the nature of revenue receipts. Following the decisions of said two High courts, this question is also not considered.” It is to be noted here that the Hon’ble G…

Gujarat Flurochemicals Ltd., Baroda vs. The Dy.CIT., Circle-1(1), Baroda

Appeals of the Revenue are dismissed, whereas appeals of the assessee are partly allowed for statistical purpose

ITA 2365/AHD/2012[2009-10]Status: DisposedITAT Ahmedabad28 Jun 2019AY 2009-10

Bench: Shri Rajpal Yadav & Shri Pradip Kumar Kediasr. No.

For Appellant: Shri S.N. Soparkar, and Shri Parin Shah, ARFor Respondent: Shri Subhas Bains, CIT-DR and Shri Vinod Tanwani, Sr.DR

…erefore would not invite tax. This issue has ITA No.1379 and 1380/Ahd/2009 and 13 Others Gujarat Fluorochemicals Ltd. Vs. ACIT been examined by two High Courts. The Karnataka High Court in the case of CIT Vs. Subhas Kabini Corporation Ltd., reported in (2016) 385 ITR 592 (Karn) and Andhra Pradesh High Court in the case of Commissioner of Income-tax Vs. My Home Power Limited reported in (2014) 365 ITR 82(A) have held that receipts of carbon credit are in the nature of revenue receipts. Following the decisions of said two High courts, this question is also not considered.” It is to be noted here that the Hon’ble G…

The Joint Commissioner of Income Tax(OSD), Gandhinagar vs. Kalpataru Power Transmission Ltd., Gandhinagar

In the result, Revenue’s appeal in ITA No

ITA 1463/AHD/2016[2011-12]Status: DisposedITAT Ahmedabad10 May 2019AY 2011-12

Bench: Shri Pradip Kumar Kedia & Shri Mahavir Prasad1. आयकर अपील सं./I.T.A. No.1462/Ahd/2016 2.आयकर अपील सं./I.T.A. No.1463/Ahd/2016 ("नधा"रण वष" / Assessment Years: 2010-11 & 2011-12 Respectively)

For Appellant: Shri O.P.Sharma, CIT-DRFor Respondent: Shri Bhavin Marfatiya, AR
Section 14A

…n. The Tribunal held that receipts should in the nature of capital receipts and therefore would not invite tax. This issue has been examined by two High Courts. The Karnataka High Court in the case of CIT Vs. Subhas Kabini Corporation Ltd., reported in (2016) 385 ITR 592 (Karn) and Andhra Pradesh High Court in the case of Commissioner of Income-tax Vs. My Home Power Limited reported in (2014) 365 ITR 82(A) have held that receipts of carbon credit are in the nature of revenue receipts. Following the decisions of said two High courts, this question is also not considered.” It is to be noted here that the Hon’ble G…

The Joint Commissioner of Income Tax(OSD), Gandhinagar vs. Kalpataru Power Transmission Ltd., Gandhinagar

In the result, Revenue’s appeal in ITA No

ITA 1462/AHD/2016[2010-11]Status: DisposedITAT Ahmedabad10 May 2019AY 2010-11

Bench: Shri Pradip Kumar Kedia & Shri Mahavir Prasad1. आयकर अपील सं./I.T.A. No.1462/Ahd/2016 2.आयकर अपील सं./I.T.A. No.1463/Ahd/2016 ("नधा"रण वष" / Assessment Years: 2010-11 & 2011-12 Respectively)

For Appellant: Shri O.P.Sharma, CIT-DRFor Respondent: Shri Bhavin Marfatiya, AR
Section 14A

…n. The Tribunal held that receipts should in the nature of capital receipts and therefore would not invite tax. This issue has been examined by two High Courts. The Karnataka High Court in the case of CIT Vs. Subhas Kabini Corporation Ltd., reported in (2016) 385 ITR 592 (Karn) and Andhra Pradesh High Court in the case of Commissioner of Income-tax Vs. My Home Power Limited reported in (2014) 365 ITR 82(A) have held that receipts of carbon credit are in the nature of revenue receipts. Following the decisions of said two High courts, this question is also not considered.” It is to be noted here that the Hon’ble G…

M/S. K Kalpana Infrastructures Ltd., Kolkata vs. Pr.CIT, Central - 1, Kolkata

Appeal is allowed

ITA 814/KOL/2018[2013-14]Status: DisposedITAT Kolkata06 Nov 2018AY 2013-14

Bench: Shri J.Sudhakar Reddy & Shri S.S.Godaraassessment Year:2013-14

Section 143(3)Section 263Section 80

…ITAT)(Bang) treating it as a revenue neutral instance not exigible to sec. 263 revision proceedings. The Revenue’s appeal has against the same has been rejected in hon'ble Karnataka high court’s decision in CIT vs. Subhash Kabini Power Corporation Ltd. (2016) 385 ITR 592 (Kar). We conclude in view of all these facts and legal precedents ITA No.814/Kol/2018 A.Y. 2013-14 M/s Kkalpana Industries (I) Ltd. Vs. Pr. CIT, Central-1, Kol. Page 13 that the P.CIT has erred in directing the Assessing Officer to frame afresh assessment qua the twin issues of interest as well as incentive subsidy thereby holding the regular a…

Bajinath Melaram, Mumbai vs. Pr CIT 18, Mumbai

In the result, appeal of the Assessee is hereby allowed

ITA 1795/MUM/2016[2011-12]Status: DisposedITAT Mumbai30 Aug 2018AY 2011-12

Bench: Shri G.S.Pannu, Am & Shri Amarjit Singh, Jm / I.T.A. No.1795/M/16 (Assessment Year: 2011-12) M/S. Baijnath Melaram Vs. Pr. Commissioner Of Income C/O.Mangaldas D. Shah & Co Tax – 18 506, Lotus House, 5Th Floor, 6Th Floor, Earnest House, 33-A, New Marine Lines Nariman Point, Mumbai - 400020 Mumbai - 400021 Pan/Gir No. : Aaafb2675E (/Appellant) .. Respondent)

For Appellant: Shri Dhirendra M. ShahFor Respondent: Shri N. P. Singh & B.S.Bist
Section 143(3)Section 263Section 40A(3)Section 43BSection 44A

…and thereafter the AO passed the order. Non discussion the issues in the order nowhere vitiate the order in view of the provision u/s.263 of the Act and in this regard we also found support law settled in 241 taxman 255 (Bom) in case of CIT Vs. Nirav Modi and 385 ITR 592 (Karn) in case of CIT Vs. Subhash Kabini Power Corporation Ltd. and 372 ITR 303 (Bom) CIT Vs. Fine Jewellery (India) Ltd. and in ITA No.2690/M/2016 in case of Shri Narayan Tatu Rane Vs. ITO Ward 27(1)(1) and in ITA No.987/PN/2013 in case of M/s.Mudhol Land Holding Company Pvt. Ltd. Vs. CIT – 1, Pune and in ITA No.1921/M/2015 in case of M/s.Hotel…

Gujarat Fluorochemicals Limited, Vadodara vs. The Deputy Commissioner of Income Tax, Circle-1(1)(1), Vadodara

In the result, both appeals of the assessee are partly allowed

ITA 805/AHD/2017[2012-13]Status: DisposedITAT Ahmedabad03 Aug 2018AY 2012-13

Bench: Shri Rajpal Yadav & Shri Amarjit Singhआयकर अपील सं./ Ita No.805/Ahd/2017 "नधा"रण वष"/Asstt. Year: 2012-2013 & Asst.Year : 2013-2014

For Appellant: Shri S.N. Soparkar and Shri Parin Shah, ARFor Respondent: Shri O.P. Vaishnav, CIT-DR
Section 115JSection 143(2)Section 143(3)Section 14A

…n. The Tribunal held that receipts should in the nature of capital receipts and therefore would not invite tax. This issue has been examined by two High Courts. The Karnataka High Court in the case of CIT Vs. Subhas Kabini Corporation Ltd., reported in (2016) 385 ITR 592 (Karn) and Andhra Pradesh High Court in the case of Commissioner of Income-tax Vs. My Home Power Limited reported in (2014) 365 ITR 82(A) have held that receipts of carbon credit are in the nature of revenue receipts. Following the decisions of said two High courts, this question is also not considered.” It is to be noted here that the Hon’ble G…

Gujarat Flurochemicals Limited., Vadodara vs. The ACIT, Circle-1(1)(1), Vadodara

In the result, both appeals of the assessee are partly allowed

ITA 2744/AHD/2017[2013-14]Status: DisposedITAT Ahmedabad03 Aug 2018AY 2013-14

Bench: Shri Rajpal Yadav & Shri Amarjit Singhआयकर अपील सं./ Ita No.805/Ahd/2017 "नधा"रण वष"/Asstt. Year: 2012-2013 & Asst.Year : 2013-2014

For Appellant: Shri S.N. Soparkar and Shri Parin Shah, ARFor Respondent: Shri O.P. Vaishnav, CIT-DR
Section 115JSection 143(2)Section 143(3)Section 14A

…n. The Tribunal held that receipts should in the nature of capital receipts and therefore would not invite tax. This issue has been examined by two High Courts. The Karnataka High Court in the case of CIT Vs. Subhas Kabini Corporation Ltd., reported in (2016) 385 ITR 592 (Karn) and Andhra Pradesh High Court in the case of Commissioner of Income-tax Vs. My Home Power Limited reported in (2014) 365 ITR 82(A) have held that receipts of carbon credit are in the nature of revenue receipts. Following the decisions of said two High courts, this question is also not considered.” It is to be noted here that the Hon’ble G…

M/S Ramgad Minerals and Mining Ltd., Hospet vs. Principal Commissioner of Income Tax, Gulbarga

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

ITA 1484/BANG/2015[2011-12]Status: DisposedITAT Bangalore19 Oct 2016AY 2011-12

Bench: Smt. Asha Vijayaraghavan & Shri Inturi Rama Raom/S.Ramgad Minerals & Mining Ltd., Abheraj Baldota Road, Hospet-583203. … Appellant Pan:Aaacr 8532 R Vs. Asst. Commissioner Of Income-Tax, Circle-1, Bellary. … Respondent

For Appellant: Smt. R.Prathibha, AdvocateFor Respondent: Ms. Neera Malhotra, CIT(DR)
Section 143(1)Section 143(2)Section 143(3)Section 263Section 28Section 40a

…ssessee argued that the issue of taxability of Carbon Credit is no longer res integra as the issue was concluded in favour of the assessee-company by the Hon’ble jurisdictional High Court in the case of CIT vs. M/s.Subhash Kabini Power Corporation Ltd. (2016) 385 ITR 592)(Kar.) 5.2 On the other hand, learned Departmental Representative relied on the order of the Principal CIT passed u/s 263 of the Act. 6. We heard rival submissions and perused material on record. The issue in the present appeal is about the legality of the power of assumption of jurisdiction u/s 263 of the Act by the Principal CIT. The Principa…