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 366,470 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

The Commissioner of Income Tax - International Taxation -2 vs. Nokia Corporation (Formerly Known As Nokia Network Oy)

ITA/171/2020HC Delhi21 Feb 2025

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…nnected matters Page 32 of 66 CIT, (1954) 26 ITR 27 (SC), CIT vs. Ashokbhai Chaamanbhai, (1965) 56 ITR 42, CIT vs. Shoorji Vallabhdas and Co, (1962) 46 ITR 144 (SC) and Godhara Electricity Company Ltd. Vs. CIT, 225 ITR 746. Further, the judgment of Hon'ble Supreme Court in the case of State Bank of Travancore, reported in (1986) 158 ITR 102 (SC) 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 Electricity Company Ltd. v/s. CIT (supra) and UCO Bank v/s. CIT (…

The Commissioner of Income Tax - International Taxation -2 vs. Nokia Corporation (Formerely Known As Nokia Network Oy)

ITA/885/2019HC Delhi21 Feb 2025

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…nnected matters Page 32 of 66 CIT, (1954) 26 ITR 27 (SC), CIT vs. Ashokbhai Chaamanbhai, (1965) 56 ITR 42, CIT vs. Shoorji Vallabhdas and Co, (1962) 46 ITR 144 (SC) and Godhara Electricity Company Ltd. Vs. CIT, 225 ITR 746. Further, the judgment of Hon'ble Supreme Court in the case of State Bank of Travancore, reported in (1986) 158 ITR 102 (SC) 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 Electricity Company Ltd. v/s. CIT (supra) and UCO Bank v/s. CIT (…

The Commissioner of Income Tax - International Taxation -2 vs. Nokia Corporation (Formerely Known As Nokia Network Oy)

ITA/887/2019HC Delhi21 Feb 2025

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…nnected matters Page 32 of 66 CIT, (1954) 26 ITR 27 (SC), CIT vs. Ashokbhai Chaamanbhai, (1965) 56 ITR 42, CIT vs. Shoorji Vallabhdas and Co, (1962) 46 ITR 144 (SC) and Godhara Electricity Company Ltd. Vs. CIT, 225 ITR 746. Further, the judgment of Hon'ble Supreme Court in the case of State Bank of Travancore, reported in (1986) 158 ITR 102 (SC) 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 Electricity Company Ltd. v/s. CIT (supra) and UCO Bank v/s. CIT (…

The Commissioner of Income Tax - International Taxation -2 vs. Nokia Corporation (Formerly Known As Nokia Network Oy)

ITA/60/2023HC Delhi21 Feb 2025

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…nnected matters Page 32 of 66 CIT, (1954) 26 ITR 27 (SC), CIT vs. Ashokbhai Chaamanbhai, (1965) 56 ITR 42, CIT vs. Shoorji Vallabhdas and Co, (1962) 46 ITR 144 (SC) and Godhara Electricity Company Ltd. Vs. CIT, 225 ITR 746. Further, the judgment of Hon'ble Supreme Court in the case of State Bank of Travancore, reported in (1986) 158 ITR 102 (SC) 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 Electricity Company Ltd. v/s. CIT (supra) and UCO Bank v/s. 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

ITA 2369/DEL/2016[1999-00]Status: DisposedITAT Delhi11 Feb 2025AY 1999-00

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)

Section 142

…aken place in the hands of the assessee. Further, to buttress the submissions that only real income and not hypothetical income can be taxed in the hands of the assessee reliance was placed on following decisions: (i) Godhra Electricity Company Ltd. vs. CIT, 225 ITR 746 (SC); & (ii) CIT vs. Excel Industries Ltd., 385 ITR 295 (SC). 70.1. A perusal of the impugned order shows that the AO and the CIT(A) have made addition of Rs.94,83,439/- by imputing interest @12% per annum in respect of outstanding loans from Neha International Ltd. and M/s. Royal Refinery. The CIT(A) in para 8.10 of the impugned order has record…

Sankalp in, Ahmedabad vs. The Asstt. Commissioner of Income Tax, Central Circle-1(2), Ahmedabad

In the result Revenue’s Ground Nos

ITA 577/AHD/2022[2019-20]Status: DisposedITAT Ahmedabad31 Jan 2025AY 2019-20

Bench: Shri T.R. SENTHIL KUMAR (Judicial Member), Shri NARENDRA PRASAD SINHA (Accountant Member)

Section 132Section 69C

…higher side. Therefore in the interest of justice, some reasonable rate of profit may be decided. Further it is well settled that only real income has to be taxed in the hands of the assessee. Reliance is placed on Godhra Electricity Co. Ltd. -Vs- CIT (1997) 225 ITR 746 (SC). Further it is well settled principle of law that AO is duty bound to give relief to an assessee wherever due, even if it has not been claimed by the assessee. Reliance is placed on decision in the case of S. R. Koshti -Vs- CIT (2005) 276 ITR 165 (Guj). 6.4. Thus Ld Senior Counsel pleaded that the methodology adopted by Ld CIT(A) is not abs…

The Asstt. Commissioner of Income Tax, Central Circle-1(2), Ahmedabad vs. Sankalp in, Ahmedabad

In the result Revenue's Ground Nos

ITA 568/AHD/2022[2019-20]Status: DisposedITAT Ahmedabad31 Jan 2025AY 2019-20

Bench: Shri T.R. SENTHIL KUMAR, Judicial Member\nAnd\nShri NARENDRA PRASAD SINHA (Accountant Member)

Section 132Section 69C

…higher side. Therefore in the interest of justice, some reasonable rate of profit may be decided. Further it is well settled that only real income has to be taxed in the hands of the assessee. Reliance is placed on Godhra Electricity Co. Ltd. -Vs- CIT (1997) 225 ITR 746 (SC). Further it is well settled principle of law that AO is duty bound to give relief to an assessee wherever due, even if it has not been claimed by the assessee. Reliance is placed on decision in the case of S. R. Koshti -Vs- CIT (2005) 276 ITR 165 (Guj). 6. 4. Thus Ld Senior Counsel pleaded that the methodology adopted by Ld CIT(A) is not ab…

Bal Reddy Kandunuri, Adilabad vs. ACIT, Central Circle-2(4), Hyderabad

In the result, appeal of the assessee is allowed

ITA 1203/HYD/2024[2020-21]Status: DisposedITAT Hyderabad28 Jan 2025AY 2020-21

Bench: Shri G. Manjunatha & Shri K. Narasimha Chary

For Appellant: Shri A.V. Raghuram, ARFor Respondent: Dr. Sachin Kumar, Sr. AR
Section 115BSection 131Section 132ASection 153ASection 69A

…ion on account of notional interest of Rs. 1,39,366/-. There cannot be any addition on account of notional income as held by the Hon'ble Supreme Court in case of E.D. Sassoon & Co. & Ors. vs. CIT (1954) 26 ITR 27 and Godhra Electricity Co. Ltd. vs. CIT (1997) 225 ITR 746 where it was held that only real income can be taxed, hypothetical income cannot be taxed nor income can be taxed in vacuum. Therefore, the addition made by the AO is not as per law and the same be deleted. The ld. CIT(A) has confirmed the addition by stating that it is the disallowance of interest. It is submitted that the lower authorities have…

Ajay Reghubhai Bharwad, Vadodara vs. The ITO, Ward-1(2)(1), Vadodara

In the result, the appeals filed by the Assessees are dismissed

ITA 597/AHD/2020[2010-11]Status: DisposedITAT Ahmedabad10 Jan 2025AY 2010-11

Bench: Smt. Annapurna Gupta (Accountant Member), Shri T.R. Senthil Kumar (Judicial Member)

Section 143(3)Section 44A

…, contents of such additional evidences need to be accepted. It is well settled that only "Real income" can be taxed by the revenue and not "notional income". Reliance is placed on decision of Hon'ble Apex Court in case of "Godhra Electricity Co. Ltd. vs. CIT-225 ITR 746 (SC)". In view of the additional evidences placed on record, the impugned addition is not justified in the eye of law. 7. Per contra, Ld. CIT-DR Shri V Nanda Kumar and Sr. D.R. Smt. Malarkodi R. appearing for the Revenue supported the orders passed by the Lower Authorities and further submitted that though the Ld. CIT(A) had observed additional…

Shri Ajay Reghubhai Bharwad, Vadodara vs. The ITO, Ward-2(1), Vadodara

In the result, the appeals filed by the Assessees are dismissed

ITA 596/AHD/2020[2009-10]Status: DisposedITAT Ahmedabad10 Jan 2025AY 2009-10

Bench: Smt. Annapurna Gupta (Accountant Member), Shri T.R. Senthil Kumar (Judicial Member)

Section 143(3)Section 44A

…, contents of such additional evidences need to be accepted. It is well settled that only "Real income" can be taxed by the revenue and not "notional income". Reliance is placed on decision of Hon'ble Apex Court in case of "Godhra Electricity Co. Ltd. vs. CIT-225 ITR 746 (SC)". In view of the additional evidences placed on record, the impugned addition is not justified in the eye of law. 7. Per contra, Ld. CIT-DR Shri V Nanda Kumar and Sr. D.R. Smt. Malarkodi R. appearing for the Revenue supported the orders passed by the Lower Authorities and further submitted that though the Ld. CIT(A) had observed additional…

Shri Piyush M Dobariya, Vadodara vs. The ITO, Ward-5(4), Vadodara

In the result, the appeals filed by the Assessees are dismissed

ITA 595/AHD/2020[2009-10]Status: DisposedITAT Ahmedabad10 Jan 2025AY 2009-10

Bench: Smt. Annapurna Gupta (Accountant Member), Shri T.R. Senthil Kumar (Judicial Member)

Section 143(3)Section 44A

…, contents of such additional evidences need to be accepted. It is well settled that only "Real income" can be taxed by the revenue and not "notional income". Reliance is placed on decision of Hon'ble Apex Court in case of "Godhra Electricity Co. Ltd. vs. CIT-225 ITR 746 (SC)". In view of the additional evidences placed on record, the impugned addition is not justified in the eye of law. 7. Per contra, Ld. CIT-DR Shri V Nanda Kumar and Sr. D.R. Smt. Malarkodi R. appearing for the Revenue supported the orders passed by the Lower Authorities and further submitted that though the Ld. CIT(A) had observed additional…

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

ITA 4728/DEL/2024[2012-2013]Status: DisposedITAT Delhi06 Jan 2025AY 2012-2013

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)

Section 142

…aken place in the hands of the assessee. Further, to buttress the submissions that only real income and not hypothetical income can be taxed in the hands of the assessee reliance was placed on following decisions: (i) Godhra Electricity Company Ltd. vs. CIT, 225 ITR 746 (SC); & (ii) CIT vs. Excel Industries Ltd., 385 ITR 295 (SC). 70.1. A perusal of the impugned order shows that the AO and the CIT(A) have made addition of Rs.94,83,439/- by imputing interest @12% per annum in respect of outstanding loans from Neha International Ltd. and M/s. Royal Refinery. The CIT(A) in para 8.10 of the impugned order has record…

DCIT, Circle-1(1), Hyderabad vs. Prakash Nimmagadda, Hyderabad, Secunderabad

In the result, appeal filed by the Revenue is dismissed

ITA 974/HYD/2017[2008-09]Status: DisposedITAT Hyderabad16 Dec 2024AY 2008-09

Bench: Shri Vijay Pal Rao, Vice-A N D Shri Manjunatha, G.आ.अपी.सं /Ita No.974/Hyd/2017 (िनधा"रण वष"/Assessment Year: 2008-09) Dy.Cit Vs. Shri Prakash Nimmagadda Circle 1(1) Hyderabad Hyderabad Pan:Acbpn4246R (Appellant) (Respondent) िनधा""रती "ारा/Assessee By: Shri K.C. Devdas, Ca राज" व "ारा/Revenue By:: Dr. Meghnath Chowhan, Cit(Dr) सुनवाई की तारीख/Date Of Hearing: 06/11/2024 घोषणा की तारीख/Pronouncement: 16/12/2024 आदेश/Order Per Vijay Pal Raothis Appeal Filed By The Revenue Is Directed Against The Order, Dated 20/03/2017 Of The Learned Cit (A)-9, Hyderabad, Relating To A.Y.2008-09. 2. The Revenue Has Raised The Following Grounds:

For Appellant: Shri K.C. Devdas, CAFor Respondent: : Dr. Meghnath Chowhan, CIT(DR)
Section 17(2)(c)Section 28

…ITA No 974 of 2017 Prakash Nimmagadda आयकर अपील"य अ"धकरण, हैदराबाद पीठ IN THE INCOME TAX APPELLATE TRIBUNAL Hyderabad ‘ B ‘ Bench, Hyderabad Before Shri Vijay Pal Rao, Vice-President A N D Shri Manjunatha, G. Accountant Member आ.अपी.सं /ITA No.974/Hyd/2017 (िनधा"रण वष"/Assessment Year: 2008-09) Dy.CIT Vs. Shri Prakash Nimmagadda Circle 1(1) Hyderabad Hyderabad PAN:ACBPN4246R (Appellant) (Respondent) िनधा""रती "ारा/Assessee by: Shri K.C. Devdas, CA राज" व "ारा/Revenue by:: Dr. Meghnath Chowhan, CIT(DR) सुनवाई की तारीख/Date of hearing: 06/11/2024 घोषणा की तारीख/Pronouncement: 16/12/2024 आदेश/ORDER Per Vijay P…

Cholan Auto Finance, Karur vs. Deputy Commissioner of Income Tax (Central Circle 2), Trichy, Tiruchirappalli

In the result, both the appeal of the Revenue in ITA

ITA 1155/CHNY/2024[2018-19]Status: DisposedITAT Chennai13 Dec 2024AY 2018-19

Bench: Hon’Ble Shri Manu Kumar Giriand Hon’Ble Shri S.R. Raghunathaआयकरअपीलसं./Ita Nos.1155 & 1156/Chny/2024 िनधा"रणवष"/Assessment Year:2018-2019 M/S. Cholan Auto Finance, Vs. The Deputy Commissioner Of Income Tax, 43, Padma Tower, 3Rd Floor, Central Circle 2, Covai Road, Trichy. Karur 639 002. आयकरअपीलसं./Ita Nos.1191 & 1192/Chny/2024 िनधा"रणवष"/Assessment Year:2018-2019 The Assistant Commissioner Of M/S. Cholan Auto Finance, Income Tax, 43, Padma Tower, 3Rd Floor, Vs Central Circle 2, . Covai Road, Trichy. Karur 639 002. [Pan : Aagfc 1043B] (अपीलाथ"/Appellant) (""यथ"/Respondent) Assessee By : Shri N.V.Balaji, Advocate Department By : Shri. R. Clement Ramesh Kumar, Irs, Cit. सुनवाईक"तारीख/Date Of Hearing : 23.10.2024 घोषणाक"तारीख/Date Of Pronouncement : 13.12.2024 आदेश /O R D E R Per Bench: These Cross Appeals Are Arising Out Of The Orders Of The Commissioner Of Income Tax (Appeals) – 19, Chennai [Hereinafter

For Appellant: Shri N.V.Balaji, AdvocateFor Respondent: Shri. R. Clement Ramesh Kumar
Section 132Section 143(3)Section 154

…any finding based upon any corroborative evidence to prove that the Appellant Firm has actually earned such profits. 6.6.9 The Appellant in this regard has relied upon the decision of the Hon’ble Apex Court in the case of CIT vs. Godhra Electricity Co. (1997) 225 ITR 746 (SC) wherein the Hon’ble the Apex Court has held that if income does not result at all, there cannot be any tax and that if an income has not materialized, then merely an entry made about a hypothetical income by following book-keeping methods, the liability to tax cannot be attracted. Going by the decision of the Hon’ble Apex Court an income can…

Indus Towers Limited (Formerly Known As Bharti Infratel Ltd and As Successor in Interest of Erstwhile Indus Tower Ltd), Gurugram, Haryana vs. DCIT, Circle 12(1), New Delhi

In the result, the appeal of the revenue is dismissed

ITA 2762/DEL/2023[2010-11]Status: DisposedITAT Delhi10 Dec 2024AY 2010-11

Bench: Shri M. Balaganesh & Shri Vimal Kumarindus Towers Ltd (Formerly Vs. Dcit, Known As Bharti Infratel Ltd), Circle-12(1), 4Th Floor, Dlf Cybercity, New Delhi Building No. 10, Tower A, Dlf Qe, So Gurgaon, Haryana (Appellant) (Respondent) Pan: Aadcv0274F Acit, Vs. Indus Towers Ltd, 4Th Floor, Dlf Cybercity, Central Circle-10, New Delhi Gurgaon, Haryana (Appellant) (Respondent) Pan: Aadcv0274F Indus Towers Ltd (Formerly Vs. Dcit, Known As Bharti Infratel Ltd), Circle-12(1), 4Th Floor, Dlf Cybercity, New Delhi Building No. 10, Tower A, Dlf Qe, So Gurgaon, Haryana (Appellant) (Respondent) Pan: Aadcv0274F Assessee By : Shri Ajay Vohra, Sr. Adv Shri Rohit Jain, Adv Shri Deepesh Jain, Adv Ms. Shaurya Jain, Ca Revenue By: Shri Mukesh Kumar Jain, Cit Dr Date Of Hearing 12/09/2024 Date Of Pronouncement 10/12/2024

For Appellant: Shri Ajay Vohra, Sr. AdvFor Respondent: Shri Mukesh Kumar Jain, CIT DR
Section 115JSection 139(5)Section 142Section 143(3)Section 148

…s of value given in the red herring prospectus issued for the purposes of IPO in December 2012. In this connection the principle laid down by the Supreme Court in the case of Shoorji Vallabhdas & Co. 46 ITR and in the case of Godhra Electricity Co. Ltd v. CIT 225 ITR 746 would be applicable to appellant's case, wherein it is held as under:- "Income tax Act takes into account two points of time at which the liability to' tax is attracted, viz, the accrual of the income or its receipt, but the substance of the matter is income. If income does not result at all, there cannot be tax, even through in book keeping, an…

ACIT, Circle 10, New Delhi vs. Indus Tower Limited, Gurgaon

In the result, the appeal of the revenue is dismissed

ITA 2212/DEL/2023[2010-11]Status: DisposedITAT Delhi10 Dec 2024AY 2010-11

Bench: Shri M. Balaganesh & Shri Vimal Kumarindus Towers Ltd (Formerly Vs. Dcit, Known As Bharti Infratel Ltd), Circle-12(1), 4Th Floor, Dlf Cybercity, New Delhi Building No. 10, Tower A, Dlf Qe, So Gurgaon, Haryana (Appellant) (Respondent) Pan: Aadcv0274F Acit, Vs. Indus Towers Ltd, 4Th Floor, Dlf Cybercity, Central Circle-10, New Delhi Gurgaon, Haryana (Appellant) (Respondent) Pan: Aadcv0274F Indus Towers Ltd (Formerly Vs. Dcit, Known As Bharti Infratel Ltd), Circle-12(1), 4Th Floor, Dlf Cybercity, New Delhi Building No. 10, Tower A, Dlf Qe, So Gurgaon, Haryana (Appellant) (Respondent) Pan: Aadcv0274F Assessee By : Shri Ajay Vohra, Sr. Adv Shri Rohit Jain, Adv Shri Deepesh Jain, Adv Ms. Shaurya Jain, Ca Revenue By: Shri Mukesh Kumar Jain, Cit Dr Date Of Hearing 12/09/2024 Date Of Pronouncement 10/12/2024

For Appellant: Shri Ajay Vohra, Sr. AdvFor Respondent: Shri Mukesh Kumar Jain, CIT DR
Section 115JSection 139(5)Section 142Section 143(3)Section 148

…s of value given in the red herring prospectus issued for the purposes of IPO in December 2012. In this connection the principle laid down by the Supreme Court in the case of Shoorji Vallabhdas & Co. 46 ITR and in the case of Godhra Electricity Co. Ltd v. CIT 225 ITR 746 would be applicable to appellant's case, wherein it is held as under:- "Income tax Act takes into account two points of time at which the liability to' tax is attracted, viz, the accrual of the income or its receipt, but the substance of the matter is income. If income does not result at all, there cannot be tax, even through in book keeping, an…

Indus Towers Ltd., Gurgaon vs. DCIT Circle 12(1), New Delhi

In the result, the appeal of the revenue is dismissed

ITA 1962/DEL/2023[2010-11]Status: DisposedITAT Delhi10 Dec 2024AY 2010-11

Bench: Shri M. Balaganesh & Shri Vimal Kumarindus Towers Ltd (Formerly Vs. Dcit, Known As Bharti Infratel Ltd), Circle-12(1), 4Th Floor, Dlf Cybercity, New Delhi Building No. 10, Tower A, Dlf Qe, So Gurgaon, Haryana (Appellant) (Respondent) Pan: Aadcv0274F Acit, Vs. Indus Towers Ltd, 4Th Floor, Dlf Cybercity, Central Circle-10, New Delhi Gurgaon, Haryana (Appellant) (Respondent) Pan: Aadcv0274F Indus Towers Ltd (Formerly Vs. Dcit, Known As Bharti Infratel Ltd), Circle-12(1), 4Th Floor, Dlf Cybercity, New Delhi Building No. 10, Tower A, Dlf Qe, So Gurgaon, Haryana (Appellant) (Respondent) Pan: Aadcv0274F Assessee By : Shri Ajay Vohra, Sr. Adv Shri Rohit Jain, Adv Shri Deepesh Jain, Adv Ms. Shaurya Jain, Ca Revenue By: Shri Mukesh Kumar Jain, Cit Dr Date Of Hearing 12/09/2024 Date Of Pronouncement 10/12/2024

For Appellant: Shri Ajay Vohra, Sr. AdvFor Respondent: Shri Mukesh Kumar Jain, CIT DR
Section 115JSection 139(5)Section 142Section 143(3)Section 148

…s of value given in the red herring prospectus issued for the purposes of IPO in December 2012. In this connection the principle laid down by the Supreme Court in the case of Shoorji Vallabhdas & Co. 46 ITR and in the case of Godhra Electricity Co. Ltd v. CIT 225 ITR 746 would be applicable to appellant's case, wherein it is held as under:- "Income tax Act takes into account two points of time at which the liability to' tax is attracted, viz, the accrual of the income or its receipt, but the substance of the matter is income. If income does not result at all, there cannot be tax, even through in book keeping, an…

Simoco Systems and Infrastructure Solutions Limited, Kolkata vs. ITO Ward 2 (1), Kolkata

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

ITA 123/KOL/2024[2018-19]Status: DisposedITAT Kolkata29 Nov 2024AY 2018-19

Bench: Shri Sonjoy Sarma & Shri Rakesh Mishraassessment Year: 2018-19

For Appellant: Indranil Banerjee, ARFor Respondent: Ankur Goyal, JCIT, Sr. DR
Section 115JSection 133(6)Section 143(3)Section 144BSection 250

…assessed on notional basis. Lastly, it is a settled law, vide CIT vs. Shoorji Vallabhdas & Co. (1962) 46 ITR 144 (SC), Morvi Industries Ltd. vs. CIT 1974 CTR (SC) 149: (1971) 82 ITR 835 (SC), Godhra Electricity Co. Ltd. vs. CIT (1997) 139 CTR (SC) 564: (1997) 225 ITR 746 (SC) and State Bank of Travancore vs. CIT (1986) 50 CTR (SC) 290: (1986) 158 ITR 102 (SC) that Income accrues when it becomes due but it must also be accompanied by a corresponding liability of the other party to pay the amount. Only then can it be said that for the purposes of taxability that the income is not hypothetical and it has really accr…

Raghav Commodities, Jaipur vs. ITO Ward 6(2), Jaipur

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

ITA 943/JPR/2024[2015-2016]Status: DisposedITAT Jaipur29 Nov 2024AY 2015-2016

Bench: DR. S. SEETHALAKSHMI (Judicial Member)

For Appellant: Sh. Tarun Mittal, CAFor Respondent: Sh. Arvind Kumar, CIT-DR
Section 142(1)Section 147Section 148Section 148A

…their hand in respect to such profit making assessees have made no enquiries which is a mandatory requirement in the event some transaction is believed to be not genuine. Hon’ble Supreme Court in the case of CIT vs Godhra Electricity Ltd. has held as under (225 ITR 746) “Income Tax is a levy on income. No doubt, the Income Tax Act takes into account two points of time at which the liability to tax is attracted, viz., the accrual of income and its receipt, but the substance of the matter is the income. If income does not result at all, there cannot be a tax, even though in book keeping, an entry is made about a…

Harpreet Kaur Kaushik Manek, Bhavnagar vs. The Dy.CIT., Circle-1, Bhavnagar

In the result, appeal filed by the assessee is partly allowed for statistical purpose

ITA 109/AHD/2024[2011-12]Status: DisposedITAT Ahmedabad12 Nov 2024AY 2011-12

Bench: Ms. Suchitra Kamble & Shri Makarand Vasant Mahadeokarassessment Year: 2011-12

Section 133(6)Section 139Section 142(1)Section 147Section 148Section 234ASection 271(1)(c)Section 69

…he set off of loss of Rs.3,52,089/- incurred by the assessee during the year under question has not been granted. In order to determine the real income, set off of loss has to be granted as mentioned in the case of Godhra Electricity Co. Limited vs CIT (1997) 225 ITR 746 (SC). The Ld. AR further submitted that it is well settled that the additional claim can be raised before the Appellate Authorities as held by the Hon’ble Apex Corut in case of Jute Corporation of India vs. CIT, 187 ITR 688 (SC) and National Thermal Power Corporation vs. CIT, 229 ITR 383 (SC). The Ld. AR also relied upon the Hon’ble Gujrat High C…