DCIT v. RBS Equities India Ltd.

141 TTJ 58Income Tax Appellate Tribunal2011#9251 most cited

What is DCIT v. RBS Equities India Ltd. authority for?

A thing is done in 'good faith' if it is done honestly, irrespective of whether negligence was involved. This is guided by Section 3(22) of the General Clauses Act.

12

judgments rely on this decision, according to BharatTax’s citation analysis of 366,005 Indian tax judgments — from 2018 to 2022.

Also referred to as

DCIT v. RBS Equities India Ltd. · Section 271(1)(c) · Explanation 7 · good faith · due diligence · honesty · negligence · General Clauses Act

Also reported as

133 ITD 77

Judgments citing DCIT v. RBS Equities India Ltd.

Shell Global Solutions International B.V, Ahmedabad vs. The DCIT, Intl. Taxn.-1, Ahmedabad

The appeal of the assessee is allowed and CO filed by the Department is being dismissed for assessment year 2010-11

ITA 1392/AHD/2019[2010-11]Status: DisposedITAT Ahmedabad13 Oct 2022AY 2010-11
For Appellant: Shri S.N. Soparkar, Shri Parin ShahFor Respondent: None
Section 250Section 271Section 271(1)(c)Section 274

…ch and Ahmedabad ITAT mentioned supra that under Indian transfer pricing provisions, corresponding adjustment in the hands of the Indian AICs are not allowed. Reliance placed on the decision of Hon'ble Mumbai ITAT in the case of DCIT v RBS Equities India Ltd (141 TTJ 58) is of no help to the Appellant. In this case, Hon'ble ITAT has observed that the deeming fiction under Explanation 7 to Section 271(l)(c) of the Act cannot apply when assessee is able to show that price charged or paid in respect of related international transaction was computed in accordance with the scheme of Section 92C of the Act, and in the…

Shell Global Solutions International B.V, Ahmedabad vs. The DCIT, Intl. Taxn.-1, Ahmedabad

The appeal of the assessee is allowed and CO filed by the Department is being dismissed for assessment year 2010-11

ITA 1391/AHD/2019[2009-10]Status: DisposedITAT Ahmedabad13 Oct 2022AY 2009-10
For Appellant: Shri S.N. Soparkar, Shri Parin ShahFor Respondent: None
Section 250Section 271Section 271(1)(c)Section 274

…ch and Ahmedabad ITAT mentioned supra that under Indian transfer pricing provisions, corresponding adjustment in the hands of the Indian AICs are not allowed. Reliance placed on the decision of Hon'ble Mumbai ITAT in the case of DCIT v RBS Equities India Ltd (141 TTJ 58) is of no help to the Appellant. In this case, Hon'ble ITAT has observed that the deeming fiction under Explanation 7 to Section 271(l)(c) of the Act cannot apply when assessee is able to show that price charged or paid in respect of related international transaction was computed in accordance with the scheme of Section 92C of the Act, and in the…

Shell Global Solutions International B.V, Ahmedabad vs. The DCIT, Intl. Taxn.-1, Ahmedabad

The appeal of the assessee is allowed and CO filed by the Department is being dismissed for assessment year 2010-11

ITA 1390/AHD/2019[2008-09]Status: DisposedITAT Ahmedabad13 Oct 2022AY 2008-09
For Appellant: Shri S.N. Soparkar, Shri Parin ShahFor Respondent: None
Section 250Section 271Section 271(1)(c)Section 274

…ch and Ahmedabad ITAT mentioned supra that under Indian transfer pricing provisions, corresponding adjustment in the hands of the Indian AICs are not allowed. Reliance placed on the decision of Hon'ble Mumbai ITAT in the case of DCIT v RBS Equities India Ltd (141 TTJ 58) is of no help to the Appellant. In this case, Hon'ble ITAT has observed that the deeming fiction under Explanation 7 to Section 271(l)(c) of the Act cannot apply when assessee is able to show that price charged or paid in respect of related international transaction was computed in accordance with the scheme of Section 92C of the Act, and in the…

Shell Global Solutions International B.V, Ahmedabad vs. The DCIT, Intl. Taxn.-1, Ahmedabad

The appeal of the assessee is allowed and CO filed by the Department is being dismissed for assessment year 2010-11

ITA 1389/AHD/2019[2007-08]Status: DisposedITAT Ahmedabad13 Oct 2022AY 2007-08
For Appellant: Shri S.N. Soparkar, Shri Parin ShahFor Respondent: None
Section 250Section 271Section 271(1)(c)Section 274

…ch and Ahmedabad ITAT mentioned supra that under Indian transfer pricing provisions, corresponding adjustment in the hands of the Indian AICs are not allowed. Reliance placed on the decision of Hon'ble Mumbai ITAT in the case of DCIT v RBS Equities India Ltd (141 TTJ 58) is of no help to the Appellant. In this case, Hon'ble ITAT has observed that the deeming fiction under Explanation 7 to Section 271(l)(c) of the Act cannot apply when assessee is able to show that price charged or paid in respect of related international transaction was computed in accordance with the scheme of Section 92C of the Act, and in the…

Sitel India Ltd, Mumbai vs. DCIT RG 8(3), Mumbai

In the result, appeal by the assessee is allowed

ITA 6875/MUM/2014[2007-08]Status: DisposedITAT Mumbai19 Jul 2022AY 2007-08

Bench: Shri Pramod Kumar & Shri Sandeep Singh Karhail

For Appellant: Shri Ajit Jain a/wFor Respondent: Shri Tejinder Pal Singh
Section 10ASection 143(3)Section 195Section 250Section 271(1)(c)Section 40

…and with due diligence. M/s. Sitel India Limited ITA no. 6875/Mum./2014 14. The term ‘good faith’ and ‘due diligence’ in Explanation 7 to section 271(1)(c) of the Act were analysed by the coordinate bench of Tribunal in DCIT vs RBS equities India Ltd, [2011] 133 ITD 77 (Mum.), wherein the Co–ordinate bench observed as under: “9. ........ As to the scope of connotations of expression in good faith appearing in Explanation 7, we find guidance from section 3(22) of General Clauses Act which states that "a thing shall be deemed to be done in 'good faith' where it is in fact done honesty, whether it is done negligen…

DCIT 8(3), Mumbai vs. Sitel India Ltd, Mumbai

In the result, appeal by the Revenue is dismissed

ITA 2595/MUM/2014[2009-10]Status: DisposedITAT Mumbai19 Jul 2022AY 2009-10

Bench: Shri Pramod Kumar & Shri Sandeep Singh Karhail

For Appellant: Shri Ajit Jain a/wFor Respondent: Shri Tejinder Pal Singh
Section 250Section 271(1)(c)Section 92C

…prescribed under that section in good faith and with due diligence. 10. The term ‘good faith’ and ‘due diligence’ in Explanation 7 to section 271(1)(c) of the Act were analysed by the Co–ordinate Bench of Tribunal in DCIT v/s RBS Equities India Ltd., [2011] 133 ITD 77 (Mum.), wherein the Co–ordinate Bench observed as under: “9. ........ As to the scope of connotations of expression in good faith appearing in Explanation 7, we find guidance from section 3(22) of General Clauses Act which states that "a thing shall be deemed to be done in 'good faith' where it is in fact done honesty, whether it is done negligen…

Vardhman Automobiles (P) Ltd., Gurgaon vs. ITO, Gurgaon

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

ITA 3995/DEL/2015[2011-12]Status: DisposedITAT Delhi21 May 2020AY 2011-12

Bench: Ms. Sushma Chowla, V.P & Shri Prashant Maharishi, Am आयकर अपील सं. / Ita Nos.3994 & 3995/Del/2015 "नधा"रण वष" / Assessment Year 2011-12 Vardhman Automobiles (P.) Ltd., Opposite Air Force School, Old Delhi Road, Gurgaon-122001. ..........अपीलाथ"/Appellant Pan-Aaccv6116D Vs The Ito, Tds Ward, …………. ""यथ" / Respondent Gurgaon.

For Appellant: Sh. Saurabh Rohtgi, CAFor Respondent: Sh. James Singson, Sr.DR
Section 2(22)(e)Section 201Section 201(1)

…आयकर अपील"य अ"धकरण, "द"ल" "यायपीठ “डी”, नई "द"ल" म" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘D’, NEW DELHI सु"ी सुषमा चावला, उपा"य" एवं "ी "शांत मह"ष", लेखा सद"य के सम" BEFORE MS. SUSHMA CHOWLA, V.P & SHRI PRASHANT MAHARISHI, AM आयकर अपील सं. / ITA Nos.3994 & 3995/Del/2015 "नधा"रण वष" / Assessment Year 2011-12 Vardhman Automobiles (P.) Ltd., Opposite Air Force School, Old Delhi Road, Gurgaon-122001. ..........अपीलाथ"/Appellant PAN-AACCV6116D vs The ITO, TDS Ward, …………. ""यथ" / Respondent Gurgaon. अपीलाथ" क" ओर से / Appellant by : Sh. Saurabh Rohtgi, CA ""यथ" क" ओर से / Respondent by : Sh. James Singson…

Surbhi Jain, Gurgaon vs. ITO, Gurgaon

In the result, the appeal of the assessee is allowed

ITA 3993/DEL/2015[2011-12]Status: DisposedITAT Delhi14 May 2020AY 2011-12

Bench: Ms. Sushma Chowla, V.P & Shri Prashant Maharishi, Am

For Appellant: Sh. Saurabh Rohtgi, CAFor Respondent: Sh. James Singson, Sr.DR
Section 154Section 2Section 2(22)(e)

…tself as to whether such transaction is covered in the definition of deemed dividend in the hands of the assessee u/s 2(22)(e) of the Act or not. The Tribunal held the issue to be covered by the decision of Praveen Bhimsi Chheda Shivsadan vs DCIT reported in 141 TTJ 58 against which the Hon’ble Bombay High Court in the case of CIT vs Pravin Bhimsi Chheda in 48 3 Assessment Year 2011-12 taxmann.com 151 (Bombay) has dismissed the appeal of the Revenue holding that when the company got back its funds on the same day, it cannot fall into the definition of the deemed dividend. 9. Following the same parity of reas…

Mary Kay Cosmetics Pvt. Ltd., Gurgaon vs. DCIT, Circle-16(1), New Delhi

In the result, the appeal of the assessee stands

ITA 7333/DEL/2018[2009-10]Status: DisposedITAT Delhi24 May 2019AY 2009-10

Bench: Shri G.D. Agrawal & Shri Sudhanshu Srivastavaassessment Year: 2009-10 Mary Kay Cosmetics Pvt. Ltd., Dy.Commissioner Of 837 & 838, Sector 38, Income Tax, Vs Opposite Huda Market, Circle 16(1), Gurgaon, Haryana-122001 New Delhi. Appellant Respondent Assessee By : Shri K.M. Gupta, Adv. Department By: Ms Rinku Singh, Sr. Dr Date Of Hearing : 28.02.2019 Date Of Pronouncement : 24.05.2019

For Appellant: Shri K.M. Gupta, AdvFor Respondent: Ms Rinku Singh, Sr. DR
Section 271(1)(c)Section 274Section 92C

…of the Act was applicable. It was submitted that the assessee had submitted all the requisite details in respect of its all international transactions. In this regard, reliance was placed on the following judgements: DCIT vs. RBS Equities India Ltd. [2011 ] 133 ITD 77 (Mum. • - Trib.) 5 ASSESSMENT YEAR 2009-10 ACIT vs. Boston Scientific India (P.) Ltd. [2016] l77 TTJ 729 • (Delhi - Trib.) Halcrow Consulting India (P) Ltd. [2018] 194 TTJ 329 • (Delhi - Trib.) 3.3.0 The Ld. AR also submitted that the adjustment made on account of Advertisement and Marketing Promotion (AMP) expense being an Internationa…

Vaibhav Global Limited, Jaipur vs. Assistant Commissioner of Income Tax, Circle-5, Jaipur

In the result, the penalty is directed to be deleted and appeal of the assessee is allowed

ITA 731/JPR/2018[2010-11]Status: DisposedITAT Jaipur19 Dec 2018AY 2010-11
For Appellant: Shri Vijay Mehta (C.A.) &For Respondent: Smt. Roli Agarwal (CIT)
Section 143(3)Section 271(1)(c)Section 92C

…, penalty cannot be levied: " DCIT v. Mastek Ltd. (ITA No. 2785 & 2786/Ahd/2013) " Mastek Ltd v. DCIT [2012] 28 taxmann.com 292 " Mitsui Prime Advanced Composites India (P) Ltd v. DCIT 178 TTJ 490 Vaibhav Global Ltd. vs. ACIT " CIT v. RBS Equities India Ltd. 133 ITD 77 28. It was further submitted that the appellant has disclosed all material facts and provided required information in the Form 3CEB filed by it disclosing provision of loans as an international transaction. Further, the appellant in its transfer pricing study report has substantiated the arm’s length price determined by it at NIL in accordance wi…

Vaibhav Global Limited, Jaipur vs. Assistant Commissioner of Income Tax, Circle-5, Jaipur

In the result, the penalty is directed to be deleted and appeal of the assessee is allowed

ITA 730/JPR/2018[2009-10]Status: DisposedITAT Jaipur19 Dec 2018AY 2009-10
For Appellant: Shri Vijay Mehta (C.A.) &For Respondent: Smt. Roli Agarwal (CIT)
Section 143(3)Section 271(1)(c)Section 92C

…, penalty cannot be levied: " DCIT v. Mastek Ltd. (ITA No. 2785 & 2786/Ahd/2013) " Mastek Ltd v. DCIT [2012] 28 taxmann.com 292 " Mitsui Prime Advanced Composites India (P) Ltd v. DCIT 178 TTJ 490 Vaibhav Global Ltd. vs. ACIT " CIT v. RBS Equities India Ltd. 133 ITD 77 28. It was further submitted that the appellant has disclosed all material facts and provided required information in the Form 3CEB filed by it disclosing provision of loans as an international transaction. Further, the appellant in its transfer pricing study report has substantiated the arm’s length price determined by it at NIL in accordance wi…

ACIT, New Delhi vs. Mrs. Seema Devi Bansal, New Delhi

In the result, the Revenue’s appeal stands dismissed

ITA 6462/DEL/2014[2010-11]Status: DisposedITAT Delhi18 Jul 2018AY 2010-11

Bench: Shri H.S. Sidhu & Shri Prashant Maharishi

For Appellant: Sh. Ved Jain, AdvFor Respondent: Sh. K. Tewari, Sr. DR
Section 142(1)Section 143(1)Section 143(3)Section 148Section 2Section 2(22)(e)

…e definition of deemed dividend in the hands of the assessee u/s. 2(22)(e) of the Act or not. The issue is squarely covered in favour of the Assessee by the decision of the Coordinate Bench in the case of Pravin Bhimsi Chheda Shivsadan vs. DCIT reported in 141 TTJ 58 against which the Hon’ble Bombay High Court in the case of CIT vs. Pravin Bhimsi Chheda in 48 taxmann.com 151 (Bombay) has not admitted the appeal of the Revenue holding that when the Company got back its funds on the same day, it cannot fall into the definition of the deemed dividend. Therefore, the issue is squarely covered in favour of the…

DCIT v. RBS Equities India Ltd. (141 TTJ 58) — Cited in 12 Judgments | BharatTax