Kumaran Mills Ltd. v. CIT

JCIT (OSD) Circle-2, Trichy vs. The Karur Vysya Bank Ltd., Karur

In the result, appeal filed by the Revenue for assessment year

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकर अपील सं./Ita No.: 620/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 Deputy Commissioner Of Income M/S. Karur Vysya Bank, V. Tax, Finance &Control Dept., Circle -2(1), Erode Road, Trichy. Karur – 639 002. [Pan: Aaact-3373-J] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 635/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 M/S. Karur Vysya Bank, The Joint Commissioner Of V. Finance &Control Dept., Income Tax, Erode Road, Circle -2, Karur – 639 002. No.44, Williams Road, [Pan: Aaact-3373-J] Contanment, Trichy – 620 001. (अपीलाथ"/Appellant) (""यथ"/Respondent) Assessee By : Shri. Ananthan, Ca & Smt. R. Lalitha, Ca Department By : Shri. Nilay Baran Som, Cit सुनवाई क" तारीख/Date Of Hearing : 05.08.2024 घोषणा क" तारीख/Date Of Pronouncement : 20.09.2024 आदेश /O R D E R Per S. R. Raghunatha:

…ndings of the Tribunal are as under: 16. The Ld. DR submitted that the Ld. CIT(A) erred in deleting the disallowance of ex-gratia payment following the decision of the CIT vs Maina Ore Transport Pvt. Ltd., 324 ITR 100 (Bom) and Kumaran Mills Ltd vs CIT (2000) 241 ITR 564 (Mad) which are distinguishable and not applicable to this case. Per contra, the Ld. AR supported the order of the Ld. CIT(A) and relied on this tribunal decision in its case in 72 ITR (Trib) 26 (Chennai), the relevant portion is extracted as under : “24. Ground No. 4 challenges the disallowance of ex-gratia payment of Rs. 4,46,29,688/-. We dealt…

The Karur Vysya Bank Ltd., Karur vs. ACIT, Trichy

Bench: Shri V. Durga Rao & Shri G. Manjunatha

…ndings of the Tribunal are as under: 16. The Ld. DR submitted that the Ld. CIT(A) erred in deleting the disallowance of ex-gratia payment following the decision of the CIT vs Maina Ore Transport Pvt. Ltd., 324 ITR 100 (Bom) and Kumaran Mills Ltd vs CIT (2000) 241 ITR 564 (Mad) which are distinguishable and not applicable to this case. Per contra, the Ld. AR supported the order of the Ld. CIT(A) and relied on this tribunal decision in its case in 72 ITR (Trib) 26 (Chennai), the relevant portion is extracted as under : 12 I.T.A. Nos.2762 & 2765/Chny/2017 & 332/Chny/2018 “24. Ground No.4 challenges the disallowa…

The Karur Vysya Bank Ltd., Karur vs. DCIT Circle 2(1), Trichy

Bench: Shri V. Durga Rao & Shri G. Manjunatha

…ndings of the Tribunal are as under: 16. The Ld. DR submitted that the Ld. CIT(A) erred in deleting the disallowance of ex-gratia payment following the decision of the CIT vs Maina Ore Transport Pvt. Ltd., 324 ITR 100 (Bom) and Kumaran Mills Ltd vs CIT (2000) 241 ITR 564 (Mad) which are distinguishable and not applicable to this case. Per contra, the Ld. AR supported the order of the Ld. CIT(A) and relied on this tribunal decision in its case in 72 ITR (Trib) 26 (Chennai), the relevant portion is extracted as under : 12 I.T.A. Nos.2762 & 2765/Chny/2017 & 332/Chny/2018 “24. Ground No.4 challenges the disallowa…

DCIT Circle 2(1), Trichy vs. The Karur Vysya Bank Ltd., Karur

Bench: Shri V. Durga Rao & Shri G. Manjunatha

…ndings of the Tribunal are as under: 16. The Ld. DR submitted that the Ld. CIT(A) erred in deleting the disallowance of ex-gratia payment following the decision of the CIT vs Maina Ore Transport Pvt. Ltd., 324 ITR 100 (Bom) and Kumaran Mills Ltd vs CIT (2000) 241 ITR 564 (Mad) which are distinguishable and not applicable to this case. Per contra, the Ld. AR supported the order of the Ld. CIT(A) and relied on this tribunal decision in its case in 72 ITR (Trib) 26 (Chennai), the relevant portion is extracted as under : 12 I.T.A. Nos.2762 & 2765/Chny/2017 & 332/Chny/2018 “24. Ground No.4 challenges the disallowa…

The Karur Vysya Bank Ltd., Karur vs. ACIT, Trichy

In the result, the appeal filed by the assessee-bank is partly allowed

Bench: Shri N.R.S. Ganesan & Shri S. Jayaramanआयकर अपील सं/.Ita No. 54/Chny/2018 "नधा#रण वष# / Assessment Year : 2012-13 The Karur Vysya Bank Ltd., The Assistant Commissioner Of Registered & Central Office, V. Income Tax, Erode Road, Circle 2(1), Karur 639002. Tiruchirapalli. Pan : Aaact 3373J

…esponding grounds are dismissed . 16. The Ld. DR submitted that the Ld. CIT(A) erred in deleting the disallowance of ex-gratia payment following the decision of the CIT vs Maina Ore Transport Pvt. Ltd., 324 ITR 100 (Bom) and Kumaran Mills Ltd vs CIT (2000) 241 ITR 564 (Mad) which are distinguishable and not applicable to this case. Per contra, the Ld. AR supported the order of :-18-: & 54/Chny/2018 the Ld. CIT(A) and relied on this tribunal decision in its case in 72 ITR (Trib) 26 (Chennai), the relevant portion is extracted as under : “24. Ground No.4 challenges the disallowance of ex-gratia payment of Rs.…

DCIT Circle 2(1), Trichy vs. The Karur Vysya Bank Ltd., Karur

In the result, the appeal filed by the assessee-bank is partly allowed

Bench: Shri N.R.S. Ganesan & Shri S. Jayaramanआयकर अपील सं/.Ita No. 54/Chny/2018 "नधा#रण वष# / Assessment Year : 2012-13 The Karur Vysya Bank Ltd., The Assistant Commissioner Of Registered & Central Office, V. Income Tax, Erode Road, Circle 2(1), Karur 639002. Tiruchirapalli. Pan : Aaact 3373J

…esponding grounds are dismissed . 16. The Ld. DR submitted that the Ld. CIT(A) erred in deleting the disallowance of ex-gratia payment following the decision of the CIT vs Maina Ore Transport Pvt. Ltd., 324 ITR 100 (Bom) and Kumaran Mills Ltd vs CIT (2000) 241 ITR 564 (Mad) which are distinguishable and not applicable to this case. Per contra, the Ld. AR supported the order of :-18-: & 54/Chny/2018 the Ld. CIT(A) and relied on this tribunal decision in its case in 72 ITR (Trib) 26 (Chennai), the relevant portion is extracted as under : “24. Ground No.4 challenges the disallowance of ex-gratia payment of Rs.…

DCIT, Trichy vs. M/S. the Karur Vysya Bank. Ltd., Karur

Accordingly, the claim of the assessee that it had to be allowed on actual payment basis was, in our opinion, rightly allowed by the CIT(Appeals)

Bench: Shri N.R.S. Ganesan & Shri Abraham P. George

…According to Ld. CIT(Appeals), the ex-gratia payment was decided by the assessee in consultation with Employees’ Union and Officers’ Association and by virtue of judgment of Hon'ble jurisdictional High Court in the case of Kumaran Mills Ltd. v. CIT (2000) 241 ITR 564, these payments could be allowed on the ground of commercial expediency under Section 37 of the Act. He allowed the plea. 38. Now before us, Ld. D.R. strongly assailing the order of Ld. CIT(Appeals), submitted that the ex-gratia payment was not based on any performance appraisal of the employees and it was a purely gratuitous payment. Theref…

DCIT, Trichy vs. The Karur Vysya Bank Ltd., Karur

Accordingly, the claim of the assessee that it had to be allowed on actual payment basis was, in our opinion, rightly allowed by the CIT(Appeals)

Bench: Shri N.R.S. Ganesan & Shri Abraham P. George

…According to Ld. CIT(Appeals), the ex-gratia payment was decided by the assessee in consultation with Employees’ Union and Officers’ Association and by virtue of judgment of Hon'ble jurisdictional High Court in the case of Kumaran Mills Ltd. v. CIT (2000) 241 ITR 564, these payments could be allowed on the ground of commercial expediency under Section 37 of the Act. He allowed the plea. 38. Now before us, Ld. D.R. strongly assailing the order of Ld. CIT(Appeals), submitted that the ex-gratia payment was not based on any performance appraisal of the employees and it was a purely gratuitous payment. Theref…

The Karur Vysya Bank Ltd., Karur vs. JCIT, Trichy

Accordingly, the claim of the assessee that it had to be allowed on actual payment basis was, in our opinion, rightly allowed by the CIT(Appeals)

Bench: Shri N.R.S. Ganesan & Shri Abraham P. George

…According to Ld. CIT(Appeals), the ex-gratia payment was decided by the assessee in consultation with Employees’ Union and Officers’ Association and by virtue of judgment of Hon'ble jurisdictional High Court in the case of Kumaran Mills Ltd. v. CIT (2000) 241 ITR 564, these payments could be allowed on the ground of commercial expediency under Section 37 of the Act. He allowed the plea. 38. Now before us, Ld. D.R. strongly assailing the order of Ld. CIT(Appeals), submitted that the ex-gratia payment was not based on any performance appraisal of the employees and it was a purely gratuitous payment. Theref…

The Karur Vysya Bank Ltd., Karur vs. JCIT, Trichy

Accordingly, the claim of the assessee that it had to be allowed on actual payment basis was, in our opinion, rightly allowed by the CIT(Appeals)

Bench: Shri N.R.S. Ganesan & Shri Abraham P. George

…According to Ld. CIT(Appeals), the ex-gratia payment was decided by the assessee in consultation with Employees’ Union and Officers’ Association and by virtue of judgment of Hon'ble jurisdictional High Court in the case of Kumaran Mills Ltd. v. CIT (2000) 241 ITR 564, these payments could be allowed on the ground of commercial expediency under Section 37 of the Act. He allowed the plea. 38. Now before us, Ld. D.R. strongly assailing the order of Ld. CIT(Appeals), submitted that the ex-gratia payment was not based on any performance appraisal of the employees and it was a purely gratuitous payment. Theref…