Eastern Investments Ltd. v. CIT

M/S Yum Restaurants (India) Pvt. Ltd., Gurgaon vs. ITO, New Delhi

In the result, appeal of the Revenue is dismissed and CO of the assessee is allowed

Bench: Shri Vikas Awasthy & Shri S Rifaur Rahmanआअसं.1977/धिल्ली/2013(नि.व. 2009-10) Sahara India Commercial Corporation Ltd., Sahara India Sadan, 2A, Shakespeare Sarani, Kolkata 700071 ...... अपीलार्थी/Appellant Pan: Aadcs-6118-F बिाम Vs. Deputy Commissioner Of Income Tax, Central Circle-6, R. No. 334, E-2, Ara, ..... प्रनिवादी/Respondent Centre Jhandewalan Extn. New Delhi आअसं.4728, 2795, 4729, 4730 और 4731/धिल्ली/2017(नि.व. 2010-11 से 2014-15)

…indirect benefits have occured to the third party. In support of the submission, the reliance is placed on following decision CIT vs. Chandulal 15 Sahara India Commercial Corporation Ltd. ITA No. 1977/DEL/2013 (A.Y.2009-10) & Other Appeals Keshavlal & Co, 38 ITR 601 (SC); & Pepsico India Holdings vs. Addl. CIT, 100 taxmann.com 159 (Del. ITAT). 13.2. In so far as, total quantum of advertisement expenditure in the form of sponsorship fee paid to the BCCI, the same is not in dispute. It is only the apportionment of the expenditure amongst the Sahara Group entities which is subject matter of dispute. The assesse…

Commissioner of Income Tax vs. Benetton India Pvt. Ltd

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…to the assessee as to how he should conduct his business and it is not for them to tell the assessee as to what expenditure the assessee can incur. We may refer to a few of these authorities to elucidate the point. In Eastern Investment Ltd. v. CIT (1951) 20 ITR 1 (SC), it was held by the Supreme Court that "there are usually many ways in which a given thing can be brought about in business circles but it is not for the Court to decide which of them should have been employed when the Court is deciding a question under Section 12(2) of the Income Tax Act”. It was further held in this case that "it is not…

Mehrunnisan Sherwani, Okhla vs. Income Tax Officer W 28(1), Delhi

In the result, appeal of the Revenue is dismissed and CO of the assessee is allowed

Bench: Shri Vikas Awasthy & Shri S Rifaur Rahmanआअसं.1977/धिल्ली/2013(नि.व. 2009-10) Sahara India Commercial Corporation Ltd., Sahara India Sadan, 2A, Shakespeare Sarani, Kolkata 700071 ...... अपीलार्थी/Appellant Pan: Aadcs-6118-F बिाम Vs. Deputy Commissioner Of Income Tax, Central Circle-6, R. No. 334, E-2, Ara, ..... प्रनिवादी/Respondent Centre Jhandewalan Extn. New Delhi आअसं.4728, 2795, 4729, 4730 और 4731/धिल्ली/2017(नि.व. 2010-11 से 2014-15)

…indirect benefits have occured to the third party. In support of the submission, the reliance is placed on following decision CIT vs. Chandulal 15 Sahara India Commercial Corporation Ltd. ITA No. 1977/DEL/2013 (A.Y.2009-10) & Other Appeals Keshavlal & Co, 38 ITR 601 (SC); & Pepsico India Holdings vs. Addl. CIT, 100 taxmann.com 159 (Del. ITAT). 13.2. In so far as, total quantum of advertisement expenditure in the form of sponsorship fee paid to the BCCI, the same is not in dispute. It is only the apportionment of the expenditure amongst the Sahara Group entities which is subject matter of dispute. The assesse…

Cosmic Informatics Pvt. Ltd., New Delhi vs. ACIT Central Circle - 2, New Delhi

In the result, appeal of the Revenue in appeal No

Bench: Shri Sudhir Kumar & Shri Manish Agarwalita No.2442 To 2445/Del/2023 (Assessment Years 2013-14 To 2016-17) Dcit, Lotus Herbals Pvt. Ltd., Cc-20, Delhi. Room No.269A, 2 Nd Floor, Ara Vs. Centre, E-2, Jhandewalan, New Delhi-110055. Pan-Aaacl0198F (Appellant) (Respondent) Assessee By Shri Rohit Jain, Adv. & Shri Shivam Gupta, Ca Department By Sh. Mukesh Jha, Cit Dr & Ms. Pooja Swroop, Cit-Dr 29.09.2025 Date Of Hearing Date Of Pronouncement 23.12.2025 O R D E R Per Manish Agarwal, Am: These Are Five Appeals Filed By The Revenue Against The Separate Orders Of Learned Commissioner Of Income Tax (Appeals)-27, New Delhi. All Are Dated 12.06.2023 For Assessment Years As Tabulated As Under:

…erns, then also no disallowance of such AMP Expenses could have been made in the hands of the assessee. Reliance in this regard is placed on the following decisions: - Sassoon J. David and Co. P. Ltd. v. CIT: 118 ITR 261 (SC) - CIT, Chandulal Keshavial & Co.: 38 ITR 601 (SC) - Nestle India Ltd DCTT: 111 TTJ 498 (Del) CITY. Samsung India Electronics Ltd.: (2014) 42 taxmann.com 498 (Delhi) - CITY. Adidas India Marketing (P) Ltd.: 195 Taxman 256 (Del) - CIT v. Agra Beverages Corporation (P) Ltd.: ITA No.966 of 2009 (Del HC) - Sony Ericsson Mobile Communication India (P) Ltd V. CIT: 374 ITR 118 (Del) - Sony India (1)…

Cosmic Informatics Pvt. Ltd., New Delhi vs. ACIT Central Circle - 2, New Delhi

In the result, appeal of the Revenue in appeal No

Bench: Shri Sudhir Kumar & Shri Manish Agarwalita No.2442 To 2445/Del/2023 (Assessment Years 2013-14 To 2016-17) Dcit, Lotus Herbals Pvt. Ltd., Cc-20, Delhi. Room No.269A, 2 Nd Floor, Ara Vs. Centre, E-2, Jhandewalan, New Delhi-110055. Pan-Aaacl0198F (Appellant) (Respondent) Assessee By Shri Rohit Jain, Adv. & Shri Shivam Gupta, Ca Department By Sh. Mukesh Jha, Cit Dr & Ms. Pooja Swroop, Cit-Dr 29.09.2025 Date Of Hearing Date Of Pronouncement 23.12.2025 O R D E R Per Manish Agarwal, Am: These Are Five Appeals Filed By The Revenue Against The Separate Orders Of Learned Commissioner Of Income Tax (Appeals)-27, New Delhi. All Are Dated 12.06.2023 For Assessment Years As Tabulated As Under:

…erns, then also no disallowance of such AMP Expenses could have been made in the hands of the assessee. Reliance in this regard is placed on the following decisions: - Sassoon J. David and Co. P. Ltd. v. CIT: 118 ITR 261 (SC) - CIT, Chandulal Keshavial & Co.: 38 ITR 601 (SC) - Nestle India Ltd DCTT: 111 TTJ 498 (Del) CITY. Samsung India Electronics Ltd.: (2014) 42 taxmann.com 498 (Delhi) - CITY. Adidas India Marketing (P) Ltd.: 195 Taxman 256 (Del) - CIT v. Agra Beverages Corporation (P) Ltd.: ITA No.966 of 2009 (Del HC) - Sony Ericsson Mobile Communication India (P) Ltd V. CIT: 374 ITR 118 (Del) - Sony India (1)…

Avtec Ltd., New Delhi vs. DCIT (Ltu), Circle-1, New Delhi

In the result, the appeal of the assessee is allowed

Bench: Shri Vikas Awasthy & Shri Naveen Chandra

…lowed expenditure. For this contention, he relied on the decision of the Hon'ble Supreme Court in the case of Delhi Safe Deposit Co. Ltd. [133 ITR 756] (SC). The ld. counsel for the assessee relied on the decision in the case of CIT v ChandulalKeshavlal& Co 38 ITR 601 wherein it has been held that “If the expenditure is incurred for the purpose of trade of the assessee and it does not matter thatpayment may enure for the benefit of third party, is allowed.” The ld AR also relied on the case of ACIT vs. Chhattisgarh Steel & Power Ltd. [2023] 156 Taxmann 606 (Raipur-Tri), where it has been held that gift expe…

Avtec Ltd., New Delhi vs. ACIT (Ltu), Circle-1, New Delhi

In the result, the appeal of the assessee is allowed

Bench: Shri Vikas Awasthy & Shri Naveen Chandra

…lowed expenditure. For this contention, he relied on the decision of the Hon'ble Supreme Court in the case of Delhi Safe Deposit Co. Ltd. [133 ITR 756] (SC). The ld. counsel for the assessee relied on the decision in the case of CIT v ChandulalKeshavlal& Co 38 ITR 601 wherein it has been held that “If the expenditure is incurred for the purpose of trade of the assessee and it does not matter thatpayment may enure for the benefit of third party, is allowed.” The ld AR also relied on the case of ACIT vs. Chhattisgarh Steel & Power Ltd. [2023] 156 Taxmann 606 (Raipur-Tri), where it has been held that gift expe…

Avtec Ltd., New Delhi vs. DCIT (Ltu), Circle-1, New Delhi

In the result, the appeal of the assessee is allowed

Bench: Shri Vikas Awasthy & Shri Naveen Chandra

…lowed expenditure. For this contention, he relied on the decision of the Hon'ble Supreme Court in the case of Delhi Safe Deposit Co. Ltd. [133 ITR 756] (SC). The ld. counsel for the assessee relied on the decision in the case of CIT v ChandulalKeshavlal& Co 38 ITR 601 wherein it has been held that “If the expenditure is incurred for the purpose of trade of the assessee and it does not matter thatpayment may enure for the benefit of third party, is allowed.” The ld AR also relied on the case of ACIT vs. Chhattisgarh Steel & Power Ltd. [2023] 156 Taxmann 606 (Raipur-Tri), where it has been held that gift expe…

Avtec Ltd., New Delhi vs. ACIT (Ltu), Circle-1, New Delhi

In the result, the appeal of the assessee is allowed

Bench: Shri Vikas Awasthy & Shri Naveen Chandra

…lowed expenditure. For this contention, he relied on the decision of the Hon'ble Supreme Court in the case of Delhi Safe Deposit Co. Ltd. [133 ITR 756] (SC). The ld. counsel for the assessee relied on the decision in the case of CIT v ChandulalKeshavlal& Co 38 ITR 601 wherein it has been held that “If the expenditure is incurred for the purpose of trade of the assessee and it does not matter thatpayment may enure for the benefit of third party, is allowed.” The ld AR also relied on the case of ACIT vs. Chhattisgarh Steel & Power Ltd. [2023] 156 Taxmann 606 (Raipur-Tri), where it has been held that gift expe…

Avtec Ltd., New Delhi vs. ACIT (Ltu), Circle-1, New Delhi

In the result, the appeal of the assessee is allowed

Bench: Shri Vikas Awasthy & Shri Naveen Chandra

…lowed expenditure. For this contention, he relied on the decision of the Hon'ble Supreme Court in the case of Delhi Safe Deposit Co. Ltd. [133 ITR 756] (SC). The ld. counsel for the assessee relied on the decision in the case of CIT v ChandulalKeshavlal& Co 38 ITR 601 wherein it has been held that “If the expenditure is incurred for the purpose of trade of the assessee and it does not matter thatpayment may enure for the benefit of third party, is allowed.” The ld AR also relied on the case of ACIT vs. Chhattisgarh Steel & Power Ltd. [2023] 156 Taxmann 606 (Raipur-Tri), where it has been held that gift expe…

Avtec Ltd., New Delhi vs. DCIT (Ltu), New Delhi

In the result, the appeal of the assessee is allowed

Bench: Shri Vikas Awasthy & Shri Naveen Chandra

…lowed expenditure. For this contention, he relied on the decision of the Hon'ble Supreme Court in the case of Delhi Safe Deposit Co. Ltd. [133 ITR 756] (SC). The ld. counsel for the assessee relied on the decision in the case of CIT v ChandulalKeshavlal& Co 38 ITR 601 wherein it has been held that “If the expenditure is incurred for the purpose of trade of the assessee and it does not matter thatpayment may enure for the benefit of third party, is allowed.” The ld AR also relied on the case of ACIT vs. Chhattisgarh Steel & Power Ltd. [2023] 156 Taxmann 606 (Raipur-Tri), where it has been held that gift expe…

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

In the result, the appeal of the assessee is allowed

Bench: Shri Vikas Awasthy & Shri Naveen Chandra

…lowed expenditure. For this contention, he relied on the decision of the Hon'ble Supreme Court in the case of Delhi Safe Deposit Co. Ltd. [133 ITR 756] (SC). The ld. counsel for the assessee relied on the decision in the case of CIT v ChandulalKeshavlal& Co 38 ITR 601 wherein it has been held that “If the expenditure is incurred for the purpose of trade of the assessee and it does not matter thatpayment may enure for the benefit of third party, is allowed.” The ld AR also relied on the case of ACIT vs. Chhattisgarh Steel & Power Ltd. [2023] 156 Taxmann 606 (Raipur-Tri), where it has been held that gift expe…

ITO, Ward-2(4), New Delhi vs. Antheia Constructions P.Ltd, New Delhi

In the result, both the appeals filed by the Revenue are dismissed

Bench: Shri Saktijit Dey, Hon’Ble & Shri S.Rifaur Rahman

…of the board of directors and assume the role to decide how much is reasonable expenditure having regard to the circumstances of the case." The appellant has also relied upon the judgment of Hon'ble Supreme Court in the case of Eastern Investment Ltd. vs. CIT 20 ITR 1 (SC) wherein it is held that determining factor of commercial expediency has to be seen from point of businessman and not of revenue. Every businessman knows his interest best and what has to be incurred or not whether it is allowable or not has to be seen from the point of a prudent businessman. It was not necessary for the purpose of allowability…

ITO, New Delhi vs. M/S Antheia Constructions Pvt. Ltd., New Delhi

In the result, both the appeals filed by the Revenue are dismissed

Bench: Shri Saktijit Dey, Hon’Ble & Shri S.Rifaur Rahman

…of the board of directors and assume the role to decide how much is reasonable expenditure having regard to the circumstances of the case." The appellant has also relied upon the judgment of Hon'ble Supreme Court in the case of Eastern Investment Ltd. vs. CIT 20 ITR 1 (SC) wherein it is held that determining factor of commercial expediency has to be seen from point of businessman and not of revenue. Every businessman knows his interest best and what has to be incurred or not whether it is allowable or not has to be seen from the point of a prudent businessman. It was not necessary for the purpose of allowability…