Keshavji Ravji and Co. v. CIT

82 ITR 913Supreme Court of India1971#431 most cited
209

judgments rely on this decision, according to BharatTax’s citation analysis of 367,368 Indian tax judgments — from 2000 to 2025.

Also referred to as

Keshavji Ravji and Co. v. CIT · Section 269SS penalty · Section 269T penalty · Section 271D penalty · Section 271E penalty · cash transactions penalty · literal interpretation tax law · legislative intent tax · income deemed assessee's · definition of relative

Also reported as

49 Taxmann 87

Sections most often in play

Section 143(3)Section 153ASection 131(1A)Section 132ASection 269SSSection 269TSection 271DSection 271E

Issues it is cited on

section 5(8)closely held companyprincipal director general of income-taxaccumulated profitssection 292bsection 292bbsection 260section 260asection 282section 292section 119section 29

Judgments citing Keshavji Ravji and Co. v. CIT

Tata Education Trust, Mumbai vs. Pr CIT 17, Mumbai

ITA 7241/MUM/2019[2019-20]Status: DisposedITAT Mumbai24 Mar 2021AY 2019-20
Section 11Section 115TSection 12A

…oyed in the execution of this Act shall observe and follow such orders, instructions and directions of the Board”. The CBDT circulars thus bind all the field authorities. In Navnitlal Jhaveri Vs Sen [(1965) 56 ITR 198 (SC)], Ellerman Lines Ltd Vs CIT [( 1971) 82 ITR 913 (SC)] and K P Verghese Vs ITO [( 1981) 131 ITR 597 (SC)], Hon’ble Supreme Court has accepted the validity and binding nature of the beneficent or benevolent circulars, and recognized the taxpayer’s right to enforce these circulars, in favour of the assessee, even in courts. In the case of Sedco Forex International Drill Inc Vs CIT [(2005) 279 ITR…

Sarvajanik Seva Trust, Mumbai vs. Pr CIT 17, Mumbai

ITA 7240/MUM/2019[2019-20]Status: DisposedITAT Mumbai24 Mar 2021AY 2019-20

Bench: Us, Are As Follows: Assessment Year: 2019-20

Section 11Section 115TSection 12A

…oyed in the execution of this Act shall observe and follow such orders, instructions and directions of the Board”. The CBDT circulars thus bind all the field authorities. In Navnitlal Jhaveri Vs Sen [(1965) 56 ITR 198 (SC)], Ellerman Lines Ltd Vs CIT [( 1971) 82 ITR 913 (SC)] and K P Verghese Vs ITO [( 1981) 131 ITR 597 (SC)], Hon’ble Supreme Court has accepted the validity and binding nature of the beneficent or benevolent circulars, and recognized the taxpayer’s right to enforce these circulars, in favour of the assessee, even in courts. In the case of Sedco Forex International Drill Inc Vs CIT [(2005) 279 ITR…

Jamsetji Tata Trust, Mumbai vs. Pr CIT 17, Mumbai

ITA 7239/MUM/2019[2019-20]Status: DisposedITAT Mumbai24 Mar 2021AY 2019-20

Bench: Us, Are As Follows: Assessment Year: 2019-20

Section 11Section 115TSection 12A

…oyed in the execution of this Act shall observe and follow such orders, instructions and directions of the Board”. The CBDT circulars thus bind all the field authorities. In Navnitlal Jhaveri Vs Sen [(1965) 56 ITR 198 (SC)], Ellerman Lines Ltd Vs CIT [( 1971) 82 ITR 913 (SC)] and K P Verghese Vs ITO [( 1981) 131 ITR 597 (SC)], Hon’ble Supreme Court has accepted the validity and binding nature of the beneficent or benevolent circulars, and recognized the taxpayer’s right to enforce these circulars, in favour of the assessee, even in courts. In the case of Sedco Forex International Drill Inc Vs CIT [(2005) 279 ITR…

Navajbai Ratan Tata Trust, Mumbai vs. Pr CIT 17, Mumbai

ITA 7238/MUM/2019[2019-20]Status: DisposedITAT Mumbai24 Mar 2021AY 2019-20

Bench: Us, Are As Follows: Page 2 Of 47 1 A) The Impugned Order Dated 31.10.2019 Passed By The Learned Principal Commissioner Of Income-Tax-17 ('Pcit') Under Section 12Aa(3)/(4) Of The Income-Tax Act, 1961 ('Ita') Cancelling The Registration Of The Appellant Is Without Jurisdiction And, Hence, Void Ab Initio.

Section 11Section 115TSection 12ASection 12A(3)

…oyed in the execution of this Act shall observe and follow such orders, instructions and directions of the Board”. The CBDT circulars thus bind all the field authorities. In Navnitlal Jhaveri Vs Sen [(1965) 56 ITR 198 (SC)], Ellerman Lines Ltd Vs CIT [( 1971) 82 ITR 913 (SC)] and K P Verghese Vs ITO [( 1981) 131 ITR 597 (SC)], Hon’ble Supreme Court has accepted the validity and binding nature of the beneficent or benevolent circulars, and recognized the taxpayer’s right to enforce these circulars, in favour of the assessee, even in courts. In the case of Sedco Forex International Drill Inc Vs CIT [(2005) 279 ITR…

Tata Social Welfare Trust, Mumbai vs. Pr CIT 17, Mumbai

ITA 7237/MUM/2019[2019-20]Status: DisposedITAT Mumbai24 Mar 2021AY 2019-20

Bench: Us, Are As Follows: Assessment Year: 2019-20

Section 11Section 115TSection 12A

…oyed in the execution of this Act shall observe and follow such orders, instructions and directions of the Board”. The CBDT circulars thus bind all the field authorities. In Navnitlal Jhaveri Vs Sen [(1965) 56 ITR 198 (SC)], Ellerman Lines Ltd Vs CIT [( 1971) 82 ITR 913 (SC)] and K P Verghese Vs ITO [( 1981) 131 ITR 597 (SC)], Hon’ble Supreme Court has accepted the validity and binding nature of the beneficent or benevolent circulars, and recognized the taxpayer’s right to enforce these circulars, in favour of the assessee, even in courts. In the case of Sedco Forex International Drill Inc Vs CIT [(2005) 279 ITR…

Bangalore Truf Club Limited, Bengaluru vs. Assistant Commissioner of Income Tax, Circle-2(1)(1), Bengaluru

In the result appeal filed by assessee for assessment year 2012-

ITA 1848/BANG/2019[2012-13]Status: DisposedITAT Bangalore18 Dec 2020AY 2012-13

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Respondent: Shri Padamchand Khincha, C.A
Section 143(3)Section 194BSection 201fSection 234BSection 234CSection 40

…or third, as the case may be. It was contended that the CBDT Circulars are binding on the Departmental authorities, as held by the Hon'ble Supreme Court in the cases of K.P. Verghese v. ITO [1981] 7 Taxman 13/131 ITR 597 and Ellerman Lines Ltd. v. CIT [1971] 82 ITR 913. In fact, the very same Circular No. 240 dated 17.05.1978 came up for consideration before the Madras High Court in the case of CIT v. Investment Trust of India Ltd. [2003] 127 Taxman 168/264 ITR 506 and it was held to be binding on the Departmental authorities. Accordingly, it has been explained that in view of the Circular of CBDT dated 17.05.19…

M/S Yokogawa India Ltd vs. The Deputy Commissioner

In the result, the appeal is disposed of

ITA/87/2012HC Karnataka04 Jun 2020

Bench: ALOK ARADHE,HEMANT CHANDANGOUDAR

Section 115JSection 143(1)Section 143(2)Section 260Section 260A

…further submitted that while passing the impugned order, the tribunal has misinterpreted the statutory 9 provisions. In support of aforesaid submissions, reliance has been placed on the following decisions ‘KESHAVJI RAVJI & CO. V. CIT’, (1990) 183 ITR 1 (SC), CIRCULAR NO.762 DATED 18.02.1998, ‘BUDGET SPEECH 2000’, 242 ITR (ST.) 1, ‘MEMORANDUM EXPLAINING THE PROVISIONS OF THE FINANCE BILL, 2000’, 242 ITR (ST.) 33, ‘ CBDT CIRCULAR NO.794, DATED 09.08.2000’, ‘JAYSHREE TEA & INDUSTRIES LTD. & ANOTHER V. UOI & OTHERS’, (2006) 285 ITR 506 (CAL.)’, ‘CIT, BANGALORE V. M/S YOKOGAWA INDIA…

ACIT, New Delhi vs. M/S. Futurz Next Services (P) Ltd., New Delhi

The appeal of the assessee is partly allowed

ITA 2396/DEL/2017[2013-14]Status: DisposedITAT Delhi02 Jun 2020AY 2013-14

Bench: Shri Sudhanshu Srivastava & Shri Prashant Maharishi

For Appellant: Shri Ved Jain AdvocateFor Respondent: Ms Ashima Neb Sr DR
Section 143(3)Section 14ASection 2(22)(e)

…INCOME TAX APPELLATE TRIBUNAL [DELHI BENCH “B”: NEW DELHI] BEFORE SHRI SUDHANSHU SRIVASTAVA, JUDICIAL MEMBER AND SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER ITA No. 1383/Del/2017 [by Assessee] And ITA No. 2396/Del/2017 [by Department] (Assessment Year: 2013-14) Dy. CIT, M/s Futurz Next Services Central Circle-29, Vs. (Private) Limited, New Delhi FA - 45, Shivaji Enclave, New Delhi – 110 027. PAN: AABCJ7692K (Appellant) (Respondent) Revenue by : Ms Ashima Neb Sr DR Mr. Jagdish Singh, Sr. DR Assessee by: Shri Ved Jain Advocate Shri Rishabh Jain CA Shri Ashish Goel, C. A.; Date of Hearing 31/10/2019 and 16/03/…

Punjab National Bank, New Delhi vs. Addl. CIT, New Delhi

In the result, the appeal of the revenue is dismissed and the appeal of the assessee is allowed

ITA 3041/DEL/2017[2013-14]Status: DisposedITAT Delhi13 May 2020AY 2013-14

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 2954/Del/2012 : Asstt. Year : 2013-14 Dcit, Vs M/S Punjab National Bank, Circle-20(1), Ho: Finance Division, 5, Sansad New Delhi Marg, New Delhi-110001 (Appellant) (Respondent) Pan No. Aaacp0165G

For Appellant: Sh. S. Krishnan, AdvFor Respondent: Smt. Sushma Singh, CIT DR
Section 142(1)

…a legal term which has received judicial interpretation, the courts must assume that the term has been used in the sense in which it has been judicially interpreted." Similar view was taken by the apex court in the case of Keshavji Ravji and Company vs. CIT 183 ITR 1 by observing as under: "when words acquire a particular meaning or sense because of their authoritative construction by superior courts, they are presumed to have been used in the same sense when used in a subsequent legislation in the same or similar context". 4.5 In view of the above legal position, it is stated that the expression' in relation…

DCIT, New Delhi vs. M/S. Punjab National Bank, New Delhi

In the result, the appeal of the revenue is dismissed and the appeal of the assessee is allowed

ITA 2954/DEL/2017[2013-14]Status: DisposedITAT Delhi13 May 2020AY 2013-14

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 2954/Del/2012 : Asstt. Year : 2013-14 Dcit, Vs M/S Punjab National Bank, Circle-20(1), Ho: Finance Division, 5, Sansad New Delhi Marg, New Delhi-110001 (Appellant) (Respondent) Pan No. Aaacp0165G

For Appellant: Sh. S. Krishnan, AdvFor Respondent: Smt. Sushma Singh, CIT DR
Section 142(1)

…a legal term which has received judicial interpretation, the courts must assume that the term has been used in the sense in which it has been judicially interpreted." Similar view was taken by the apex court in the case of Keshavji Ravji and Company vs. CIT 183 ITR 1 by observing as under: "when words acquire a particular meaning or sense because of their authoritative construction by superior courts, they are presumed to have been used in the same sense when used in a subsequent legislation in the same or similar context". 4.5 In view of the above legal position, it is stated that the expression' in relation…

Smt. Renu Jain, New Delhi vs. ITO, Ward 5(2), Jaipur

In the result, the matter is decided in favour of the assessee and against the Revenue and the sole ground of appeal is allowed

ITA 96/JPR/2020[2011-12]Status: DisposedITAT Jaipur06 Mar 2020AY 2011-12
For Appellant: Shri Akshay Shah (C.A.)For Respondent: Miss Chanchal Meena (JCIT)
Section 139Section 143(3)Section 147Section 148Section 54F

…tend and mean what it says The need for interpretation arises only when the words used in the statute are, on their own terms ambivalent and do not manifest the intention of the legislature Keshavji Ravji and Co. and Ors. v. Commissioner of Income Tax :[1990] 183 ITR 1 (SC) . 25. But there are exceptions to this rule. The first is that the rule of strict construction does not apply to a provision which merely lays down the machinery for the calculation or procedure for the collection of tax. 27. The second exception is: If two constructions are possible and a strict construction would lead to an absurd result the…

Kaybee P.Ltd, Mumbai vs. ITO 10(1)(3) (Erstwhile Juridictional ITO 8(2)(2), Mumbai

In the result, the appeal is allowed in the terms indicated above

ITA 4950/MUM/2018[2006-07]Status: DisposedITAT Mumbai28 Feb 2020AY 2006-07
Section 143(3)Section 271Section 271ASection 271BSection 92ASection 92A(1)(b)Section 92A(2)Section 92DSection 92E

…ITA No. 4949 and 4950/Mum/15 Assessment year: 2006-07 Page 1 of 17 IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI K BENCH, MUMBAI [Coram: Pramod Kumar (Vice President) and Saktijit Dey (Judicial Member)] ITA No 4949 and 4950/Mum/18 Assessment year: 2006-07 Kaybee Pvt Ltd …………….Appellant 301, A Wing, Solaris I, Saki Vihar Road Andheri (East), Mumbai 400 072 [PAN: AAACK1715H] Vs Income Tax Officer Ward 10(1)(3), Mumbai …………….. Respondent Appearances by P J Pardiwalla along-with Madhur Agarwal for the appellant Ujjawal Kumar for the respondent Dates of hearing of the appeal : February 18 and 21, 2020 Date of pronou…

Kaybee P.Ltd, Mumbai vs. ITO 10(1)(3) (Erstwhile Juridictional ITO 8(2)(2), Mumbai

In the result, the appeal is allowed in the terms indicated above

ITA 4949/MUM/2018[2006-07]Status: DisposedITAT Mumbai28 Feb 2020AY 2006-07
Section 143(3)Section 271Section 271ASection 271BSection 92ASection 92A(1)(b)Section 92A(2)Section 92DSection 92E

…ITA No. 4949 and 4950/Mum/15 Assessment year: 2006-07 Page 1 of 17 IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI K BENCH, MUMBAI [Coram: Pramod Kumar (Vice President) and Saktijit Dey (Judicial Member)] ITA No 4949 and 4950/Mum/18 Assessment year: 2006-07 Kaybee Pvt Ltd …………….Appellant 301, A Wing, Solaris I, Saki Vihar Road Andheri (East), Mumbai 400 072 [PAN: AAACK1715H] Vs Income Tax Officer Ward 10(1)(3), Mumbai …………….. Respondent Appearances by P J Pardiwalla along-with Madhur Agarwal for the appellant Ujjawal Kumar for the respondent Dates of hearing of the appeal : February 18 and 21, 2020 Date of pronou…

Kaybee P.Ltd, Mumbai vs. ITO 10(1)(3) (Erstwhile Juridictional ITO 8(2)(2), Mumbai

In the result, the appeal is allowed in the terms indicated above

ITA 2165/MUM/2015[2007-08]Status: DisposedITAT Mumbai28 Feb 2020AY 2007-08
Section 143(3)Section 92ASection 92A(1)Section 92A(1)(b)Section 92A(2)

…f the related provision) and they depart or deviate from such construction. It is now well settled, as a result of decisions of this court, one in Navnit Lal C Jhaveri Vs K K Sen, AAC [(1965) 56 ITR 198 (SC)] and the other in Ellerman Lines Ltd Vs CIT [(1971) 82 ITR 913 (SC)] that circulars issued by the CBDT under s 119 of the Act are binding on all officers and persons employed in execution of the Act even if they deviate from the provisions in law”. When a decision is arrived at contrary, in letter and in spirit, to the position set out in the CBDT circular, which are binding in the light of law laid down by H…

Kaybee P.Ltd, Mumbai vs. ITO 10(1)(3) (Erstwhile Juridictional ITO 8(2)(2), Mumbai

In the result, the appeal is allowed in the terms indicated above

ITA 2164/MUM/2015[2006-07]Status: DisposedITAT Mumbai28 Feb 2020AY 2006-07
Section 143(3)Section 92ASection 92A(1)Section 92A(1)(b)Section 92A(2)

…f the related provision) and they depart or deviate from such construction. It is now well settled, as a result of decisions of this court, one in Navnit Lal C Jhaveri Vs K K Sen, AAC [(1965) 56 ITR 198 (SC)] and the other in Ellerman Lines Ltd Vs CIT [(1971) 82 ITR 913 (SC)] that circulars issued by the CBDT under s 119 of the Act are binding on all officers and persons employed in execution of the Act even if they deviate from the provisions in law”. When a decision is arrived at contrary, in letter and in spirit, to the position set out in the CBDT circular, which are binding in the light of law laid down by H…

Uniworth Limited, Kolkata vs. DCIT, Circle - 11, Kolkata

In the result, appeals filed by the assessee in ITA No

ITA 2554/KOL/2017[2006-07]Status: DisposedITAT Kolkata20 Jan 2020AY 2006-07

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

For Appellant: Shri N.M. Bhansali, AdvocateFor Respondent: Shri Supriyo Pal, JCIT, Sr. DR
Section 143(1)Section 143(3)Section 147Section 148

…eri's case (supra) this Court observed that circulars issued by the Board under section 119 are binding on all officers and persons employed in the execution of the Act even if they deviate from the provisions of the Act. In Keshavji Ravji & Co. v. CIT [1990] 183 ITR 1/ 49 Taxman 87, a Bench of three Judges of this Court has also taken the view that circulars beneficial to the assessee which tone down the rigour of the law and are issued in exercise of the statutory powers under section 119 are binding on the authorities in the administration of the Act. The benefit of such circulars is admissible to the assessee…

Uniworth Limited, Kolkata vs. ACIT, Circle - 11, Kolkata

In the result, appeals filed by the assessee in ITA No

ITA 2553/KOL/2017[2004-05]Status: DisposedITAT Kolkata20 Jan 2020AY 2004-05

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

For Appellant: Shri N.M. Bhansali, AdvocateFor Respondent: Shri Supriyo Pal, JCIT, Sr. DR
Section 143(1)Section 143(3)Section 147Section 148

…eri's case (supra) this Court observed that circulars issued by the Board under section 119 are binding on all officers and persons employed in the execution of the Act even if they deviate from the provisions of the Act. In Keshavji Ravji & Co. v. CIT [1990] 183 ITR 1/ 49 Taxman 87, a Bench of three Judges of this Court has also taken the view that circulars beneficial to the assessee which tone down the rigour of the law and are issued in exercise of the statutory powers under section 119 are binding on the authorities in the administration of the Act. The benefit of such circulars is admissible to the assessee…

Uniworth Limited, Kolkata vs. DCIT, Circle - 11, Kolkata

In the result, appeals filed by the assessee in ITA No

ITA 2552/KOL/2017[2003-04]Status: DisposedITAT Kolkata20 Jan 2020AY 2003-04

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

For Appellant: Shri N.M. Bhansali, AdvocateFor Respondent: Shri Supriyo Pal, JCIT, Sr. DR
Section 143(1)Section 143(3)Section 147Section 148

…eri's case (supra) this Court observed that circulars issued by the Board under section 119 are binding on all officers and persons employed in the execution of the Act even if they deviate from the provisions of the Act. In Keshavji Ravji & Co. v. CIT [1990] 183 ITR 1/ 49 Taxman 87, a Bench of three Judges of this Court has also taken the view that circulars beneficial to the assessee which tone down the rigour of the law and are issued in exercise of the statutory powers under section 119 are binding on the authorities in the administration of the Act. The benefit of such circulars is admissible to the assessee…

Mumbai International Airport P.Ltd, Mumbai vs. DCIT 10(2)(2), Mumbai

In the result, appeal filed by the revenue is dismissed

ITA 2018/MUM/2018[2013-14]Status: DisposedITAT Mumbai10 Jan 2020AY 2013-14

Bench: Shri G. Manjunatha & Shri Ravish Soodmumbai International Airport Vs. Dcit,Circle-10(2)(2) Private Limited Room No.209,Aaykar Bhawan Finance Department M.K.Road 1St Floor, Terminal 1B Mumbai-400 020 Chhatrapati Shivaji Internaitonal Airport Santacruz (E) Mumbai-400 099 Pan/Gir No.Aaecm6285C (Appellant) .. (Respondent) & Dcit-10(2)(2) Vs. Mumbai International Room No.216-A,Aaykar Bhawan Airport Private Limited M.K.Road Finance Department, 1St Floor, Terminal 1B Mumbai-400 020 Chhatrapati Shivaji Internaitonal Airport Santacruz (E) Mumbai-400 099

Section 143(3)Section 14ASection 40

…e of just, proper and efficient management of work of assessment. However, these are not meant for contradicting or nullifying any provision of the statute. Relying upon its earlier judgment comprising of three judges in the case of Keshavji Ravji & Co vs CIT 183 ITR 1 (SC), it was inter-alia observed that Board cannot pre-empt judicial interpretation and the scope and ambit of a provision of the Act. Also, a circular cannot impose on the taxpayer a burden higher than what the Act itself on a true interpretation, envisages. The task of interpretation of the law is exclusively the domain of the Courts. However, th…

Sri Sudheer Valsala Sreekumaran, Bangalore vs. The Income Tax Officer Ward-5(3)(2), Bangalore

In the result, the appeal of the assessee is treated as allowed

ITA 393/BANG/2019[2013-14]Status: DisposedITAT Bangalore20 Dec 2019AY 2013-14

Bench: Shri B.R Baskaran & Shri Pavan Kumar Gadaleassessment Year : 2013-14

For Appellant: Shri V Srinivasan, AdvocateFor Respondent: Smt. R Premi, JCIT (DR)
Section 139(1)Section 139(4)Section 54ESection 54FSection 54F(4)

…IN THE INCOME TAX APPELLATE TRIBUNAL “C’’ BENCH : BANGALORE BEFORE SHRI B.R BASKARAN, ACCOUNTANT MEMBER AND SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER Assessment year : 2013-14 Sri Sudheer Valsala Sreekumaran, Vs. The Income-tax Officer, # Flat – B, 101, ‘Sharada Nivas’, Ward-5(3)(2), Sterlign Apartments, 6th Main, Bengaluru. 15th Cross, Indiranagar, Near ESI Hospital. Bengaluru-560 038. PAN – CFTPS 5268 A APPELLANT RESPONDENT Appellant by : Shri V Srinivasan, Advocate Respondent by : Smt. R Premi, JCIT (DR) Date of hearing : 11.12.2019 Date of Pronouncement : .12.2019 O R D E R Per B.R Baskaran, Accountant…