Madras Industrial Investment Corporation Ltd. v. CIT

ACIT 9(1), Mumbai vs. Aakash Lavlesh Leisure P.Ltd, Mumbai

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपील सं./I.T.A. No.7905/Mum/2011 ("नधा"रण वष" / Assessment Year : 2008-09) Aakash Lavlesh Leisure Ito -9(1)(1), बनाम/ Private Limited Aayakar Bhavan V. Juhu Club Millenium Mumbai-400020 A-1, Gulmohar Road Jvpd Scheme, Juhu Mumbai-400 049

…rs and therefore advance membership fee should be taxed equally each year spread over the period of 25 years. 4. The learned CIT(A) erred in not applying the ratio of the Supreme Court’s judgment in the case of Madras Industrial Investment Corporation Ltd. , 225 ITR 802(SC) allowing similar spread over. 5. Without prejudice it is prayed that the advance Membership fee of Rs. 4,18,96,537/- may be taxed equally each year by spreading over the period of membership of 25 years.” The grounds of appeal raised by the Revenue in the memo of appeal filed with the Income Tax Appellate Tribunal, Mumbai (hereinafter calle…

ACIT 9(1), Mumbai vs. Aakash Lavlesh Leisure P.Ltd, Mumbai

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपील सं./I.T.A. No.7905/Mum/2011 ("नधा"रण वष" / Assessment Year : 2008-09) Aakash Lavlesh Leisure Ito -9(1)(1), बनाम/ Private Limited Aayakar Bhavan V. Juhu Club Millenium Mumbai-400020 A-1, Gulmohar Road Jvpd Scheme, Juhu Mumbai-400 049

…rs and therefore advance membership fee should be taxed equally each year spread over the period of 25 years. 4. The learned CIT(A) erred in not applying the ratio of the Supreme Court’s judgment in the case of Madras Industrial Investment Corporation Ltd. , 225 ITR 802(SC) allowing similar spread over. 5. Without prejudice it is prayed that the advance Membership fee of Rs. 4,18,96,537/- may be taxed equally each year by spreading over the period of membership of 25 years.” The grounds of appeal raised by the Revenue in the memo of appeal filed with the Income Tax Appellate Tribunal, Mumbai (hereinafter calle…

Addl CIT 9(1), Mumbai vs. Aakash Lavlesh Leisure P.Ltd, Mumbai

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपील सं./I.T.A. No.7905/Mum/2011 ("नधा"रण वष" / Assessment Year : 2008-09) Aakash Lavlesh Leisure Ito -9(1)(1), बनाम/ Private Limited Aayakar Bhavan V. Juhu Club Millenium Mumbai-400020 A-1, Gulmohar Road Jvpd Scheme, Juhu Mumbai-400 049

…rs and therefore advance membership fee should be taxed equally each year spread over the period of 25 years. 4. The learned CIT(A) erred in not applying the ratio of the Supreme Court’s judgment in the case of Madras Industrial Investment Corporation Ltd. , 225 ITR 802(SC) allowing similar spread over. 5. Without prejudice it is prayed that the advance Membership fee of Rs. 4,18,96,537/- may be taxed equally each year by spreading over the period of membership of 25 years.” The grounds of appeal raised by the Revenue in the memo of appeal filed with the Income Tax Appellate Tribunal, Mumbai (hereinafter calle…

ITO 9(1)(1), Mumbai vs. Aakash Lavlesh Leisure (P) Ltd, Mumbai

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपील सं./I.T.A. No.7905/Mum/2011 ("नधा"रण वष" / Assessment Year : 2008-09) Aakash Lavlesh Leisure Ito -9(1)(1), बनाम/ Private Limited Aayakar Bhavan V. Juhu Club Millenium Mumbai-400020 A-1, Gulmohar Road Jvpd Scheme, Juhu Mumbai-400 049

…rs and therefore advance membership fee should be taxed equally each year spread over the period of 25 years. 4. The learned CIT(A) erred in not applying the ratio of the Supreme Court’s judgment in the case of Madras Industrial Investment Corporation Ltd. , 225 ITR 802(SC) allowing similar spread over. 5. Without prejudice it is prayed that the advance Membership fee of Rs. 4,18,96,537/- may be taxed equally each year by spreading over the period of membership of 25 years.” The grounds of appeal raised by the Revenue in the memo of appeal filed with the Income Tax Appellate Tribunal, Mumbai (hereinafter calle…

Aakash Lavlesh Leisure P. Ltd, Mumbai vs. ITO 9(1)(1), Mumbai

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपील सं./I.T.A. No.7905/Mum/2011 ("नधा"रण वष" / Assessment Year : 2008-09) Aakash Lavlesh Leisure Ito -9(1)(1), बनाम/ Private Limited Aayakar Bhavan V. Juhu Club Millenium Mumbai-400020 A-1, Gulmohar Road Jvpd Scheme, Juhu Mumbai-400 049

…rs and therefore advance membership fee should be taxed equally each year spread over the period of 25 years. 4. The learned CIT(A) erred in not applying the ratio of the Supreme Court’s judgment in the case of Madras Industrial Investment Corporation Ltd. , 225 ITR 802(SC) allowing similar spread over. 5. Without prejudice it is prayed that the advance Membership fee of Rs. 4,18,96,537/- may be taxed equally each year by spreading over the period of membership of 25 years.” The grounds of appeal raised by the Revenue in the memo of appeal filed with the Income Tax Appellate Tribunal, Mumbai (hereinafter calle…

Ald Automotive P.Ltd, Mumbai vs. DCIT Cir 3(1), Mumbai

In the result, the assessee’s appeals are allowed for statistical purposes, while the Revenue’s appeals are dismissed

Bench: Shri Sanjay Arora, Am & Shri Amit Shukla, Jm आयकर अपील सं./I.T.A. Nos. 907 & 109/Mum/2013 ("नधा"रण वष" / Assessment Years: 2008-09 & 2007-08) Ald Automotive Pvt. Ltd. Dy. Cit, Circle 3(1), बनाम/ 13Th Floor, Maker Chamber Iv, Room No. 607, 6Th Floor, Vs. Nariman Point, Mumbai-400 021 Aaykar Bhawan, Mumbai-400 020 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. Aafca 0924 K (Assessee) (Revenue) : & आयकर अपील सं./I.T.A. Nos. 2179 & 601/Mum/2013 ("नधा"रण वष" / Assessment Years: 2008-09 & 2007-08) Dy. Cit, Circle 3(1), Ald Automotive Pvt. Ltd. बनाम/ Room No. 607, 6Th Floor, 13Th Floor, Maker Chamber Iv, Vs. Aaykar Bhawan, Mumbai-400 020 Nariman Point, Mumbai-400 021 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. Aafca 0924 K (Revenue) : (Assessee) Assessee By : Shri Brijmohan P. Agarwal Revenue By : Shri B. B. Rajendra Prasad सुनवाई क" तार"ख / : 26.4.2016 Date Of Hearing घोषणा क" तार"ख / : 25.7.2016 Date Of Pronouncement आदेश / O R D E R Per Sanjay Arora, A. M.: These Are Cross Appeals, I.E., By The Assessee & The Revenue, For Two Consecutive Years, Being Assessment Years (A.Y.) 2007-08 & 2008-09, U/S. 253 Of (A.Ys. 2007-08 & 2008-09) Ald Automotive Pvt. Ltd. The Income Tax Act, 1961 (‘The Act’ Hereinafter), Arising Out Of The Orders By The Commissioner Of Income Tax (Appeals)-5, Mumbai (‘Cit(A)’ For Short) Dated 31.12.2012. The Appeals Raise Two Issues, One Brought By The Assessee & The Other By The Revenue, I.E., With Regard To: A) Depreciation On Lease Assets; & B) Transfer (Of A Part) Of Fleet Management Charges To Maintenance Accounts

…m – as indicated by the corresponding expenditure, the accounting treatment is in consonance with AS-9. The assessee’s reliance on the decisions in Calcutta Co. Ltd. vs. CIT [1959] 37 ITR 1 (SC) and Madras Industrial Investment Corporation Ltd. vs. CIT [1997] 225 ITR 802 (SC), (A.Ys. 2007-08 & 2008-09) ALD Automotive Pvt. Ltd. both advocating the matching principle, is apposite. The AO shall cause necessary verification as indicated above, subject to whose findings of fact we allow the assessee’s claim. We may further add that the assessee’s plea is acceptable only qua such expenditure which is subject to, in the…

DCIT 3(1), Mumbai vs. Ald Automotive P.Tld, Mumbai

In the result, the assessee’s appeals are allowed for statistical purposes, while the Revenue’s appeals are dismissed

Bench: Shri Sanjay Arora, Am & Shri Amit Shukla, Jm आयकर अपील सं./I.T.A. Nos. 907 & 109/Mum/2013 ("नधा"रण वष" / Assessment Years: 2008-09 & 2007-08) Ald Automotive Pvt. Ltd. Dy. Cit, Circle 3(1), बनाम/ 13Th Floor, Maker Chamber Iv, Room No. 607, 6Th Floor, Vs. Nariman Point, Mumbai-400 021 Aaykar Bhawan, Mumbai-400 020 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. Aafca 0924 K (Assessee) (Revenue) : & आयकर अपील सं./I.T.A. Nos. 2179 & 601/Mum/2013 ("नधा"रण वष" / Assessment Years: 2008-09 & 2007-08) Dy. Cit, Circle 3(1), Ald Automotive Pvt. Ltd. बनाम/ Room No. 607, 6Th Floor, 13Th Floor, Maker Chamber Iv, Vs. Aaykar Bhawan, Mumbai-400 020 Nariman Point, Mumbai-400 021 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. Aafca 0924 K (Revenue) : (Assessee) Assessee By : Shri Brijmohan P. Agarwal Revenue By : Shri B. B. Rajendra Prasad सुनवाई क" तार"ख / : 26.4.2016 Date Of Hearing घोषणा क" तार"ख / : 25.7.2016 Date Of Pronouncement आदेश / O R D E R Per Sanjay Arora, A. M.: These Are Cross Appeals, I.E., By The Assessee & The Revenue, For Two Consecutive Years, Being Assessment Years (A.Y.) 2007-08 & 2008-09, U/S. 253 Of (A.Ys. 2007-08 & 2008-09) Ald Automotive Pvt. Ltd. The Income Tax Act, 1961 (‘The Act’ Hereinafter), Arising Out Of The Orders By The Commissioner Of Income Tax (Appeals)-5, Mumbai (‘Cit(A)’ For Short) Dated 31.12.2012. The Appeals Raise Two Issues, One Brought By The Assessee & The Other By The Revenue, I.E., With Regard To: A) Depreciation On Lease Assets; & B) Transfer (Of A Part) Of Fleet Management Charges To Maintenance Accounts

…m – as indicated by the corresponding expenditure, the accounting treatment is in consonance with AS-9. The assessee’s reliance on the decisions in Calcutta Co. Ltd. vs. CIT [1959] 37 ITR 1 (SC) and Madras Industrial Investment Corporation Ltd. vs. CIT [1997] 225 ITR 802 (SC), (A.Ys. 2007-08 & 2008-09) ALD Automotive Pvt. Ltd. both advocating the matching principle, is apposite. The AO shall cause necessary verification as indicated above, subject to whose findings of fact we allow the assessee’s claim. We may further add that the assessee’s plea is acceptable only qua such expenditure which is subject to, in the…

M/S. the Hindustan Sewing & Weaving Mills Ltd., Mumbai vs. DCIT Cir. 2(1), Mumbai

The appeal of the assessee is allowed on this account

Bench: Shri G.S. Pannu & Shri Sanjay Garg

…by CIT (A) on the ground that the true nature of these expenses has not been elaborated and they have been disallowed in an arbitrary manner. Moreover, he relied upon the decision of apex High court in the case of Madras Industrial Investment Corporation Ltd. 255 ITR 802.The DR supported AO’s stand and relied on Delhi High Court judgment in the case of Krishank Bharti Cooperative Ltd. V Deputy Commissioner of Income Tax 350 ITA Nos.3622/M/03 & 3623/M/03 M/s Hindoostan Spinning & Weaving Mills Ltd ITR 24.On the other hand AR relied on the decision of Gujarat High Court in the case of DCIT V Sun Pharmaceuticals Ind…

DCIT Cir. 2(1), Mumbai vs. M/S. Hindustan Spinning & Weaving Mill Ltd., Mumbai

The appeal of the assessee is allowed on this account

Bench: Shri G.S. Pannu & Shri Sanjay Garg

…by CIT (A) on the ground that the true nature of these expenses has not been elaborated and they have been disallowed in an arbitrary manner. Moreover, he relied upon the decision of apex High court in the case of Madras Industrial Investment Corporation Ltd. 255 ITR 802.The DR supported AO’s stand and relied on Delhi High Court judgment in the case of Krishank Bharti Cooperative Ltd. V Deputy Commissioner of Income Tax 350 ITA Nos.3622/M/03 & 3623/M/03 M/s Hindoostan Spinning & Weaving Mills Ltd ITR 24.On the other hand AR relied on the decision of Gujarat High Court in the case of DCIT V Sun Pharmaceuticals Ind…

Mahindra Telecommunications Investment P.Ltd, Mumbai vs. ITO 2(2)(3), Mumbai

In the result, the assessee’s appeal is dismissed

Bench: Shri Joginder Singh, Jm & Shri Sanjay Arora, Am आयकर अपील सं./I.T.A. No. 2832/Mum/2012 ("नधा"रण वष" / Assessment Year: 2008-09) Mahindra Telecommunications Income Tax Officer, 2(2)(3), बनाम/ Investment Private Limited Aaykar Bhavan, Mumbai-400 020 Gateway Building, Apollo Bunder, Vs. Mumbai-400 001 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. Aaacm 3774 E (अपीलाथ" /Appellant) (""यथ" / Respondent) : अपीलाथ" क" ओर से / Appellant By : Shri H. P. Mahajani ""यथ" क" ओर से/Respondent By : Shri Randhir Gupta सुनवाई क" तार"ख / : 24.02.2016 Date Of Hearing घोषणा क" तार"ख / : 24.05.2016 Date Of Pronouncement आदेश / O R D E R Per Sanjay Arora, A. M.: This Is An Appeal By The Assessee Directed Against The Order By The Commissioner Of Income Tax (Appeals)-5, Mumbai (‘Cit(A)’ For Short) Dated 18.1.2012, Dismissing The Assessee’S Appeal Contesting Its Assessment U/S.143(3) Of The Income Tax Act, 1961 (‘The Act’ Hereinafter) For The Assessment Year (A.Y.) 2008-09 Vide Order Dated 30.12.2010. 2. The Background Facts The Facts Of The Case Are Simple & Undisputed. The Assessee-Company, Incorporated Under The Companies Act, 1956, Pursuant To A Shareholders’ Agreement Dated March

…e assessee on time basis and, accordingly, working out that accrued for the current year, reflected by an increase in the option price during the year, brought it to tax. Reliance is placed by it on Madras Industrial Investment Corporation Ltd. vs. CIT [1997] 225 ITR 802 (SC); State Bank of Travancore vs. CIT [1986] 158 ITR 102 (SC); and CIT vs. A. Gajapathy Naidu [1964] 53 ITR 114 (SC). 4. We have heard the parties, and perused the material on record. 4.1 The issue The issue arising for determination in the present case is whether income has in the given facts and circumstances of the case accrued to the assess…

People Infocom Pvt. Ltd., Mumbai vs. C.I.T. Cir.7, Mumbai

The appeal of the assessee is allowed

Bench: Shri Joginder Singh & Shri Rajendraassessment Year-2007-08 People Infocom Private Ltd. Cit-7, C/O- Samria & Co. Room No.611, बनाम/ Chartered Accountants, 6Th Floor, Vs. 2E, Court Chambers, Aayakar Bhavan, 35, New Marine Lines, M.K. Road, Mumbai-400020 Mumbai-400020 Pan No.Aadcp5658H (राज"व /Revenue) ("नधा"रती /Assessee)

…1992) 194 ITR 159 (Kar) c. CIT vs. Seshasayee Paper & Boards Ltd. (2000) 242 ITR 490 (Mad) d. Gee Vee Enterprises vs. Add!. CIT 1975 CTR (Del) 61 : (1975) 99 ITR 375 (Del) e. Madras Industrial Investment Corporation Ltd. vs. CIT (1997) 139 CTR (SC) 555 (1997) 225 ITR 802 (SC) f. Malabar Industrial Co. Ltd. vs. CIT (2000) 159 CTR (SC) 1 : (2000) 243 ITR 83 (SC) 20 3.7. Now, we shall deal with the contention of the ld. CIT-DR with respect to amendment made by the Finance Act, 2015 w.e.f. 01/06/2015. The provision of the Act is reproduced hereunder for ready reference:- “ 263. (1) The [Principal Commissioner or]…

ACIT 8(1), Mumbai vs. Bunge India P. Ltd, Mumbai

…आयकर आयकर अपीलीय अपीलीय अिधकरण अिधकरण, मुंबई मुंबई “केकेकेके” खंडपीठ खंडपीठ आयकर आयकर अपीलीय अपीलीय अिधकरण अिधकरण मुंबई मुंबई खंडपीठ खंडपीठ Income-tax Appellate Tribunal -“K”Bench Mumbai सव"ी राजे"",लेखा सद"य एवं सी. एन. "साद,"याियक सद"य Before S/Sh.Rajendra,Accountant Member and C.N. Prasad,Judicial Member आयकर अपील अपील संसंसंसं./I.T.A./4336/Mum/2009,िनधा"रण िनधा"रण वष" वष" /Assessment Year: 2005-06 आयकर आयकर आयकर अपील अपील िनधा"रण िनधा"रण वष" वष" DCIT, Circle-8(1) M/s. Bunge India Pvt. Ltd. Room No.210, 2nd Floor 601 C & 601 D, 6th Floor, The Capital, C- Aayakar Bhavan, Mumbai-400020. Vs. 70,G-Block, Bandra…