Hoshiarpur Electric Supply Co. v. CIT

41 ITR 608Supreme Court of India1961#6207 most cited
19

judgments rely on this decision, according to BharatTax’s citation analysis of 292,668 Indian tax judgments — from 2015 to 2024.

Issues it is cited on

section 181section 2(13)non-compete feesection 28(i)section 43(1)section 28(iv)commercial rightsfull value of considerationright to receiveadditional depreciationsection 18section 45

Judgments citing Hoshiarpur Electric Supply Co. v. CIT

THE DY CIT 1(1), INDORE vs. M/S M.P. PASCHIM KSHETRA VIDYUT VITARAN CO. LTD., INDORE

In the result, All the four appeals of the revenue and one cross appeal of the assessee are dismissed

ITA 86/IND/2023[2007-2008]Status: DisposedITAT Indore10 Apr 2024AY 2007-2008

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 143(3)Section 263

…ng new distribution system. Therefore, these charges cannot be utilized other than the purpose providing in the regulations. He has supported the impugned order of the CIT(A) and also relied upon following decisions: 1. Hoshiarpur Electric Supply Co. vs. CIT 41 ITR 608 (SC) 2. Monghyr Electric Supply Co. Ltd. vs. CIT 26 ITR 15 (Patna) 3. DCIT vs. Sabarmati Gas Co. Ltd. (ITANo.2956/Ahd/2010) date of order 02.03.2016 4. DCIT vs. BSES Yamuna Power Ltd. (ITANo.3800/Del/2015 date of order 08.02.2019 5. We have considered rival submission as well as relevant material on record. In the revision order passed u/s 263 th…

THE DY CIT 1(1), INDORE vs. M/S M.P. PASCHIM KSHETRA VIDYUT VITARAN CO. LTD., INDORE

In the result, All the four appeals of the revenue and one cross appeal of the assessee are dismissed

ITA 63/IND/2023[2013-14]Status: DisposedITAT Indore10 Apr 2024AY 2013-14

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 143(3)Section 263

…ng new distribution system. Therefore, these charges cannot be utilized other than the purpose providing in the regulations. He has supported the impugned order of the CIT(A) and also relied upon following decisions: 1. Hoshiarpur Electric Supply Co. vs. CIT 41 ITR 608 (SC) 2. Monghyr Electric Supply Co. Ltd. vs. CIT 26 ITR 15 (Patna) 3. DCIT vs. Sabarmati Gas Co. Ltd. (ITANo.2956/Ahd/2010) date of order 02.03.2016 4. DCIT vs. BSES Yamuna Power Ltd. (ITANo.3800/Del/2015 date of order 08.02.2019 5. We have considered rival submission as well as relevant material on record. In the revision order passed u/s 263 th…

THE DY CIT 1(1), INDORE vs. M/S M.P. PASCHIM KSHETRA VIDYUT VITARAN CO. LTD., INDORE

In the result, All the four appeals of the revenue and one cross appeal of the assessee are dismissed

ITA 62/IND/2023[2012-13]Status: DisposedITAT Indore10 Apr 2024AY 2012-13

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 143(3)Section 263

…ng new distribution system. Therefore, these charges cannot be utilized other than the purpose providing in the regulations. He has supported the impugned order of the CIT(A) and also relied upon following decisions: 1. Hoshiarpur Electric Supply Co. vs. CIT 41 ITR 608 (SC) 2. Monghyr Electric Supply Co. Ltd. vs. CIT 26 ITR 15 (Patna) 3. DCIT vs. Sabarmati Gas Co. Ltd. (ITANo.2956/Ahd/2010) date of order 02.03.2016 4. DCIT vs. BSES Yamuna Power Ltd. (ITANo.3800/Del/2015 date of order 08.02.2019 5. We have considered rival submission as well as relevant material on record. In the revision order passed u/s 263 th…

THE DY CIT1 (1), INDORE vs. M/S M.P. PASCHIM KSHETRA VIDYUT VITARAN CO. LTD., INDORE

In the result, All the four appeals of the revenue and one cross appeal of the assessee are dismissed

ITA 61/IND/2023[2011-12]Status: DisposedITAT Indore10 Apr 2024AY 2011-12

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 143(3)Section 263

…ng new distribution system. Therefore, these charges cannot be utilized other than the purpose providing in the regulations. He has supported the impugned order of the CIT(A) and also relied upon following decisions: 1. Hoshiarpur Electric Supply Co. vs. CIT 41 ITR 608 (SC) 2. Monghyr Electric Supply Co. Ltd. vs. CIT 26 ITR 15 (Patna) 3. DCIT vs. Sabarmati Gas Co. Ltd. (ITANo.2956/Ahd/2010) date of order 02.03.2016 4. DCIT vs. BSES Yamuna Power Ltd. (ITANo.3800/Del/2015 date of order 08.02.2019 5. We have considered rival submission as well as relevant material on record. In the revision order passed u/s 263 th…

M.P.PASHCHIM KSHETRA VIDYUT VITRAN CO LTD,INDORE vs. THE DY CIT 1(1), INDORE

In the result, All the four appeals of the revenue and one cross appeal of the assessee are dismissed

ITA 108/IND/2023[2007-08]Status: DisposedITAT Indore10 Apr 2024AY 2007-08

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 143(3)Section 263

…ng new distribution system. Therefore, these charges cannot be utilized other than the purpose providing in the regulations. He has supported the impugned order of the CIT(A) and also relied upon following decisions: 1. Hoshiarpur Electric Supply Co. vs. CIT 41 ITR 608 (SC) 2. Monghyr Electric Supply Co. Ltd. vs. CIT 26 ITR 15 (Patna) 3. DCIT vs. Sabarmati Gas Co. Ltd. (ITANo.2956/Ahd/2010) date of order 02.03.2016 4. DCIT vs. BSES Yamuna Power Ltd. (ITANo.3800/Del/2015 date of order 08.02.2019 5. We have considered rival submission as well as relevant material on record. In the revision order passed u/s 263 th…

SABARMATI GAS LIMITED,,AHMEDABAD vs. THE ASSTT. COMMISSIONER OF INCOME TAX, GANDHINAGAR CIRCLE,, GANDHINAGAR

Appeal of the Revenue is partly allowed for statistical purposes

ITA 1607/AHD/2016[2010-11]Status: DisposedITAT Ahmedabad28 Feb 2022AY 2010-11
For Appellant: Shri S. N. Soparkar, Sr. AdvocateFor Respondent: Shri Mohd Usman, CIT DR &
Section 250(6)

…is on account of bringing into place the plant & machinery and appellant has already claimed the reduced depreciation to this extent. Such conclusion is duly supported by decision of Hon 'hie Supreme Court in the case of Hoshiarpur Electric Supply Co Vs. CIT 41 ITR 608 (SC) where the recoupment of expenditure for bringing into existence a capital asset has been held as capital in nature. This is further supported by the decisions in the cases ofCIT Vs. Poona Electric Supply Co. Ltd, 14ITR 622 (Bom) and Monghyr Electric Supply Co, Ltd. Vs. CIT26ITR IS (Patna). Accordingly, this ground of appeal is allowed and the…

THE JOINT COMMISSIONER OF INCOME TAX(OSD),, GANDHINAGAR vs. SABARMATI GAS LIMITED,, GANDHINAGAR

Appeal of the Revenue is partly allowed for statistical purposes

ITA 1533/AHD/2016[2010-11]Status: DisposedITAT Ahmedabad28 Feb 2022AY 2010-11
For Appellant: Shri S. N. Soparkar, Sr. AdvocateFor Respondent: Shri Mohd Usman, CIT DR &
Section 250(6)

…is on account of bringing into place the plant & machinery and appellant has already claimed the reduced depreciation to this extent. Such conclusion is duly supported by decision of Hon 'hie Supreme Court in the case of Hoshiarpur Electric Supply Co Vs. CIT 41 ITR 608 (SC) where the recoupment of expenditure for bringing into existence a capital asset has been held as capital in nature. This is further supported by the decisions in the cases ofCIT Vs. Poona Electric Supply Co. Ltd, 14ITR 622 (Bom) and Monghyr Electric Supply Co, Ltd. Vs. CIT26ITR IS (Patna). Accordingly, this ground of appeal is allowed and the…

INTERGLOBE AVIATION LTD.,NEW DELHI vs. JCIT, SPECIAL RANGE- 4, NEW DELHI

Accordingly, appeal filed by the assessee for assessment year 2015 – 16 is allowed

ITA 7695/DEL/2018[2015-16]Status: DisposedITAT Delhi29 Oct 2021AY 2015-16

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi(Through Video Conferencing)

For Appellant: Shri Tarandeep Singh, Adv.; &For Respondent: Ms. Sunita Singh [CIT] – D.R
Section 28Section 37(1)Section 40

…necessary that the receipt should relate to the business but it should also be derived or inextricably linked to the business. For the above proposition, the decision of the Hon’ble Supreme Court in the case of Hosiarpur Electric Supply Co. Vs CIT reported in 41 ITR 608 (SC), which was relied upon by the learned Special Counsel for the assessee is relevant wherein the Hon’ble Supreme Court has observed as under:- “The assessee is a licensee of an electricity undertaking. In the year of account, April 1, 1947 to March 31, 1948, the assessee received Rs.12,530 for new service connections granted to its customers.…

INTERGLOBE AVIATION LTD.,NEW DELHI vs. ADDL. CIT, SPECIAL RANGE- 4, NEW DELHI

Accordingly, appeal filed by the assessee for assessment year 2015 – 16 is allowed

ITA 433/DEL/2018[2014-15]Status: DisposedITAT Delhi29 Oct 2021AY 2014-15

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi(Through Video Conferencing)

For Appellant: Shri Tarandeep Singh, Adv.; &For Respondent: Ms. Sunita Singh [CIT] – D.R
Section 28Section 37(1)Section 40

…necessary that the receipt should relate to the business but it should also be derived or inextricably linked to the business. For the above proposition, the decision of the Hon’ble Supreme Court in the case of Hosiarpur Electric Supply Co. Vs CIT reported in 41 ITR 608 (SC), which was relied upon by the learned Special Counsel for the assessee is relevant wherein the Hon’ble Supreme Court has observed as under:- “The assessee is a licensee of an electricity undertaking. In the year of account, April 1, 1947 to March 31, 1948, the assessee received Rs.12,530 for new service connections granted to its customers.…

INTERGLOBE AVIATION LTD.,NEW DELHI vs. ADDL. CIT, SPECIAL RANGE- 4, NEW DELHI

Accordingly, appeal filed by the assessee for assessment year 2015 – 16 is allowed

ITA 432/DEL/2018[2013-14]Status: DisposedITAT Delhi29 Oct 2021AY 2013-14

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi(Through Video Conferencing)

For Appellant: Shri Tarandeep Singh, Adv.; &For Respondent: Ms. Sunita Singh [CIT] – D.R
Section 28Section 37(1)Section 40

…necessary that the receipt should relate to the business but it should also be derived or inextricably linked to the business. For the above proposition, the decision of the Hon’ble Supreme Court in the case of Hosiarpur Electric Supply Co. Vs CIT reported in 41 ITR 608 (SC), which was relied upon by the learned Special Counsel for the assessee is relevant wherein the Hon’ble Supreme Court has observed as under:- “The assessee is a licensee of an electricity undertaking. In the year of account, April 1, 1947 to March 31, 1948, the assessee received Rs.12,530 for new service connections granted to its customers.…

ADDL. CIT, SPECIAL RANGE- 4, NEW DELHI vs. INTERGLOBE AVIATION LTD., NEW DELHI

Accordingly, appeal filed by the assessee for assessment year 2015 – 16 is allowed

ITA 413/DEL/2018[2014-15]Status: DisposedITAT Delhi29 Oct 2021AY 2014-15

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi(Through Video Conferencing)

For Appellant: Shri Tarandeep Singh, Adv.; &For Respondent: Ms. Sunita Singh [CIT] – D.R
Section 28Section 37(1)Section 40

…necessary that the receipt should relate to the business but it should also be derived or inextricably linked to the business. For the above proposition, the decision of the Hon’ble Supreme Court in the case of Hosiarpur Electric Supply Co. Vs CIT reported in 41 ITR 608 (SC), which was relied upon by the learned Special Counsel for the assessee is relevant wherein the Hon’ble Supreme Court has observed as under:- “The assessee is a licensee of an electricity undertaking. In the year of account, April 1, 1947 to March 31, 1948, the assessee received Rs.12,530 for new service connections granted to its customers.…

ADDL. CIT, SPECIAL RANGE- 4, NEW DELHI vs. INTERGLOBE AVIATION LTD., NEW DELHI

Accordingly, appeal filed by the assessee for assessment year 2015 – 16 is allowed

ITA 412/DEL/2018[2013-14]Status: DisposedITAT Delhi29 Oct 2021AY 2013-14

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi(Through Video Conferencing)

For Appellant: Shri Tarandeep Singh, Adv.; &For Respondent: Ms. Sunita Singh [CIT] – D.R
Section 28Section 37(1)Section 40

…necessary that the receipt should relate to the business but it should also be derived or inextricably linked to the business. For the above proposition, the decision of the Hon’ble Supreme Court in the case of Hosiarpur Electric Supply Co. Vs CIT reported in 41 ITR 608 (SC), which was relied upon by the learned Special Counsel for the assessee is relevant wherein the Hon’ble Supreme Court has observed as under:- “The assessee is a licensee of an electricity undertaking. In the year of account, April 1, 1947 to March 31, 1948, the assessee received Rs.12,530 for new service connections granted to its customers.…

DCIT, NEW DELHI vs. M/S. BSES YAMUNA POWER LTD., DELHI

In the result appeal filed by revenue stands dismissed

ITA 3800/DEL/2015[2008-09]Status: DisposedITAT Delhi08 Feb 2019AY 2008-09

Bench: Smt. Beena A Pillai & Shri Prashant Maharishiay: 2008-09

For Appellant: Sh. Rohit Jain, AdvFor Respondent: Sh. JK Mishra, CIT, DR
Section 143(2)

…ture. This volte face of the assessee seems to have triggered the AO's decision that the receipts were not capital but revenue and therefore entirely liable to be taxed. The issue is covered against the revenue in Hoshiarpur Electric Supply Co. vs. CIT {1961} 41 ITR 608 (SC). 9. As far as the change in the method of valuation is concerned, the 1TAT permitted the assessee to adopt the moving average ITA No.3800/Del/2015 A.Y.2008-09 methodology. The ITAT noted that the previous method adopted by the assessee was First In First Out (FIFO) in terms of AS2. However, they changed that method from 2005-2006 onwards. T…

ITO, WD-7(3), KOLKATA, KOLKATA vs. M/S ENERGY DEVELOPMENT COMPNAY LTD., KOLKATA

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

ITA 797/KOL/2014[2010-2011]Status: DisposedITAT Kolkata03 Mar 2017AY 2010-2011

Bench: Shri N.V.Vasudevan Jm & Dr. A.L.Saini, Am आयकर अपील सं./Ita No.797/Kol/2014 ("नधा"रण वष" / Assessment Year :2010-2011) Ito Ward-7(3), Kolkata, Vs. M/S Energy Development P-7, Chowringhee Square, Company Limited, R.No.17, 5Th Floor, Kolkata- Edcl House, 1A, Elgin 700 069 Road, Kolkata-700020 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aabce 6969 K .. (अपीलाथ" /Appellant) (""यथ" / Respondent) राज"व क" ओर से /Revenue By : None "नधा"रती क" ओर से /Assessee By : Ms.Vandana Bhandari सुनवाई क" तार"ख / Date Of Hearing : 07/02/2017 घोषणा क" तार"ख/Date Of Pronouncement 03/03/2017 आदेश / O R D E R Per Dr. Arjun Lal Saini, Am: ` The Captioned Appeal Filed By The Revenue, Pertaining To The Assessment Year 2010-2011, Is Directed Against The Order Passed By The Ld. Commissioner Of Income Tax (Appeals)-Viii, Kolkata, In Appeal No.145/Cit(A)-Viii/Kol/13-14, Dated 27.02.2014, Which In Turn Arises Out Of An Order Passed By The Ao U/S.143(3) Of The Income Tax Act 1961, (Hereinafter Referred To As The ‘Act’), Dated 28.03.2013. 2. Brief Facts Of The Case Qua The Assessee Are That The Assessee Filed Its Return Of Income Declaring Nil Income On Dated 14.10.2010, For A.Y.2010-11. The Case Of The Assessee Was Selected For Scrutiny Through Cass & The Ao Framed Assessment U/S.143(3) Treating The Forfeited Amount Of Rs.12,40,00,000/- As Revenue Income In Respect Of 75000 Warrants. The Assesse Under Consideration Had Forfeited 75000 Warrant Amounting To Rs. 12,40,00,000/- Allotted To Promoters & Other Investors

For Appellant: Ms.Vandana BhandariFor Respondent: None
Section 115JSection 143(3)Section 145(3)Section 28

…reasoning is devoid of any legal basis and can never form the basis of 6 M/s Energy Development Co.Ltd. completing an assessment. In addition to this, ld. AR for the assessee has relied on the following judgments :- (i).Hoshiarpur Electric Supply Co. [1961] 41 ITR 608 (SC) "The receipts though related to the business of the assessee as distributors of electricity were not incidental to nor in the course of the carrying on of the assessee's business; they were receipts for bringing into existence capital of 'lasting value. Contributions were not made merely for services rendered and to be rendered, but for insta…

PR. COMMISSIONER OF INCOME TAX -DELHI-2 vs. BSES YAMUNA POWER LTD

ITA/258/2016HC Delhi14 Sept 2016

Bench: HON'BLE MR. JUSTICE S. RAVINDRA BHAT,HON'BLE MS. JUSTICE DEEPA SHARMA

Section 115Section 2

…This volte face of the assessee seems to have triggered the AO’s decision that the receipts were not capital but revenue and therefore entirely liable to be taxed. The issue is covered against the revenue in Hoshiarpur Electric Supply Co. vs. CIT {1961} 41 ITR 608 (SC). 9. As far as the change in the method of valuation is concerned, the ITAT permitted the assessee to adopt the moving average methodology. The ITAT noted that the previous method adopted by the assessee was First In First Out (FIFO) in terms of AS2. However, they changed that method from 2005-2006 onwards. The ITAT concurred with…

PR. COMMISSIONER OF INCOME TAX -DELHI -2 vs. BSES RAJDHANI POWER LTD

ITA/666/2016HC Delhi14 Sept 2016

Bench: HON'BLE MR. JUSTICE S. RAVINDRA BHAT,HON'BLE MS. JUSTICE DEEPA SHARMA

Section 115Section 2

…This volte face of the assessee seems to have triggered the AO’s decision that the receipts were not capital but revenue and therefore entirely liable to be taxed. The issue is covered against the revenue in Hoshiarpur Electric Supply Co. vs. CIT {1961} 41 ITR 608 (SC). 9. As far as the change in the method of valuation is concerned, the ITAT permitted the assessee to adopt the moving average methodology. The ITAT noted that the previous method adopted by the assessee was First In First Out (FIFO) in terms of AS2. However, they changed that method from 2005-2006 onwards. The ITAT concurred with…

PR. COMMISSIONER OF INCOME TAX-DELHI-2 vs. BSES RAJDHANI POWER LTD

ITA/492/2016HC Delhi14 Sept 2016

Bench: HON'BLE MR. JUSTICE S. RAVINDRA BHAT,HON'BLE MS. JUSTICE DEEPA SHARMA

Section 115Section 2

…This volte face of the assessee seems to have triggered the AO’s decision that the receipts were not capital but revenue and therefore entirely liable to be taxed. The issue is covered against the revenue in Hoshiarpur Electric Supply Co. vs. CIT {1961} 41 ITR 608 (SC). 9. As far as the change in the method of valuation is concerned, the ITAT permitted the assessee to adopt the moving average methodology. The ITAT noted that the previous method adopted by the assessee was First In First Out (FIFO) in terms of AS2. However, they changed that method from 2005-2006 onwards. The ITAT concurred with…

PR. COMMISSIONER OF INCOME TAX DELHI -2 vs. BSES RAJDHANI POWER LTD

ITA/485/2016HC Delhi14 Sept 2016

Bench: HON'BLE MR. JUSTICE S. RAVINDRA BHAT,HON'BLE MS. JUSTICE DEEPA SHARMA

Section 115Section 2

…This volte face of the assessee seems to have triggered the AO’s decision that the receipts were not capital but revenue and therefore entirely liable to be taxed. The issue is covered against the revenue in Hoshiarpur Electric Supply Co. vs. CIT {1961} 41 ITR 608 (SC). 9. As far as the change in the method of valuation is concerned, the ITAT permitted the assessee to adopt the moving average methodology. The ITAT noted that the previous method adopted by the assessee was First In First Out (FIFO) in terms of AS2. However, they changed that method from 2005-2006 onwards. The ITAT concurred with…

BSES RAJDHANI POWER LTD.,NEW DELHI vs. ACIT, NEW DELHI

The appeal is partly allowed

ITA 3688/DEL/2011[2005-06]Status: DisposedITAT Delhi05 Oct 2015AY 2005-06

Bench: Shri I.C. Sudhir & Shri Inturi Rama Rao Assessment Year : 2005-06 Bses Rajdhani Power Ltd., Vs. Assistant Cit, Bses Bhawan, Nehru Place, Circle-3(1), New Delhi. New Delhi. (Pan: Aagcs3187H) (Appellant) (Respondent) Assessment Year: 2005-06 Deputy Cit, Vs. Bses Rajdhani Power Ltd., Circle 3(1), Bses Bhavan, Nehru Place, New Delhi. New Delhi. (Pan: Aagcs3187H) (Appellant) (Respondent) Assessment Year : 2006-07 Bses Rajdhani Power Ltd., Vs. Assistant Cit, Bses Bhawan, Nehru Place, Circle-3(1), New Delhi. New Delhi. (Pan: Aagcs3187H) (Appellant) (Respondent) Assessment Year: 2006-07 Deputy Cit, Vs. Bses Rajdhani Power Ltd., Circle 3(1), Bses Bhavan, Nehru Place, New Delhi. New Delhi. (Pan: Aagcs3187H) (Appellant) (Respondent)

Section 154

…expenditure incurred and capitalized under the head ‘plant & machinery’. 16.5 The Learned AR submitted that the aforesaid issue, is squarely covered by the landmark decision of the Hon’ble Supreme Court in the case of Hoshiarpur Electric Supply Co. vs. CIT: 41 ITR 608, wherein the apex Court has categorically held that the service connection receipts of an ‘electricity company’ are not receipts incidental to nor carrying on of the assessee’s business, but are receipts for bringing into existence capital of lasting value. Since the contributions made were not made merely for services rendered and to be rendered,…