E.I.D. Parry (India) Ltd. v. CIT

POCHJRAJA INDUSTRIES LTD.,HOSUR vs. ACIT, CIRCLE-1,, HOSUR

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

Bench: Hon’Ble Shri Manu Kumar Giri & Hon’Ble Shri Amitabh Shuklaआयकर अपील सं./Ita No.1072/Chny/2025 Assessment Years: 2013-14 Pochiraju Industries Limited, Assistant Commissioner Of No.1/102, Satyamangalam Village, Income Tax, Tummanapalli Post, Hosur, Circle-1(1), Tamil Nadu-635 102. Hosur. [Pan: Aaacp3640A] (प्रत्यर्थी/Respondent) (अपीलार्थी/Appellant) अपीलार्थी की ओर से/ Assessee By : Mr.T.S.Lakshmi Venkataraman, Fca प्रत्यर्थी की ओर से /Revenue By : Mr.Bipin C.N, Cit सुनवाई की तारीख/Date Of Hearing : 09.09.2025 घोषणा की तारीख /Date Of Pronouncement : 14.11.2025 आदेश / O R D E R Per Amitabh Shukla, A.M :

…n the order u/s 263. Accordingly, it was concluded that the impugned expenses claimed by the assessee cannot be allowed and deserved to be capitalized. In support of its conclusions, the Ld.AO placed reliance on the decision of Hon’ble Madras High Court as at 257 ITR 253 as relied by Ld.PCIT during revisionary proceedings. The order of the Ld.AO thus suffers from the basic deficiency of Ld.AO not conducting any independent enquiry of his own. The order of Ld.CIT(A) supra extracted hereinabove also indicates that the Ld.First Appellate Authority has fallen short of adequate discharge of his judicial responsibiliti…

SOUTHERN PETROCHEMICAL INDUSTRIES CORPORATION LTD.,CHENNAI vs. ITO, CORPORATE WARD-3(1) , CHENNAI

In the result, the appeal stands partly allowed in terms of our above order

Bench: Hon’Ble Shri Mahavir Singh, Vp & Hon’Ble Shri Manoj Kumar Aggarwal, Am आयकरअपील सं./ Ita No.170/Chny/2023 (िनधा)रण वष) / Assessment Year: 2003-04) M/S. Southern Petrochemical Income Tax Officer बनाम Industries Corporation Limited Corporate Ward-3(1) 88, Spic House, Mount Road, Guindy, Chennai-600 034. / Vs. Chennai-600 032. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aaacs-4668-K (अपीलाथ"/Appellant) : (" थ" / Respondent) अपीलाथ"कीओरसे/ Appellant By : Shri R. Vijayaraghavan & Shri Saroj Kumar Parida (Advocates)-Ld. Ars " थ"कीओरसे/Respondent By : Shri Nilay Baran Som (Cit) & Shri Ar V Sreenivasan (Addl. Cit)-Ld. Drs सुनवाईकीतारीख/Date Of Hearing : 16-10-2023 घोषणाकीतारीख /Date Of Pronouncement : 09-01-2024 आदेश / O R D E R

…ted 07.08.2018) wherein the assessee charged expenditure incurred on abandoned projects in Profit & Loss Account which was held by authorities to be capital losses. However, the Hon’ble Court, distinguishing the decision in the case of Eid Parry (India) Ltd. (257 ITR 253), observed that there may be several permutations and combinations that may arise for determining whether the expenditure is revenue or capital and each case must be dealt with on the broad principles as accepted by various courts. The Hon’ble Court further held that the unity of control, management and common fund is the decisive test and not th…

POCHIRAJU INDUSTRIES LIMITED,HOSUR vs. ACIT CIRCLE 1, HOSUR

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

Bench: Shri V. Durga Rao & Shri G. Manjunathaआयकर अपील सं./Ita No.: 1719/Chny/2018 िनधा"रण वष" / Assessment Year: 2013-14

…Y 2012-13 and the expenditure is in the nature of Pre- operative expenses. 5. On the facts and circumstances of the case the learned PCIT is not justified in applying the decision of the Madras High Court in the case of M/s E.I.D Parry (India) Ltd .Vs .CIF in 257 ITR 253 in which the facts are entirely different as compared to the case of the appellant.” 3. The brief facts of the case are that the assessee is engaged in manufacturing/production of pharmaceuticals has filed its return of income for the assessment year 2013-14 on 17.03.2013 declaring total loss of Rs. 12,29,41,011/-. The case has been selected for…

ACIT CORPORATE CIRCLE 5(2), CHENNAI vs. RUDRADEV AVIATION PVT. LTD., CHENNAI

Bench: Shri Mahavir Singhand Dr. M.L. Meenaआयकर अपील सं./Ita No.:2100/Chny/2017 िनधा"रण वष" /Assessment Years: 2012 – 13 The Acit, M/S. Rudradev Aviation Pvt. Corporate Circle – 5(2), V. Ltd., Chennai - 34. Rr Tower Iii, Thiru Vi Ka Indl. Estate, Guindy, Chennai – 600 032. Pan: Aadcr 3575R (अपीलाथ"/Appellant) (""यथ"/Respondent) & C.O. No.: 152/Chny/2017 (In I.T.A. No. 2100/Chny/2017 िनधा"रण वष" /Assessment Year: 2012 – 13 M/S. Rudradev Aviation Pvt. The Acit, Ltd., V. Corporate Circle – 5(2), Rr Tower Iii, Chennai - 34. Thiru Vi Ka Indl. Estate, Guindy, Chennai – 600 032. Pan: Aadcr 3575R राज" की ओर से /Revenue By : Shri Guru Bashyam, Cit "नधा"रती क" ओर से/Assessee By : Shri R. Venkatesh, Ca सुनवाई क" तार"ख/Date Of Hearing : 14.03.2022 घोषणा क" तार"ख/Date Of Pronouncement : 31.03.2022

…Restaurants (P) Ltd., vs. DCIT, [2013] 356 ITR 170 and also considered the decision of Hon’ble Apex Court in the case of Swadeshi Cotton Mills Co. Ltd., vs. CIT, [1967] 63 ITR 65 and the Hon’ble Jurisdictional High Court in the case of EID Parry (India) Ltd., 257 ITR 253. In view of the above, the AO disallowed the claim of loss by observing in para 6.6 as under:- “6.6 Under an hypothetical situation, that if the assessee were to receive the amounts paid or if the asset is delivered, such items would not certainly enter the P&L A/c., but will come into the Balance Sheet. Therefore, following the rationale clearly…

TAMILNADU INDUSTRIAL DEVELOPMENT CORPORATION LIMITED,CHENNAI vs. ACIT, CHENNAI

In the result, the assessee’s appeals in ITA Nos

Bench: Shri N.R.S. Ganesan & Shri S. Jayaraman

…penses written off of Rs. 12,11,673/-. 6.1 The CIT(A) ought to have appreciated that the main business of the appellant is promoting and developing Industries in the State of Tamilnadu. 6.2 The CIT(A) ought to have appreciated that the facts in EID parry case 257 ITR 253 is distinguishable. EID Parry is putting up its own" project and not promoting industries. 6.3 The CIT(A) erred in not following the Hon’ble Jurisdictional High Court in Appellant’s own case reported in 215 CTR 90 and Hon’ble Tribunal :-7-: ITA Nos. 1159 & 1160/Mds/2017 judgment in the appellant’s own case in ITA No. 1413 (Mds) 2000 dated 04.09…

TAMILNADU INDUSTRIAL DEVELOPMENT CORPORATION LIMITED,CHENNAI vs. ACIT, CHENNAI

In the result, the assessee’s appeals in ITA Nos

Bench: Shri N.R.S. Ganesan & Shri S. Jayaraman

…penses written off of Rs. 12,11,673/-. 6.1 The CIT(A) ought to have appreciated that the main business of the appellant is promoting and developing Industries in the State of Tamilnadu. 6.2 The CIT(A) ought to have appreciated that the facts in EID parry case 257 ITR 253 is distinguishable. EID Parry is putting up its own" project and not promoting industries. 6.3 The CIT(A) erred in not following the Hon’ble Jurisdictional High Court in Appellant’s own case reported in 215 CTR 90 and Hon’ble Tribunal :-7-: ITA Nos. 1159 & 1160/Mds/2017 judgment in the appellant’s own case in ITA No. 1413 (Mds) 2000 dated 04.09…