Godhra Electricity Co. Ltd. v. CIT

225 ITR 746Supreme Court of India1997#130 most cited

What is Godhra Electricity Co. Ltd. v. CIT authority for?

Income is not taxable until it actually accrues or is received; hypothetical income, based on a mere claim not yet settled, is not chargeable to tax.

514

judgments rely on this decision, according to BharatTax’s citation analysis of 367,164 Indian tax judgments — from 2009 to 2026.

Also referred to as

Godhra Electricity Co. Ltd. v. CIT · income accrual · hypothetical income · actual receipt · unconfirmed claims · income tax

Sections most often in play

Section 143(3)Section 147Section 148Section 14ASection 40A(3)Section 37(1)Section 142(2A)Section 153A

Issues it is cited on

section 10(31a)section 100section 76undisclosed foreign income and assetssection 142(2c)section 149(1)(c)section 4(2)section 153b(1)(b)section 201(3)section 158basection 153b(1)rectification under section 154

Judgments citing Godhra Electricity Co. Ltd. v. CIT

DCIT, Circle - 35, Kolkata vs. M/S. Kolkata Port Trust, Kolkata

In the result, all the appeals of the assessee are partly allowed and COs of the assessee are dismissed and all the appeals of the revenue are dismissed

ITA 452/KOL/2018[2014-15]Status: DisposedITAT Kolkata21 Feb 2020AY 2014-15

Bench: Shri A. T. Varkey, Jm & Dr. A.L. Saini, Am]

Section 271(1)(c)Section 274

…will be treated as a revenue receipt and taxed in accordance to law. Coming to this conclusion, we also apply the real income theory which is propounded in CIT Vs. M/s. Shoorji Vallabhdas & Co. (1962) 46 ITR 144 and Godhra Electricity Co. Ltd. Vs. CIT (1997) 225 ITR 746 and since no real income has arisen for the assessee in the year under consideration in respect of the sum of Rs.101 cr. (unrealised portion of the compensation) this amount need not be taxed in this assessment year, and we order accordingly. For this, we also rely on the decision of the Hon’ble Bombay High Court in the case of DSL Enterprises (P…

Kolkata Port Trust, Kolkata vs. ACIT, Circle - 35, Kolkata

In the result, all the appeals of the assessee are partly allowed and COs of the assessee are dismissed and all the appeals of the revenue are dismissed

ITA 369/KOL/2018[2014-15]Status: DisposedITAT Kolkata21 Feb 2020AY 2014-15

Bench: Shri A. T. Varkey, Jm & Dr. A.L. Saini, Am]

Section 271(1)(c)Section 274

…will be treated as a revenue receipt and taxed in accordance to law. Coming to this conclusion, we also apply the real income theory which is propounded in CIT Vs. M/s. Shoorji Vallabhdas & Co. (1962) 46 ITR 144 and Godhra Electricity Co. Ltd. Vs. CIT (1997) 225 ITR 746 and since no real income has arisen for the assessee in the year under consideration in respect of the sum of Rs.101 cr. (unrealised portion of the compensation) this amount need not be taxed in this assessment year, and we order accordingly. For this, we also rely on the decision of the Hon’ble Bombay High Court in the case of DSL Enterprises (P…

Kolkata Port Trust, Kolkata vs. ACIT, Circle - 35, Kolkata

In the result, all the appeals of the assessee are partly allowed and COs of the assessee are dismissed and all the appeals of the revenue are dismissed

ITA 368/KOL/2018[2013-14]Status: DisposedITAT Kolkata21 Feb 2020AY 2013-14

Bench: Shri A. T. Varkey, Jm & Dr. A.L. Saini, Am]

Section 271(1)(c)Section 274

…will be treated as a revenue receipt and taxed in accordance to law. Coming to this conclusion, we also apply the real income theory which is propounded in CIT Vs. M/s. Shoorji Vallabhdas & Co. (1962) 46 ITR 144 and Godhra Electricity Co. Ltd. Vs. CIT (1997) 225 ITR 746 and since no real income has arisen for the assessee in the year under consideration in respect of the sum of Rs.101 cr. (unrealised portion of the compensation) this amount need not be taxed in this assessment year, and we order accordingly. For this, we also rely on the decision of the Hon’ble Bombay High Court in the case of DSL Enterprises (P…

Kolkata Port Trust, Kolkata vs. JCIT, Range - 35, Kolkata

In the result, all the appeals of the assessee are partly allowed and COs of the assessee are dismissed and all the appeals of the revenue are dismissed

ITA 367/KOL/2018[2012-13]Status: DisposedITAT Kolkata21 Feb 2020AY 2012-13

Bench: Shri A. T. Varkey, Jm & Dr. A.L. Saini, Am]

Section 271(1)(c)Section 274

…will be treated as a revenue receipt and taxed in accordance to law. Coming to this conclusion, we also apply the real income theory which is propounded in CIT Vs. M/s. Shoorji Vallabhdas & Co. (1962) 46 ITR 144 and Godhra Electricity Co. Ltd. Vs. CIT (1997) 225 ITR 746 and since no real income has arisen for the assessee in the year under consideration in respect of the sum of Rs.101 cr. (unrealised portion of the compensation) this amount need not be taxed in this assessment year, and we order accordingly. For this, we also rely on the decision of the Hon’ble Bombay High Court in the case of DSL Enterprises (P…

The Dy. Commissioner of Income Tax, Circle-1(1)(1), Ahmedabad vs. M/S. Asian Granito India Ltd., Ahmedabad

In the result, the appeal of the Revenue is dismissed

ITA 2451/AHD/2016[2013-14]Status: DisposedITAT Ahmedabad23 Oct 2019AY 2013-14
For Appellant: Shri Ankit Talsania, A.RFor Respondent: Shri O.P. Sharma, C.I.T.DR
Section 10(34)Section 115JSection 14A

…1(Cochin) (e) ShoorjiVallabhdash& Co 46 ITR 144 (SC) (f) CIT v ChamanlalMangaldas& Co. 39 ITR 8 (SC) (g) CIT v Birla GawaliorLtd 89 ITR 266 (SC) Page 14 of 36 ITA nos.1517 & 2451/AHD/2016 Asstt. Years 2012-13 & 2013-14 (h) Godhra Electricity Co. Ltd. v CIT 225 ITR 746 (SC) 13.3 The assessee also claimed that the information gathered by the AO from the public domain and used against the assessee for alleging the suppression of the production and sale of such production outside the books, was not provided for the rebuttal. Thus any information used against the assessee without confronting the same cannot be the…

The Dy. Commissioner of Income Tax, Circle-1(1)(1), Ahmedabad vs. M/S. Asian Granito India Ltd., Ahmedabad

In the result, the appeal of the Revenue is dismissed

ITA 1517/AHD/2016[2012-13]Status: DisposedITAT Ahmedabad23 Oct 2019AY 2012-13
For Appellant: Shri Ankit Talsania, A.RFor Respondent: Shri O.P. Sharma, C.I.T.DR
Section 10(34)Section 115JSection 14A

…1(Cochin) (e) ShoorjiVallabhdash& Co 46 ITR 144 (SC) (f) CIT v ChamanlalMangaldas& Co. 39 ITR 8 (SC) (g) CIT v Birla GawaliorLtd 89 ITR 266 (SC) Page 14 of 36 ITA nos.1517 & 2451/AHD/2016 Asstt. Years 2012-13 & 2013-14 (h) Godhra Electricity Co. Ltd. v CIT 225 ITR 746 (SC) 13.3 The assessee also claimed that the information gathered by the AO from the public domain and used against the assessee for alleging the suppression of the production and sale of such production outside the books, was not provided for the rebuttal. Thus any information used against the assessee without confronting the same cannot be the…

M/S. Trust Marketing, Jaipur vs. Assistant Commissioner of Income Tax, Circle-6, Jaipur

In the result, appeal of the assessee is allowed

ITA 742/JPR/2019[2016-17]Status: DisposedITAT Jaipur02 Oct 2019AY 2016-17
For Appellant: Shri Ved Jain (CA)For Respondent: Shri Varinder Mehta (CIT)
Section 27(1)(a)Section 41(1)

…are actually imported and made available for clearance. The benefits represent, at best, a hypothetical income which may or may not materialise and its money value is therefore not the income of the assessee. 22. In Godhra Electricity Co. Ltd. v. CIT, [1997] 225 ITR 746/91 Taxman 351 (SC) this Court reiterated the view taken in Shoorji Vallabhdas & Co. (supra)and Morvi Industries Ltd. (supra). 23. Godhra Electricity is rather instructive. In that case, it was noted that the High Court held that the assessee would be obliged to pay tax when the profit became actually due and that income could not be said to have…

The Indian Hotels Company Ltd, Mumbai vs. DCIT (Osdz0 Cir 2(2), Mumbai

In the result the appeal of the assessee is partly allowed

ITA 9087/MUM/2010[2006-07]Status: DisposedITAT Mumbai06 Sept 2019AY 2006-07

Bench: Shri G.S. Pannu & Shri Pawan Singhthe Indian Hotels Company Ltd, Vs Dy.Cit (Osd), Circle 2(2), Mandlik House, Mandlik Road, Mumbai Colaba, Mumbai-400 001 Pan : Aaact3957G Appellant Respondednt Appellant By Shri Kanchun Kaushal & Aliasgar Rampurawala Ar’S Respondent By Shri Anand Mohan Cit-Dr Date Of Hearing 17-06-2019 Date Of Pronouncement 06-09-2019

Section 143(3)Section 253Section 254(1)

…r under consideration. For this proposition he relied upon the following judgements:- 1. UCO Bank Ltd and Tamil Nadu Industrial Investment Corporation Ltd (237 ITR 889)(SC) 2. Mercantile Bank Ltd vs CIT (283 ITR 84)(SC) 3. Godhra Electricity Company vs CIT (225 ITR 746 (SC) 4. CIT Vs Sridev Enterprises 192 ITR 165 (Kar) 39. On the other hand, the Ld. DR for the revenue supported the order of lower authorities. 40. We have considered the submissions of the ld. representatives of the parties and have gone through the orders of the lower authorities. The AO while passing the draft assessment order made addition…

M/S Nokia Corporation, New Delhi vs. ADIT, New Delhi

In the result, appeals of the assessee on the grounds- a

ITA 5819/DEL/2010[2007-08]Status: DisposedITAT Delhi02 Sept 2019AY 2007-08

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ion has been well settled by Hon'ble Supreme Court in the case of E.D. Sassoon Co. Ltd. v. CIT [1954] 26 ITR 27, CIT v. Ashokbhai Chaamanbhai [1965] 56 ITR 42, CIT v. Shoorji Vallabhdas and Co. [1962] 46 ITR 144 and Godhara Electricity Co. Ltd. v. CIT, [1997] 225 ITR 746/91 Taxman 351. Further, the judgment of Hon'ble Supreme Court in the case of ITA Nos. 1006 to 1008, 1236 42 to 1238 & 5819/Del/2010 Nokia Corporation State Bank of Travancore, (supra) which has been relied upon by the ld. CIT (A), has not been treated to be correct enunciation of law by the Hon'ble Supreme Court in the case of Godhara Electric…

ADIT, New Delhi vs. Nokia Corportion, Gurgaon

In the result, appeals of the assessee on the grounds- a

ITA 1237/DEL/2010[2005-06]Status: DisposedITAT Delhi02 Sept 2019AY 2005-06

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ion has been well settled by Hon'ble Supreme Court in the case of E.D. Sassoon Co. Ltd. v. CIT [1954] 26 ITR 27, CIT v. Ashokbhai Chaamanbhai [1965] 56 ITR 42, CIT v. Shoorji Vallabhdas and Co. [1962] 46 ITR 144 and Godhara Electricity Co. Ltd. v. CIT, [1997] 225 ITR 746/91 Taxman 351. Further, the judgment of Hon'ble Supreme Court in the case of ITA Nos. 1006 to 1008, 1236 42 to 1238 & 5819/Del/2010 Nokia Corporation State Bank of Travancore, (supra) which has been relied upon by the ld. CIT (A), has not been treated to be correct enunciation of law by the Hon'ble Supreme Court in the case of Godhara Electric…

ADIT, New Delhi vs. Nokia Corportion, Gurgaon

In the result, appeals of the assessee on the grounds- a

ITA 1236/DEL/2010[2004-05]Status: DisposedITAT Delhi02 Sept 2019AY 2004-05

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ion has been well settled by Hon'ble Supreme Court in the case of E.D. Sassoon Co. Ltd. v. CIT [1954] 26 ITR 27, CIT v. Ashokbhai Chaamanbhai [1965] 56 ITR 42, CIT v. Shoorji Vallabhdas and Co. [1962] 46 ITR 144 and Godhara Electricity Co. Ltd. v. CIT, [1997] 225 ITR 746/91 Taxman 351. Further, the judgment of Hon'ble Supreme Court in the case of ITA Nos. 1006 to 1008, 1236 42 to 1238 & 5819/Del/2010 Nokia Corporation State Bank of Travancore, (supra) which has been relied upon by the ld. CIT (A), has not been treated to be correct enunciation of law by the Hon'ble Supreme Court in the case of Godhara Electric…

M/S. Nokia Corporation (Formerly Nokia Networks Oy), New Delhi vs. ACIT, New Delhi

In the result, appeals of the assessee on the grounds- a

ITA 1007/DEL/2010[2005-06]Status: DisposedITAT Delhi02 Sept 2019AY 2005-06

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ion has been well settled by Hon'ble Supreme Court in the case of E.D. Sassoon Co. Ltd. v. CIT [1954] 26 ITR 27, CIT v. Ashokbhai Chaamanbhai [1965] 56 ITR 42, CIT v. Shoorji Vallabhdas and Co. [1962] 46 ITR 144 and Godhara Electricity Co. Ltd. v. CIT, [1997] 225 ITR 746/91 Taxman 351. Further, the judgment of Hon'ble Supreme Court in the case of ITA Nos. 1006 to 1008, 1236 42 to 1238 & 5819/Del/2010 Nokia Corporation State Bank of Travancore, (supra) which has been relied upon by the ld. CIT (A), has not been treated to be correct enunciation of law by the Hon'ble Supreme Court in the case of Godhara Electric…

ADIT, New Delhi vs. Nokia Corportion, Gurgaon

In the result, appeals of the assessee on the grounds- a

ITA 1238/DEL/2010[2006-07]Status: DisposedITAT Delhi02 Sept 2019AY 2006-07

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ion has been well settled by Hon'ble Supreme Court in the case of E.D. Sassoon Co. Ltd. v. CIT [1954] 26 ITR 27, CIT v. Ashokbhai Chaamanbhai [1965] 56 ITR 42, CIT v. Shoorji Vallabhdas and Co. [1962] 46 ITR 144 and Godhara Electricity Co. Ltd. v. CIT, [1997] 225 ITR 746/91 Taxman 351. Further, the judgment of Hon'ble Supreme Court in the case of ITA Nos. 1006 to 1008, 1236 42 to 1238 & 5819/Del/2010 Nokia Corporation State Bank of Travancore, (supra) which has been relied upon by the ld. CIT (A), has not been treated to be correct enunciation of law by the Hon'ble Supreme Court in the case of Godhara Electric…

M/S. Nokia Corporation (Formerly Nokia Networks Oy), New Delhi vs. ACIT, New Delhi

In the result, appeals of the assessee on the grounds- a

ITA 1008/DEL/2010[2006-07]Status: DisposedITAT Delhi02 Sept 2019AY 2006-07

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ion has been well settled by Hon'ble Supreme Court in the case of E.D. Sassoon Co. Ltd. v. CIT [1954] 26 ITR 27, CIT v. Ashokbhai Chaamanbhai [1965] 56 ITR 42, CIT v. Shoorji Vallabhdas and Co. [1962] 46 ITR 144 and Godhara Electricity Co. Ltd. v. CIT, [1997] 225 ITR 746/91 Taxman 351. Further, the judgment of Hon'ble Supreme Court in the case of ITA Nos. 1006 to 1008, 1236 42 to 1238 & 5819/Del/2010 Nokia Corporation State Bank of Travancore, (supra) which has been relied upon by the ld. CIT (A), has not been treated to be correct enunciation of law by the Hon'ble Supreme Court in the case of Godhara Electric…

M/S. Nokia Corporation (Formerly Nokia Networks Oy), New Delhi vs. ACIT, New Delhi

In the result, appeals of the assessee on the grounds- a

ITA 1006/DEL/2010[2004-05]Status: DisposedITAT Delhi02 Sept 2019AY 2004-05

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ion has been well settled by Hon'ble Supreme Court in the case of E.D. Sassoon Co. Ltd. v. CIT [1954] 26 ITR 27, CIT v. Ashokbhai Chaamanbhai [1965] 56 ITR 42, CIT v. Shoorji Vallabhdas and Co. [1962] 46 ITR 144 and Godhara Electricity Co. Ltd. v. CIT, [1997] 225 ITR 746/91 Taxman 351. Further, the judgment of Hon'ble Supreme Court in the case of ITA Nos. 1006 to 1008, 1236 42 to 1238 & 5819/Del/2010 Nokia Corporation State Bank of Travancore, (supra) which has been relied upon by the ld. CIT (A), has not been treated to be correct enunciation of law by the Hon'ble Supreme Court in the case of Godhara Electric…

The ACIT, Ernakulam vs. M/S.Nitta Gelatine India Ltd, Cochin

In the result, the appeal of the Revenue in ITA No

ITA 301/COCH/2017[2009-10]Status: DisposedITAT Cochin29 Aug 2019AY 2009-10

Bench: S/Shri Chandra Poojari, Am & George George K., Jm

Section 143(3)Section 253(1)Section 32Section 40A(3)

…. Nos. 301 & 303/Coch/2017 1961, would be inapplicable to the facts and circumstances of the case. (CIT Vs.Shoorji Vallabhdas & Co.(1962) 46 TTR 144(SC), Morvi Industries Ltd vs. CIT(Central) (1971) 82 FTR 835 (SC) and Godhra Electricity Co. Ltd Vs.CIT (1997) 225 ITR 746(SC) applied).” 31.1 The Supreme Court also held that since the assessee derives the benefit in a subsequent year, the said benefit will be offered for tax and therefore the department is not deprived of any tax. The rate of tax remains the same in the subsequent year. Therefore, department had not been deprived of any tax. In other words, the D…

The ACIT, Cochin vs. M/S.Nitta Gelatine India Ltd, Cochin

In the result, the appeal of the Revenue in ITA No

ITA 303/COCH/2017[2010-11]Status: DisposedITAT Cochin23 Aug 2019AY 2010-11

Bench: S/Shri Chandra Poojari, Am & George George K., Jm

Section 143(3)Section 253(1)Section 32Section 40A(3)

…. Nos. 301 & 303/Coch/2017 1961, would be inapplicable to the facts and circumstances of the case. (CIT Vs.Shoorji Vallabhdas & Co.(1962) 46 TTR 144(SC), Morvi Industries Ltd vs. CIT(Central) (1971) 82 FTR 835 (SC) and Godhra Electricity Co. Ltd Vs.CIT (1997) 225 ITR 746(SC) applied).” 31.1 The Supreme Court also held that since the assessee derives the benefit in a subsequent year, the said benefit will be offered for tax and therefore the department is not deprived of any tax. The rate of tax remains the same in the subsequent year. Therefore, department had not been deprived of any tax. In other words, the D…

DCIT, Circle- 62(1), New Delhi vs. L&T Sucg Jv CC27, New Delhi

In the result, appeal of the Department is dismissed

ITA 4457/DEL/2018[2014-15]Status: DisposedITAT Delhi10 Jul 2019AY 2014-15

Bench: Shri Bhavnesh Saini & Shri O.P. Kant

For Appellant: Shri Saurabh Goel, C.As And Shri Nirbhay MehtaFor Respondent: Shri J.K. Mishra, CIT-DR

…me which is not received or accrued to the assessee. We rely upon Judgments of Hon’ble Supreme Court in the cases of Sutlez Cotton Mills vs. CIT 116 ITR 1 (SC); Tuticorin Alcali Chemicals and Fertilizers Ltd., 227 ITR 172 (SC) and Godhra Electricity Co. Ltd., 225 ITR 746 (SC). If this addition is considered in assessment year under appeal and stock position is taken differently, it has to be given effect in closing stock of this year, resultantly, opening stock of next assessment year would be enhanced by same amount. It would be tax neutral exercise only. The explanation of assessee is accepted that there was no…

L&T Sucg Jv CC27, New Delhi vs. Addl.CIT, Range-62, New Delhi

In the result, appeal of the Department is dismissed

ITA 4351/DEL/2018[2014-15]Status: DisposedITAT Delhi10 Jul 2019AY 2014-15

Bench: Shri Bhavnesh Saini & Shri O.P. Kant

For Appellant: Shri Saurabh Goel, C.As And Shri Nirbhay MehtaFor Respondent: Shri J.K. Mishra, CIT-DR

…me which is not received or accrued to the assessee. We rely upon Judgments of Hon’ble Supreme Court in the cases of Sutlez Cotton Mills vs. CIT 116 ITR 1 (SC); Tuticorin Alcali Chemicals and Fertilizers Ltd., 227 ITR 172 (SC) and Godhra Electricity Co. Ltd., 225 ITR 746 (SC). If this addition is considered in assessment year under appeal and stock position is taken differently, it has to be given effect in closing stock of this year, resultantly, opening stock of next assessment year would be enhanced by same amount. It would be tax neutral exercise only. The explanation of assessee is accepted that there was no…

ACIT Circle 1, Kumbakonam vs. City Union Bank Limited, Kumbakonam

In the result, appeal of the Revenue in ITA 1316/CHNY/2018

ITA 1316/CHNY/2018[2014-15]Status: DisposedITAT Chennai09 Jul 2019AY 2014-15

Bench: Shri George Mathan & Shri Inturi Rama Rao

For Appellant: Shri. S. Ananthan,C.AFor Respondent: Shri. Sailendra Mamidi, IRS
Section 143(3)Section 14ASection 36(1)Section 36(1)(vii)Section 40Section 41(1)

…td. v. CIT [1960] 39 ITR 706, Poona Electric Supply Co. Ltd. v. CIT [1965] 57 ITR 521, Morvi Industries Ltd. v. CIT, [1971] 82 ITR 835, State Bank of Travancore v. CIT [1986] 158 ITR 102 (SC), Godhra Electricity Co. Ltd., v. Commissioner of Income-tax, [1997] 225 ITR 746 held that the assessee is taxable for interest on securities only on specified dates when it becomes due for payment, in view of third proviso to Section 145(1) of the Act, which was in force during the relevant assessment years. 4.2. In view of the ratio laid down in the decisions referred supra, the first substantial question of law raised in T…