Hero Cycles Pvt. Ltd. v. CIT

379 ITR 347Supreme Court of India2015#208 most cited

What is Hero Cycles Pvt. Ltd. v. CIT authority for?

The Revenue cannot substitute its judgment for that of a businessman regarding the necessity or reasonableness of an expenditure. If an expense is incurred wholly and exclusively for business purposes, it is deductible, and the Revenue cannot question its commercial expediency.

361

judgments rely on this decision, according to BharatTax’s citation analysis of 367,164 Indian tax judgments — from 2011 to 2026.

Also referred to as

Hero Cycles Pvt. Ltd. v. CIT · 379 ITR 347 · 16 SCC 359 · Section 36(1)(iii) · commercial expediency · business expediency · disallowance of expenditure · interest-free advances · corporate guarantee · wholly and exclusively for business · Revenue's armchair approach · sales promotion expenditure

Also reported as

16 SCC 359

Sections most often in play

Section 143(3)Section 36(1)(iii)Section 147Section 1961Section 143(2)Section 14ASection 132Section 142(1)
Read the full judgment

Issues it is cited on

interest free advancescommercial expediencysection 36(1)(iii)corporate guaranteebusiness expediencysection 36book profitssection 36(1)arm's length pricetransfer pricing adjustmentassociated enterprisessection 92c

Judgments citing Hero Cycles Pvt. Ltd. v. CIT

Mufg Bank Ltd, New Delhi vs. ACIT (International Taxation) Circle-2(2)(1), New Delhi

In the result appeal of the assessee is partly allowed

ITA 7895/DEL/2019[2015-16]Status: DisposedITAT Delhi16 Oct 2020AY 2015-16

Bench: Shri Amit Shukla & Shri Prashant Maharishi(Through Video Conferencing) Mufg Bank Ltd, Vs. Acit (International Taxation), 5Th Floor, Worldmark 2, Asset 8, Circle-2(2)(1), Aerocity, Nh-8, New Delhi New Delhi Pan: Aabct3880D (Appellant) (Respondent)

For Appellant: Shri Nishant Thakkar, AdvFor Respondent: Shr Surender Pal, CIT DR
Section 143(3)Section 14ASection 244ASection 37(1)Section 44C

…lable with the assessee: a. ITAT AY 2003-04 (ITA No. 2150/Del/2008) in assessee‟s own case (Para 30 Page 103 of Compilation) b. ACIT vs. Delhi International (89 taxmann.com 326) (Del. Trib.) (Para 47 Page 431 of Compilation) c. Hero Cycles (P.) Ltd. vs. CIT (379 ITR 347) (SC) (Para 16 Page 440 of Compilation) d. Reliance Industries Ltd. vs. CIT (410 ITR 466) (SC) (Para 7 Page 442 of Compilation) e. CIT vs. HDFC (366 ITR 505) (Bom.) (Para 4 Page 445 of Compilation) f. CIT vs. Ashok Apparel (106 taxmann.com 63) (Bom.) (Para 7 Page 450 of Compilation) g. PCIT vs Shreno Ltd. – 409 ITR 401 (Guj) (Para 16 & 17) (Pages…

M/S. Dharampal Satyapal Ltd., Delhi vs. ACIT, New Delhi

ITA 1380/DEL/2017[2012-13]Status: DisposedITAT Delhi07 Oct 2020AY 2012-13

Bench: Shri Amit Shukla & Sh. Prashant Maharishi(Through Video Conferencing) Assessment Year: 2012-13 M/S. Dharampal Satyapal Ltd. Acit, 1711, S. P. Mukherjee Marg, Vs Central Circle – 29, Delhi-110006 New Delhi Pan No. Aaacd0132H (Appellant) (Respondent) Appellant By Sh. R. S. Singhavi, Ca Sh. Satyajeet Goel, Ca Respondent By Sh. Sanjay I. Bara, Cit Dr Date Of Hearing: 28/08/2020 Date Of Pronouncement: 07/10/2020 Order

Section 115JSection 143Section 144CSection 14ASection 14A(2)Section 36Section 43(5)(d)Section 80I

…siness purposes and disallowance is merely on conjectures and surmises. He relied up on decision of Hon’ble Delhi High Court in case of Pr. CIT v. Reebok India Company[2018] 259 Taxman 100 (Delhi) & Honorable supreme court in Hero Cycles (P) Ltd vs. CIT[2015] 379 ITR 347 (SC) , CIT Vs. S.A. Builders Ltd. 288 ITR 1 (SC). He further submitted that in any case, assessee has substantial amount of own funds in form of share capital and reserves out of which these advances were paid. This is corroborated from balance sheet as well as statement of cash credit account. It may be submitted that even CIT (A) has accepted f…

Shiv Raj Gupta vs. Commissioner of Income-Tax, Delhi IV

C.A. No.-012044-012044 - 2016Supreme Court22 Jul 2020

Bench: HON'BLE MR. JUSTICE ROHINTON FALI NARIMAN

…1 REPORTABLE IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL NO. 12044 OF 2016 SHIV RAJ GUPTA …Appellant Versus COMMISSIONER OF INCOME-TAX, DELHI-IV …Respondent J U D G M E N T R.F. Nariman, J. 1. The present appeal relating to assessment year 1995-96 is by one Shri Shiv Raj Gupta, who was the Chairman and Managing Director of M/s Central Distillery and Breweries Ltd. (hereinafter referred to as “CDBL”), which had a unit in Meerut manufacturing beer and Indian Made Foreign Liquor (hereinafter referred to as “IMFL”). T…

Jhp Securities P.Ltd, Mumbai vs. ITO 4(3)(1), Mumbai

The appeal of the assessee is partly allowed for statistical purpose

ITA 6490/MUM/2018[2012-13]Status: DisposedITAT Mumbai12 Jun 2020AY 2012-13

Bench: Shri Vikas Awasthy & "ी जी. मंजुनाथ, लेखा सद"य के सम" Shri G.Manjunathaआअसं. 6490/मुं/2018 ("न.व 2012-13) Jhp Securities Pvt. Ltd. 201,Dev Neo Vikram, ‘B’ Wing, 2Nd Floor, Sahakar Nagar Chs, New Link Road, Andheri (W), Mumbai 400 053 Pan: Aaacj2847H ...... अपीलाथ" /Appellant बनाम Vs. Income Tax Officer 4(3)(1) Room No.648, 6Th Floor, Aaykar Bhavan, M.K.Road, ..... ""तवाद"/Respondent Mumbai 400 020

For Appellant: S/ Shri V.G.Ginde/Kumar KaleFor Respondent: Ms. R. Kavitha
Section 14A

…f the assessee comprising of share capital and reserves and surplus are to the tune of Rs.33.53 crores. The ld.Authorized Representative of the assessee submitted that the Hon'ble Supreme Court of India in the case of Hero Cycles Pvt. Ltd. Vs. CIT reported as 379 ITR 347 has upheld presumption theory that where both, interest bearing funds and own funds are available, the presumption would be, that own funds are utilised for making investment. The ld. Authorized Representative of the assessee further submitted that as regards disallowance under Rule 8D(2)(iii) is concerned, the assessee has made suo-motu disallow…

M/S Abhinav International Pvt. Ltd., New Delhi vs. DCIT, New Delhi

In the result, ground number three of the appeal of the assessee is allowed with above direction

ITA 489/DEL/2017[2013-14]Status: DisposedITAT Delhi02 Jun 2020AY 2013-14

Bench: Ms Suchitra Kamble & Shri Prashant Maharishiabhinav International Pvt. Ltd. Vs Dcit C-24, Greater Kailash Enclave-1 Circle 1(1) New Delhi New Delhi Pan: Aadca8631P (Appellant) (Respondent)

Section 143(3)Section 14ASection 36Section 56

…sted this borrowed fund in another associate/sister concern Hanung Toys & Textiles Ltd. (a listed company) as a fresh allotment of equity shares. The Ld. AR relied upon the 5 decision of the Hon’ble Supreme Court in case of Hero Cycles (P) Ltd. vs. CIT (2015) 379 ITR 347 (SC). 9. The Ld. DR relied upon the assessment order and the order of the CIT(A). 10. We have heard both the parties and perused the material available on record. From the perusal of the facts, it can be seen that the loan was taken for the purpose of ‘equity infusion’ in the associate concerns. Since, the entire fund was diverted for equity in…

DCIT, C-1, Ludhiana vs. M/S Vardhman Textiles Limited, Ludhiana

The appeal of the Revenue is partly allowed for

ITA 612/CHANDI/2019[2009-10]Status: DisposedITAT Chandigarh28 May 2020AY 2009-10

Bench: Shri Sanjay Garg & Smt.Annapurna Guptaआयकर अपील सं./ Ita No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09

For Appellant: S/Shri Subhash Aggarwal, AdvFor Respondent: Smt.C.Chanderkanta, CIT DR
Section 14ASection 250(6)Section 80I

…आयकर अपील"य अ"धकरण, च"डीगढ़ "यायपीठ “बी”, च"डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH ‘B, CHANDIGARH "ी संजय गग", "याय"क सद"य एवं "ीमती अ"नपूणा" गु"ता, लेखा सद"य BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER AND SMT.ANNAPURNA GUPTA, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 Vardhman Textiles Limited, The A.C.I.T., बनाम Chandigarh Road, Ludhiana. Circle-1, Ludhiana. "थायी लेखा सं./PAN NO: AABCM4692E अपीलाथ"/Appellant ""यथ"/Respondent & आयकर अपील सं./ ITA No.611 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 The D.C.I.T., Vardhman Textiles Limi…

DCIT, C-1, Ludhiana vs. M/S Vardhman Textiles Limited, Ludhiana

The appeal of the Revenue is partly allowed for

ITA 611/CHANDI/2019[2008-09]Status: DisposedITAT Chandigarh28 May 2020AY 2008-09

Bench: Shri Sanjay Garg & Smt.Annapurna Guptaआयकर अपील सं./ Ita No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09

For Appellant: S/Shri Subhash Aggarwal, AdvFor Respondent: Smt.C.Chanderkanta, CIT DR
Section 14ASection 250(6)Section 80I

…आयकर अपील"य अ"धकरण, च"डीगढ़ "यायपीठ “बी”, च"डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH ‘B, CHANDIGARH "ी संजय गग", "याय"क सद"य एवं "ीमती अ"नपूणा" गु"ता, लेखा सद"य BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER AND SMT.ANNAPURNA GUPTA, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 Vardhman Textiles Limited, The A.C.I.T., बनाम Chandigarh Road, Ludhiana. Circle-1, Ludhiana. "थायी लेखा सं./PAN NO: AABCM4692E अपीलाथ"/Appellant ""यथ"/Respondent & आयकर अपील सं./ ITA No.611 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 The D.C.I.T., Vardhman Textiles Limi…

M/S Vardhman Textiles Limited, Ludhiana vs. JCIT, C-1, Ludhiana

The appeal of the Revenue is partly allowed for

ITA 485/CHANDI/2019[2009-10]Status: DisposedITAT Chandigarh28 May 2020AY 2009-10

Bench: Shri Sanjay Garg & Smt.Annapurna Guptaआयकर अपील सं./ Ita No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09

For Appellant: S/Shri Subhash Aggarwal, AdvFor Respondent: Smt.C.Chanderkanta, CIT DR
Section 14ASection 250(6)Section 80I

…आयकर अपील"य अ"धकरण, च"डीगढ़ "यायपीठ “बी”, च"डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH ‘B, CHANDIGARH "ी संजय गग", "याय"क सद"य एवं "ीमती अ"नपूणा" गु"ता, लेखा सद"य BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER AND SMT.ANNAPURNA GUPTA, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 Vardhman Textiles Limited, The A.C.I.T., बनाम Chandigarh Road, Ludhiana. Circle-1, Ludhiana. "थायी लेखा सं./PAN NO: AABCM4692E अपीलाथ"/Appellant ""यथ"/Respondent & आयकर अपील सं./ ITA No.611 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 The D.C.I.T., Vardhman Textiles Limi…

M/S Vardhman Textiles Limited, Ludhiana vs. ACIT, C-1, Ludhiana

The appeal of the Revenue is partly allowed for

ITA 484/CHANDI/2019[2008-09]Status: DisposedITAT Chandigarh28 May 2020AY 2008-09

Bench: Shri Sanjay Garg & Smt.Annapurna Guptaआयकर अपील सं./ Ita No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09

For Appellant: S/Shri Subhash Aggarwal, AdvFor Respondent: Smt.C.Chanderkanta, CIT DR
Section 14ASection 250(6)Section 80I

…आयकर अपील"य अ"धकरण, च"डीगढ़ "यायपीठ “बी”, च"डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH ‘B, CHANDIGARH "ी संजय गग", "याय"क सद"य एवं "ीमती अ"नपूणा" गु"ता, लेखा सद"य BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER AND SMT.ANNAPURNA GUPTA, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 Vardhman Textiles Limited, The A.C.I.T., बनाम Chandigarh Road, Ludhiana. Circle-1, Ludhiana. "थायी लेखा सं./PAN NO: AABCM4692E अपीलाथ"/Appellant ""यथ"/Respondent & आयकर अपील सं./ ITA No.611 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 The D.C.I.T., Vardhman Textiles Limi…

DCIT, C-1, Ludhiana vs. Vardhman Textiles Ltd., Ludhiana

The appeal of the Revenue is partly allowed for

ITA 613/CHANDI/2019[2013-14]Status: DisposedITAT Chandigarh27 May 2020AY 2013-14

Bench: Shri Sanjay Garg & Smt.Annapurna Guptaआयकर अपील सं./ Ita No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09

For Appellant: S/Shri Subhash Aggarwal, AdvFor Respondent: Smt.C.Chanderkanta, CIT DR
Section 14ASection 250(6)Section 80I

…आयकर अपील"य अ"धकरण, च"डीगढ़ "यायपीठ “बी”, च"डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH ‘B, CHANDIGARH "ी संजय गग", "याय"क सद"य एवं "ीमती अ"नपूणा" गु"ता, लेखा सद"य BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER AND SMT.ANNAPURNA GUPTA, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No.484 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 Vardhman Textiles Limited, The A.C.I.T., बनाम Chandigarh Road, Ludhiana. Circle-1, Ludhiana. "थायी लेखा सं./PAN NO: AABCM4692E अपीलाथ"/Appellant ""यथ"/Respondent & आयकर अपील सं./ ITA No.611 /Chd/2019 "नधा"रण वष" / Assessment Year : 2008-09 The D.C.I.T., Vardhman Textiles Limi…

M/S Stovekraft India, Baddi vs. DCIT, Circle, Parwanoo

In the result, the appeal of the assessee stands allowed

ITA 885/CHANDI/2019[2015-16]Status: DisposedITAT Chandigarh20 May 2020AY 2015-16

Bench: Shri Sanjay Garg & Ms. Annapurna Guptaआयकरअपीलसं./Ita No.885/Chd/2019 "नधा"रणवष" / Assessment Year :2015-16

For Appellant: ShriManoj Kumar, CAFor Respondent: ShriAbhishek Pal Garg, Addl CIT
Section 36(1)Section 36(1)(iii)

…on will be that interest free advances / investments have been made by the assessee out of own funds / interest free funds. Reliance in this respect can also be placed on the decision of the Hon'ble Supreme Court in the case of ‘Hero Cycles (P) Ltd Vs. CIT’ 379 ITR 347 (SC) and also on the latest decision of the Hon'ble Supreme Court in the case of ‘CIT (LTU) Vs. Reliance Industries Ltd.’ [2019] 410 ITR 466 (SC).Thus, as per the settled law no disallowance u/s 36(1)(iii) ITA No. 885-Chd-2019 M/s Stovekraft India, Solan 5 of the Act is warranted on this issue. The disallowance made by the AO on this issue is…

M/S Fastway Transmission (P) Ltd., Chandigarh vs. DCIT, CC-II, Chandigarh

In the result the captioned appeals of the assessee are

ITA 140/CHANDI/2019[2015-16]Status: DisposedITAT Chandigarh28 Apr 2020AY 2015-16

Bench: Shri N.K. Saini & Shri Sanjay Gargआयकर अपील सं./ Ita No.547/Chd/2017 "नधा"रण वष" / Assessment Year : 2013-14

For Appellant: Shri Ashwani Kumar, CAFor Respondent: Shri Chandrajit Singh, CIT (DR) on 4.12.2019
Section 250(6)

…n will be that interest free advances / investments have been made by the assessee out of own funds / interest free funds. Reliance in this respect can also be placed on the decision of the Hon'ble Supreme Court in the case of ‘Hero Cycles (P) Ltd Vs. CIT’ 379 ITR 347 (SC) and also on the latest decision of the Hon'ble Supreme Court in the case of ‘CIT (LTU) Vs. Reliance Industries Ltd.’ [2019] 410 ITR 466 (SC). Thus, as per the settled law no disallowance u/s 36(1)(iii) of the Act is warranted on this issue. This ground is accordingly allowed in favour of the assessee. 55. Ground No. 9:- Ground No. 9 is ge…

M/S Fastway Transmission (P) Ltd., Chandigarh vs. DCIT, CC-II, Chandigarh

In the result the captioned appeals of the assessee are

ITA 139/CHANDI/2019[2012-13]Status: DisposedITAT Chandigarh28 Apr 2020AY 2012-13

Bench: Shri N.K. Saini & Shri Sanjay Gargआयकर अपील सं./ Ita No.547/Chd/2017 "नधा"रण वष" / Assessment Year : 2013-14

For Appellant: Shri Ashwani Kumar, CAFor Respondent: Shri Chandrajit Singh, CIT (DR) on 4.12.2019
Section 250(6)

…n will be that interest free advances / investments have been made by the assessee out of own funds / interest free funds. Reliance in this respect can also be placed on the decision of the Hon'ble Supreme Court in the case of ‘Hero Cycles (P) Ltd Vs. CIT’ 379 ITR 347 (SC) and also on the latest decision of the Hon'ble Supreme Court in the case of ‘CIT (LTU) Vs. Reliance Industries Ltd.’ [2019] 410 ITR 466 (SC). Thus, as per the settled law no disallowance u/s 36(1)(iii) of the Act is warranted on this issue. This ground is accordingly allowed in favour of the assessee. 55. Ground No. 9:- Ground No. 9 is ge…

M/S Fastway Transmission (P) Ltd., Chandigarh vs. ACIT, Chandigarh

In the result the captioned appeals of the assessee are

ITA 547/CHANDI/2017[2013-14]Status: DisposedITAT Chandigarh28 Apr 2020AY 2013-14

Bench: Shri N.K. Saini & Shri Sanjay Gargआयकर अपील सं./ Ita No.547/Chd/2017 "नधा"रण वष" / Assessment Year : 2013-14

For Appellant: Shri Ashwani Kumar, CAFor Respondent: Shri Chandrajit Singh, CIT (DR) on 4.12.2019
Section 250(6)

…n will be that interest free advances / investments have been made by the assessee out of own funds / interest free funds. Reliance in this respect can also be placed on the decision of the Hon'ble Supreme Court in the case of ‘Hero Cycles (P) Ltd Vs. CIT’ 379 ITR 347 (SC) and also on the latest decision of the Hon'ble Supreme Court in the case of ‘CIT (LTU) Vs. Reliance Industries Ltd.’ [2019] 410 ITR 466 (SC). Thus, as per the settled law no disallowance u/s 36(1)(iii) of the Act is warranted on this issue. This ground is accordingly allowed in favour of the assessee. 55. Ground No. 9:- Ground No. 9 is ge…

Essar Shipping Limited, Mumbai vs. ACIT-5(1)(2), Mumbai

In the result, ground No.10 is allowed for statistical purposes

ITA 7371/MUM/2017[2013-14]Status: DisposedITAT Mumbai06 Mar 2020AY 2013-14

Bench: Shri R.C.Sharma, Am & Shri Vikas Awasthy, Jm Essar Shipping Ltd., Vs. A.C.I.T.-5(1)(2), 11, K.K. Marg, Mahalaxmi, Mumbai. Mumbai-400034. Pan/Gir No.Aacce 3707 D (Appellant) .. (Respondent)

Section 115VSection 143(3)Section 144C(13)Section 144C(5)

…on ICD given to subsidiary to promote their business would be taxable as business income. The said decision of the Hon'ble Supreme Court in the case of S.A. Builders v. CIT (supra) was followed by the Hon'ble Supreme Court in the case of Hero Cycles v. CIT (379 ITR 347). Further reliance is also 30 Essar Shiping Ltd. Vs ACIT placed on the decisions of the Hon'ble Bombay High Court in the case of CIT v Piramal Glass Limited in Income Tax Appeal No 566 of 2017 dated 11.06.2019 (Bom), CIT v Sesa Resources Ltd. [404 ITR 707 (Bom)] and CIT v Reebok India Company (98 taxmann.com 413) in order to support our content…

Vic Enterprises Pvt. Ltd., New Delhi vs. DCIT, New Delhi

In the result, we hereby hold that (a) No disallowance on the interest is required when the assessee has got sufficient own funds at their disposal to lend/advance

ITA 2107/DEL/2017[2013-14]Status: DisposedITAT Delhi29 Jan 2020AY 2013-14

Bench: Sh. Kuldip Singhdr. B. R. R. Kumarita No. 2104/Del/2017 : Asstt. Year : 2010-11 Ita No. 2105/Del/2017 : Asstt. Year : 2011-12 Ita No. 2106/Del/2017 : Asstt. Year : 2012-13 Ita No. 2107/Del/2017 : Asstt. Year : 2013-14 Vic Enterprises Pvt. Ltd., Vs Deputy Commissioner Of 4Th Floor, Punjabi Bhawan, 10, Income Tax, Circle-26(1), Rouse Avenue, New Delhi New Delhi-110002 (Appellant) (Respondent) Pan No. Aaacv0132B Assessee By : Sh. M. P. Rastogi Revenue By : Ms. Ashima Neb, Sr. Dr Date Of Hearing: 21.01.2020 Date Of Pronouncement: 29.01.2020

For Appellant: Sh. M. P. RastogiFor Respondent: Ms. Ashima Neb, Sr. DR
Section 14A

…IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘G’, NEW DELHI Before Sh. Kuldip Singh, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 2104/Del/2017 : Asstt. Year : 2010-11 ITA No. 2105/Del/2017 : Asstt. Year : 2011-12 ITA No. 2106/Del/2017 : Asstt. Year : 2012-13 ITA No. 2107/Del/2017 : Asstt. Year : 2013-14 VIC Enterprises Pvt. Ltd., Vs Deputy Commissioner of 4th Floor, Punjabi Bhawan, 10, Income Tax, Circle-26(1), Rouse Avenue, New Delhi New Delhi-110002 (APPELLANT) (RESPONDENT) PAN No. AAACV0132B Assessee by : Sh. M. P. Rastogi Revenue by : Ms. Ashima Neb, Sr. DR Date of Hearing: 21.01.20…

Vic Enterprises Pvt. Ltd., New Delhi vs. DCIT, New Delhi

In the result, we hereby hold that (a) No disallowance on the interest is required when the assessee has got sufficient own funds at their disposal to lend/advance

ITA 2106/DEL/2017[2012-13]Status: DisposedITAT Delhi29 Jan 2020AY 2012-13

Bench: Sh. Kuldip Singhdr. B. R. R. Kumarita No. 2104/Del/2017 : Asstt. Year : 2010-11 Ita No. 2105/Del/2017 : Asstt. Year : 2011-12 Ita No. 2106/Del/2017 : Asstt. Year : 2012-13 Ita No. 2107/Del/2017 : Asstt. Year : 2013-14 Vic Enterprises Pvt. Ltd., Vs Deputy Commissioner Of 4Th Floor, Punjabi Bhawan, 10, Income Tax, Circle-26(1), Rouse Avenue, New Delhi New Delhi-110002 (Appellant) (Respondent) Pan No. Aaacv0132B Assessee By : Sh. M. P. Rastogi Revenue By : Ms. Ashima Neb, Sr. Dr Date Of Hearing: 21.01.2020 Date Of Pronouncement: 29.01.2020

For Appellant: Sh. M. P. RastogiFor Respondent: Ms. Ashima Neb, Sr. DR
Section 14A

…IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘G’, NEW DELHI Before Sh. Kuldip Singh, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 2104/Del/2017 : Asstt. Year : 2010-11 ITA No. 2105/Del/2017 : Asstt. Year : 2011-12 ITA No. 2106/Del/2017 : Asstt. Year : 2012-13 ITA No. 2107/Del/2017 : Asstt. Year : 2013-14 VIC Enterprises Pvt. Ltd., Vs Deputy Commissioner of 4th Floor, Punjabi Bhawan, 10, Income Tax, Circle-26(1), Rouse Avenue, New Delhi New Delhi-110002 (APPELLANT) (RESPONDENT) PAN No. AAACV0132B Assessee by : Sh. M. P. Rastogi Revenue by : Ms. Ashima Neb, Sr. DR Date of Hearing: 21.01.20…

Vic Enterprises Pvt. Ltd., New Delhi vs. DCIT, New Delhi

In the result, we hereby hold that (a) No disallowance on the interest is required when the assessee has got sufficient own funds at their disposal to lend/advance

ITA 2105/DEL/2017[2011-12]Status: DisposedITAT Delhi29 Jan 2020AY 2011-12

Bench: Sh. Kuldip Singhdr. B. R. R. Kumarita No. 2104/Del/2017 : Asstt. Year : 2010-11 Ita No. 2105/Del/2017 : Asstt. Year : 2011-12 Ita No. 2106/Del/2017 : Asstt. Year : 2012-13 Ita No. 2107/Del/2017 : Asstt. Year : 2013-14 Vic Enterprises Pvt. Ltd., Vs Deputy Commissioner Of 4Th Floor, Punjabi Bhawan, 10, Income Tax, Circle-26(1), Rouse Avenue, New Delhi New Delhi-110002 (Appellant) (Respondent) Pan No. Aaacv0132B Assessee By : Sh. M. P. Rastogi Revenue By : Ms. Ashima Neb, Sr. Dr Date Of Hearing: 21.01.2020 Date Of Pronouncement: 29.01.2020

For Appellant: Sh. M. P. RastogiFor Respondent: Ms. Ashima Neb, Sr. DR
Section 14A

…IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘G’, NEW DELHI Before Sh. Kuldip Singh, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 2104/Del/2017 : Asstt. Year : 2010-11 ITA No. 2105/Del/2017 : Asstt. Year : 2011-12 ITA No. 2106/Del/2017 : Asstt. Year : 2012-13 ITA No. 2107/Del/2017 : Asstt. Year : 2013-14 VIC Enterprises Pvt. Ltd., Vs Deputy Commissioner of 4th Floor, Punjabi Bhawan, 10, Income Tax, Circle-26(1), Rouse Avenue, New Delhi New Delhi-110002 (APPELLANT) (RESPONDENT) PAN No. AAACV0132B Assessee by : Sh. M. P. Rastogi Revenue by : Ms. Ashima Neb, Sr. DR Date of Hearing: 21.01.20…

Vic Enterprises Pvt. Ltd., New Delhi vs. DCIT, New Delhi

In the result, we hereby hold that (a) No disallowance on the interest is required when the assessee has got sufficient own funds at their disposal to lend/advance

ITA 2104/DEL/2017[2010-11]Status: DisposedITAT Delhi29 Jan 2020AY 2010-11

Bench: Sh. Kuldip Singhdr. B. R. R. Kumarita No. 2104/Del/2017 : Asstt. Year : 2010-11 Ita No. 2105/Del/2017 : Asstt. Year : 2011-12 Ita No. 2106/Del/2017 : Asstt. Year : 2012-13 Ita No. 2107/Del/2017 : Asstt. Year : 2013-14 Vic Enterprises Pvt. Ltd., Vs Deputy Commissioner Of 4Th Floor, Punjabi Bhawan, 10, Income Tax, Circle-26(1), Rouse Avenue, New Delhi New Delhi-110002 (Appellant) (Respondent) Pan No. Aaacv0132B Assessee By : Sh. M. P. Rastogi Revenue By : Ms. Ashima Neb, Sr. Dr Date Of Hearing: 21.01.2020 Date Of Pronouncement: 29.01.2020

For Appellant: Sh. M. P. RastogiFor Respondent: Ms. Ashima Neb, Sr. DR
Section 14A

…IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘G’, NEW DELHI Before Sh. Kuldip Singh, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 2104/Del/2017 : Asstt. Year : 2010-11 ITA No. 2105/Del/2017 : Asstt. Year : 2011-12 ITA No. 2106/Del/2017 : Asstt. Year : 2012-13 ITA No. 2107/Del/2017 : Asstt. Year : 2013-14 VIC Enterprises Pvt. Ltd., Vs Deputy Commissioner of 4th Floor, Punjabi Bhawan, 10, Income Tax, Circle-26(1), Rouse Avenue, New Delhi New Delhi-110002 (APPELLANT) (RESPONDENT) PAN No. AAACV0132B Assessee by : Sh. M. P. Rastogi Revenue by : Ms. Ashima Neb, Sr. DR Date of Hearing: 21.01.20…

M/S. Rukmani Agencies, Kolkata vs. ITO, Ward - 47(4), Kolkata

Appeal is partly allowed in above terms

ITA 1248/KOL/2018[2012-13]Status: DisposedITAT Kolkata11 Dec 2019AY 2012-13

Bench: Shri J. Sudhakar Reddy, Am & Shri S. S. Godara, Jm आयकर अपीलसं./I.T.A No.1248/Kol/2018 ("नधा"रण वष" / Assessment Year: 2012-13) M/S Rukmani Agencies Vs. Ito, Ward-47(4), Kolkata P.K. Himmatsinghka, Aa-4, Salt Lake, Kol-64. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aaffr0072C (Appellant) .. (Respondent)

For Appellant: Shri Pramod Kr. Himmatsingh, AdvocateFor Respondent: Shri Sankar Halder, JCIT, Sr. DR
Section 143(3)

…018 M/s Rukmani Agencies This is not the Revenue’s case that the same lacks the element of commercial expediency between two sister concerns as per hon’ble apex court’s landmark decision in S.A. Builders Ltd. v. CIT [2007] 288 ITR 1 & Hero Cycles Ltd. vs. CIT 379 ITR 347(SC). We draw support therefrom to conclude that the assessee’s act of advancing interest bearing funds to its sister concern involved commercial expediency and therefore, the impugned pro rata interest disallowance cannot be sustained. The same stands deleted. 9. This assessee’s appeal is partly allowed in above terms. Order is pronounced in th…