M/s. EDAC Engineering Limited v. DCIT

141 ITD 231Income Tax Appellate Tribunal#11365 most cited
9

judgments rely on this decision, according to BharatTax’s citation analysis of 292,668 Indian tax judgments — from 2016 to 2025.

Sections most often in play

Section 2(42C)Section 10BSection 10CSection 143(1)Section 145Section 250Section 50BSection 50C

Issues it is cited on

section 2(42c)section 50bnav methodsection 92c(3)dcf methodslump salegoing concerncomparable companiesmost appropriate methodsection 50csection 50arm's length price

Judgments citing M/s. EDAC Engineering Limited v. DCIT

ASSISTANT COMMISSIONER OF INCOME TAX,CORPORATE CIRCLE-3(1),CHENNAI, CHENNAI vs. SCHNEIDER ELECTRIC SYSTEMS INDIA PRIVATE LIMITED, CHENNAI

In the result all the four appeals of the Assessee and both the appeals of the revenue are partly allowed

ITA 2959/CHNY/2024[2016-17]Status: DisposedITAT Chennai11 Sept 2025AY 2016-17

Bench: Shri George George K & Shri S. R. Raghunathaआयकर अपील सं./Ita Nos.: 2754, 2755, 2756 & 2757/Cnny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17, 2017-18, 2018-19 & Sa 22/Chny/2025 [In Ita 2757/Chny/2024] धनिाजरण वर्ज / Assessment Year: 2018-19 Schneider Electric Systems Acit India Private Limited, Vs. Corporate Circle 3(1) Sp Plot, 16-20 & 20A, Chennai. Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) आयकर अपील सं./Ita Nos.: 2958 & 2959/Chny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17 Acit Schneider Electric Systems India Private Limited, Corporate Circle 3(1) Vs. Chennai. Sp Plot, 16-20 & 20A, Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) धनिाजररती की ओर से/Assessee By : Shri. Rohit Tiwari, Advocate & Ms. Tanya, Advocate (Virtual) राजस्व की ओर से /Revenue By : Shri. Arv Sreenivasan, Cit.

For Appellant: Shri. Rohit Tiwari, Advocate &For Respondent: Shri. ARV Sreenivasan, CIT
Section 143(1)Section 250

…to the extent of Rs.102.7 crore. The learned Assessing Officer after examining held that it is an ad-hoc provision and not an ascertainable liability. Accordingly, the Assessing officer relied on the order of M/s. EDAC Engineering Limited Vs. DCIT reported in 141 ITD 231 wherein it is held that it is a cardinal principle that only the expenses incurred or losses suffered could be allowed and future loss / cost could not be allowed. The Assessee before the learned DRP has not provided any details of the :-6-: ITA. Nos:2754 to 2757/Chny/2024, ITA. Nos:2958 & 2959/Chny/2024 & SA No.:22/Chny/2025 losses for ascert…

ASSISTANT COMMISSIONER OF INCOME TAX,CORPORATE CIRCLE-3(1),CHENNAI, CHENNAI vs. SCHNEIDER ELECTRIC SYSTEMS INDIA PRIVATE LIMITED, CHENNAI

In the result all the four appeals of the Assessee and both the appeals of the revenue are partly allowed

ITA 2958/CHNY/2024[2015-16]Status: DisposedITAT Chennai11 Sept 2025AY 2015-16

Bench: Shri George George K & Shri S. R. Raghunathaआयकर अपील सं./Ita Nos.: 2754, 2755, 2756 & 2757/Cnny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17, 2017-18, 2018-19 & Sa 22/Chny/2025 [In Ita 2757/Chny/2024] धनिाजरण वर्ज / Assessment Year: 2018-19 Schneider Electric Systems Acit India Private Limited, Vs. Corporate Circle 3(1) Sp Plot, 16-20 & 20A, Chennai. Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) आयकर अपील सं./Ita Nos.: 2958 & 2959/Chny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17 Acit Schneider Electric Systems India Private Limited, Corporate Circle 3(1) Vs. Chennai. Sp Plot, 16-20 & 20A, Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) धनिाजररती की ओर से/Assessee By : Shri. Rohit Tiwari, Advocate & Ms. Tanya, Advocate (Virtual) राजस्व की ओर से /Revenue By : Shri. Arv Sreenivasan, Cit.

For Appellant: Shri. Rohit Tiwari, Advocate &For Respondent: Shri. ARV Sreenivasan, CIT
Section 143(1)Section 250

…to the extent of Rs.102.7 crore. The learned Assessing Officer after examining held that it is an ad-hoc provision and not an ascertainable liability. Accordingly, the Assessing officer relied on the order of M/s. EDAC Engineering Limited Vs. DCIT reported in 141 ITD 231 wherein it is held that it is a cardinal principle that only the expenses incurred or losses suffered could be allowed and future loss / cost could not be allowed. The Assessee before the learned DRP has not provided any details of the :-6-: ITA. Nos:2754 to 2757/Chny/2024, ITA. Nos:2958 & 2959/Chny/2024 & SA No.:22/Chny/2025 losses for ascert…

SCHNEIDER ELECTRIC SYSTEMS INDIA PRIVATE LIMITED,CHENNAI vs. NATIONAL FACELESS ASSESSMENT CENTRE - JAO - ACIT, CORPORATE CIRCLE, 3(1), CHENNAI

In the result all the four appeals of the Assessee and both the appeals of the revenue are partly allowed

ITA 2757/CHNY/2024[2018-19]Status: DisposedITAT Chennai11 Sept 2025AY 2018-19

Bench: Shri George George K & Shri S. R. Raghunathaआयकर अपील सं./Ita Nos.: 2754, 2755, 2756 & 2757/Cnny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17, 2017-18, 2018-19 & Sa 22/Chny/2025 [In Ita 2757/Chny/2024] धनिाजरण वर्ज / Assessment Year: 2018-19 Schneider Electric Systems Acit India Private Limited, Vs. Corporate Circle 3(1) Sp Plot, 16-20 & 20A, Chennai. Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) आयकर अपील सं./Ita Nos.: 2958 & 2959/Chny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17 Acit Schneider Electric Systems India Private Limited, Corporate Circle 3(1) Vs. Chennai. Sp Plot, 16-20 & 20A, Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) धनिाजररती की ओर से/Assessee By : Shri. Rohit Tiwari, Advocate & Ms. Tanya, Advocate (Virtual) राजस्व की ओर से /Revenue By : Shri. Arv Sreenivasan, Cit.

For Appellant: Shri. Rohit Tiwari, Advocate &For Respondent: Shri. ARV Sreenivasan, CIT
Section 143(1)Section 250

…to the extent of Rs.102.7 crore. The learned Assessing Officer after examining held that it is an ad-hoc provision and not an ascertainable liability. Accordingly, the Assessing officer relied on the order of M/s. EDAC Engineering Limited Vs. DCIT reported in 141 ITD 231 wherein it is held that it is a cardinal principle that only the expenses incurred or losses suffered could be allowed and future loss / cost could not be allowed. The Assessee before the learned DRP has not provided any details of the :-6-: ITA. Nos:2754 to 2757/Chny/2024, ITA. Nos:2958 & 2959/Chny/2024 & SA No.:22/Chny/2025 losses for ascert…

SCHNEIDER ELECTRIC SYSTEMS INDIA PRIVATE LIMITED,CHENNAI vs. NATIONAL FACELESS ASSESSMENT CENTRE - JAO - ACIT, CORPORATE CIRCLE, 3(1), CHENNAI

In the result all the four appeals of the Assessee and both the appeals of the revenue are partly allowed

ITA 2756/CHNY/2024[2017-18]Status: DisposedITAT Chennai11 Sept 2025AY 2017-18

Bench: Shri George George K & Shri S. R. Raghunathaआयकर अपील सं./Ita Nos.: 2754, 2755, 2756 & 2757/Cnny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17, 2017-18, 2018-19 & Sa 22/Chny/2025 [In Ita 2757/Chny/2024] धनिाजरण वर्ज / Assessment Year: 2018-19 Schneider Electric Systems Acit India Private Limited, Vs. Corporate Circle 3(1) Sp Plot, 16-20 & 20A, Chennai. Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) आयकर अपील सं./Ita Nos.: 2958 & 2959/Chny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17 Acit Schneider Electric Systems India Private Limited, Corporate Circle 3(1) Vs. Chennai. Sp Plot, 16-20 & 20A, Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) धनिाजररती की ओर से/Assessee By : Shri. Rohit Tiwari, Advocate & Ms. Tanya, Advocate (Virtual) राजस्व की ओर से /Revenue By : Shri. Arv Sreenivasan, Cit.

For Appellant: Shri. Rohit Tiwari, Advocate &For Respondent: Shri. ARV Sreenivasan, CIT
Section 143(1)Section 250

…to the extent of Rs.102.7 crore. The learned Assessing Officer after examining held that it is an ad-hoc provision and not an ascertainable liability. Accordingly, the Assessing officer relied on the order of M/s. EDAC Engineering Limited Vs. DCIT reported in 141 ITD 231 wherein it is held that it is a cardinal principle that only the expenses incurred or losses suffered could be allowed and future loss / cost could not be allowed. The Assessee before the learned DRP has not provided any details of the :-6-: ITA. Nos:2754 to 2757/Chny/2024, ITA. Nos:2958 & 2959/Chny/2024 & SA No.:22/Chny/2025 losses for ascert…

SCHNEIDER ELECTRIC SYSTEMS INDIA PRIVATE LIMITED,CHENNAI vs. ASSISTANT COMMISSIONER OF INCOME-TAX CORPORATE CIRCLE, 3(1), CHENNAI

In the result all the four appeals of the Assessee and both the appeals

ITA 2755/CHNY/2024[2016-17]Status: DisposedITAT Chennai11 Sept 2025AY 2016-17

Bench: Shri George George K & Shri S. R. Raghunathaआयकर अपील सं./Ita Nos.: 2754, 2755, 2756 & 2757/Cnny/2024 निर्धारण वर्ष / Assessment Year: 2015-16, 2016-17, 2017-18, 2018-19 & Sa 22/Chny/2025 [In Ita 2757/Chny/2024] निर्धारण वर्ष / Assessment Year: 2018-19 Schneider Electric Systems India Private Limited, Sp Plot, 16-20 & 20A, Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलार्थी/Appellant) Vs. Acit Corporate Circle 3(1) Chennai. (प्रत्यर्थी/Respondent) आयकर अपील सं./Ita Nos.: 2958 & 2959/Chny/2024 निर्धारण वर्ष / Assessment Year: 2015-16, 2016-17 Acit Corporate Circle 3(1) Chennai. (अपीलार्थी/Appellant) Vs. Schneider Electric Systems India Private Limited, Sp Plot, 16-20 & 20A, Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (प्रत्यर्थी/Respondent) निर्धारिती की ओर से/Assessee By राजस्व की ओर से /Revenue By : Shri. Rohit Tiwari, Advocate & Ms. Tanya, Advocate (Virtual) : Shri. Arv Sreenivasan, Cit. :-2-:

For Respondent: Shri. Rohit Tiwari, Advocate &
Section 143(1)Section 250

…to the extent of Rs.102.7 crore. The learned Assessing Officer after examining held that it is an ad-hoc provision and not an ascertainable liability. Accordingly, the Assessing officer relied on the order of M/s. EDAC Engineering Limited Vs. DCIT reported in 141 ITD 231 wherein it is held that it is a cardinal principle that only the expenses incurred or losses suffered could be allowed and future loss / cost could not be allowed. The Assessee before the learned DRP has not provided any details of the losses for ascertaining the same and accordingly the provision of loss was rejected. On the other hand, the Asse…

SCHNEIDER ELECTRIC SYSTEMS INDIA PRIVATE LIMITED,CHENNAI vs. ASSISTANT COMMISSIONER OF INCOME-TAX CORPORATE CIRCLE, 3(1), CHENNAI

In the result all the four appeals of the Assessee and both the appeals of the revenue are partly allowed

ITA 2754/CHNY/2024[2015-16]Status: DisposedITAT Chennai11 Sept 2025AY 2015-16

Bench: Shri George George K & Shri S. R. Raghunathaआयकर अपील सं./Ita Nos.: 2754, 2755, 2756 & 2757/Cnny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17, 2017-18, 2018-19 & Sa 22/Chny/2025 [In Ita 2757/Chny/2024] धनिाजरण वर्ज / Assessment Year: 2018-19 Schneider Electric Systems Acit India Private Limited, Vs. Corporate Circle 3(1) Sp Plot, 16-20 & 20A, Chennai. Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) आयकर अपील सं./Ita Nos.: 2958 & 2959/Chny/2024 धनिाजरण वर्ज / Assessment Year: 2015-16, 2016-17 Acit Schneider Electric Systems India Private Limited, Corporate Circle 3(1) Vs. Chennai. Sp Plot, 16-20 & 20A, Tamarai Tech Park, Inner Ring Road, Thiru Vi Ka Industrial Estate, Guindy, Chennai – 600 032. [Pan: Aabcs-8027-M] (अपीलाथी/Appellant) (प्रत्यथी/Respondent) धनिाजररती की ओर से/Assessee By : Shri. Rohit Tiwari, Advocate & Ms. Tanya, Advocate (Virtual) राजस्व की ओर से /Revenue By : Shri. Arv Sreenivasan, Cit.

For Appellant: Shri. Rohit Tiwari, Advocate &For Respondent: Shri. ARV Sreenivasan, CIT
Section 143(1)Section 250

…to the extent of Rs.102.7 crore. The learned Assessing Officer after examining held that it is an ad-hoc provision and not an ascertainable liability. Accordingly, the Assessing officer relied on the order of M/s. EDAC Engineering Limited Vs. DCIT reported in 141 ITD 231 wherein it is held that it is a cardinal principle that only the expenses incurred or losses suffered could be allowed and future loss / cost could not be allowed. The Assessee before the learned DRP has not provided any details of the :-6-: ITA. Nos:2754 to 2757/Chny/2024, ITA. Nos:2958 & 2959/Chny/2024 & SA No.:22/Chny/2025 losses for ascert…

ACIT, CHENNAI vs. V.S.L.INDIA PRIVATE LIMITED, CHENNAI

In the result, the appeal of the Department in ITA

ITA 1703/CHNY/2013[2008-09]Status: DisposedITAT Chennai01 Feb 2016AY 2008-09

Bench: Shri Chandra Poojari & Shri G. Pavan Kumar

For Appellant: Shri. V. Vivekanandan, CIT. DRFor Respondent: Shri. R. Vijayaraghavan, Advocate
Section 143(1)Section 143(2)Section 143(3)Section 195Section 40

…contract and the assessee deferred income by claiming notional loss. The ld. Departmental Representative has substantiated his arguments and relied on the decision of Co-Ordinate Bench of the Tribunal in the case of EDAC Engineering Ltd. vs. DCIT (Chennai) 141 ITD 231 and Shivshahi ITA Nos.1701 to 1703/2013. :- 15 -: Punarvsan Prakalp Ltd. Vs. ITO (Mumbai) 135 ITD 51 and vehemently argued that only actual expenditure has to be allowed but not the provisions under Accounting standard 7. 8.5 Contra, the ld. Authorised Representative has substantiated his arguments with the submission on disallowance by givi…

ACIT, CHENNAI vs. V.S.L.INDIA PRIVATE LIMITED, CHENNAI

In the result, the appeal of the Department in ITA

ITA 1702/CHNY/2013[2007-08]Status: DisposedITAT Chennai01 Feb 2016AY 2007-08

Bench: Shri Chandra Poojari & Shri G. Pavan Kumar

For Appellant: Shri. V. Vivekanandan, CIT. DRFor Respondent: Shri. R. Vijayaraghavan, Advocate
Section 143(1)Section 143(2)Section 143(3)Section 195Section 40

…contract and the assessee deferred income by claiming notional loss. The ld. Departmental Representative has substantiated his arguments and relied on the decision of Co-Ordinate Bench of the Tribunal in the case of EDAC Engineering Ltd. vs. DCIT (Chennai) 141 ITD 231 and Shivshahi ITA Nos.1701 to 1703/2013. :- 15 -: Punarvsan Prakalp Ltd. Vs. ITO (Mumbai) 135 ITD 51 and vehemently argued that only actual expenditure has to be allowed but not the provisions under Accounting standard 7. 8.5 Contra, the ld. Authorised Representative has substantiated his arguments with the submission on disallowance by givi…

ACIT, CHENNAI vs. V.S.L.INDIA PRIVATE LIMITED, CHENNAI

In the result, the appeal of the Department in ITA

ITA 1701/CHNY/2013[2006-07]Status: DisposedITAT Chennai01 Feb 2016AY 2006-07

Bench: Shri Chandra Poojari & Shri G. Pavan Kumar

For Appellant: Shri. V. Vivekanandan, CIT. DRFor Respondent: Shri. R. Vijayaraghavan, Advocate
Section 143(1)Section 143(2)Section 143(3)Section 195Section 40

…contract and the assessee deferred income by claiming notional loss. The ld. Departmental Representative has substantiated his arguments and relied on the decision of Co-Ordinate Bench of the Tribunal in the case of EDAC Engineering Ltd. vs. DCIT (Chennai) 141 ITD 231 and Shivshahi ITA Nos.1701 to 1703/2013. :- 15 -: Punarvsan Prakalp Ltd. Vs. ITO (Mumbai) 135 ITD 51 and vehemently argued that only actual expenditure has to be allowed but not the provisions under Accounting standard 7. 8.5 Contra, the ld. Authorised Representative has substantiated his arguments with the submission on disallowance by givi…