What is Pankaj Oil Mills v. CIT authority for?

Hedging contracts related to raw materials for manufacturers are excluded from speculative transactions under Section 43(5) of the Income Tax Act, even if they involve both sales and purchases and are entered into at different times from the delivery of goods.

How many judgments cite Pankaj Oil Mills v. CIT?

26 judgments on BharatTax cite Pankaj Oil Mills v. CIT (115 ITR 824), spanning 2015 to 2026.

Which sections of the Income Tax Act does Pankaj Oil Mills v. CIT come up under?

It is most often cited in judgments turning on Section 250(6), Section 37(1), Section 43(5).

Pankaj Oil Mills v. CIT (115 ITR 824)

HCL TECHNOLOGIES LTD.,NEW DELHI vs. ACIT, NEW DELHI

The appeal is allowed as indicated above

ITA 5465/DEL/2011[2007-08]Status: DisposedITAT Delhi15 Apr 2026AY 2007-08

Bench: Shri Vikas Awasthy & Shri Brajesh Kumar Singh

Section 10ASection 143Section 144Section 144C(13)

…ational Ltd vs ACIT: [2020] 180 ITD 292 (Del Trib.); affirmed in PCIT vs Emmsons International Ltd: [2022] ITA 318/2022 (Del); Revenue's SLP dismissed in PCIT vs Emmsons International Ltd: SLP (Civil) Diary No.49827/2023 (SC)  Pankaj Oil Mills vs CIT: [1978] 115 ITR 824 (Guj)  CIT vs Soorajmull Nagarmull: 129 ITR 169 (Cal)  CIT vs Badridas Gauridu (P) Ltd: 261 ITR 256 (Bom) 157 ITA Nos.- 5624/del/2010 & 5465/Del/2011 HCL Technologies Ltd.  CIT vs Friends and Friends Shipping (P) Ltd: [2013] 217 Taxman 267 (Guj)  CIT vs Panchmahal Steel Ltd: (2013] 215 Taxman 140 (Guj)  CIT vs D Chetan & Co: [2017] 390 ITR…

HCL TECHNOLOGIES LTD,NEW DELHI vs. ACIT, NEW DELHI

The appeal is allowed as indicated above

ITA 5624/DEL/2010[2006-07]Status: DisposedITAT Delhi15 Apr 2026AY 2006-07

Bench: Shri Vikas Awasthy & Shri Brajesh Kumar Singh

Section 10ASection 143Section 144Section 144C(13)

…ational Ltd vs ACIT: [2020] 180 ITD 292 (Del Trib.); affirmed in PCIT vs Emmsons International Ltd: [2022] ITA 318/2022 (Del); Revenue's SLP dismissed in PCIT vs Emmsons International Ltd: SLP (Civil) Diary No.49827/2023 (SC)  Pankaj Oil Mills vs CIT: [1978] 115 ITR 824 (Guj)  CIT vs Soorajmull Nagarmull: 129 ITR 169 (Cal)  CIT vs Badridas Gauridu (P) Ltd: 261 ITR 256 (Bom) 157 ITA Nos.- 5624/del/2010 & 5465/Del/2011 HCL Technologies Ltd.  CIT vs Friends and Friends Shipping (P) Ltd: [2013] 217 Taxman 267 (Guj)  CIT vs Panchmahal Steel Ltd: (2013] 215 Taxman 140 (Guj)  CIT vs D Chetan & Co: [2017] 390 ITR…

DCIT, CIRCLE- 21(1), NEW DELHI vs. RELIGARE COMTRADE LTD., NEW DELHI

The appeal of the Revenue is dismissed

ITA 5721/DEL/2017[2012-13]Status: DisposedITAT Delhi16 May 2025AY 2012-13

Bench: Smt. Annapurna Gupta & Ms Madhumita Royassessment Year: 2012-13 Dcit, Vs M/S Religare Comtrade Ltd Circle-21(1), (Formerly Known As Religare New Delhi. Bullion Ltd.), D-3, District Centre, Saket, New Delhi – 110 017. Pan: Aaecr8405P (Appellant) (Respondent) Assessee By : Shri Rohit Jain, Advocate & Ms Somya Jain, Ca Revenue By : Shri Sunil Yadav, Cit-Dr Date Of Hearing : 03.04.2025 Date Of Pronouncement : 16.05.2025 Order Per Annapurna Gupta, Am: The Present Appeal Has Been Filed By The Department Against Order Passed By The Commissioner Of Income Tax (Appeals)-36, New Delhi (Hereinafter Referred To As Cit(A)) Under Section 250 (6) Of The Income Tax Act 1961(Hereinafter Referred To As “Act”) Pertaining To Assessment Year 2012-13. 2. Grounds No.1 & 2 Raised By The Revenue Relate To The Same Issue Of Loss Incurred On Account Of Trading In Gold Derivatives Which Was Disallowed By The Ao Treating It As Speculative In Nature, In Terms Of Its Definition U/S 43(5) Of The Act, Which, However, Was Allowed By The Ld.Cit(A). The Said Grounds Read As Under:-

For Appellant: Shri Rohit Jain, Advocate &For Respondent: Shri Sunil Yadav, CIT-DR

Section 250Section 43(5)Section 43(5)(a)

…T have categorically ruled out genuine hedging transactions, both of purchase and sale , from being treated as speculative. 18. Our attention was drawn to the decision of the Full Bench of the Hon’ble Gujarat High Court in the case of Pankaj Oil Mills vs CIT 115 ITR 824 , pointing out that it categorically held that the scope of exclusion in proviso (a) of section 43(5) would include hedging both of purchase and sale transactions and is not restricted in its scope in any manner. He also drew our attention to the conclusion in the said order as under; 7 “(1) Hedging contracts, in order to be out of speculative t…

M/S. CADILA PHARMACEUTICALS LTD. ,AHMEDABAD vs. THE DY.COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(2),, AHMEDABAD

In the result, appeal of the Revenue is partly allowed for statistical purpose and the appeal of the assessee is partly allowed

ITA 383/AHD/2020[2012-13]Status: DisposedITAT Ahmedabad12 Nov 2024AY 2012-13

Bench: Ms. Suchitra Kamble & Shri Makarand Vasant Mahadeokarassessment Year: 2012-13

Section 115JSection 144Section 2Section 35Section 36(1)(iii)Section 36(1)(vii)Section 37Section 43BSection 80I

…n course of normal import export activities to cover up losses on account of foreign exchange valuation difference results in business losses and not speculative one. We find that hon'ble jurisdictional high court's decision in Pankaj Oil Mills vs. CIT (1978) 115 ITR 824 (Guj) (Full Bench) also holds inter alia that hedging contracts; in order to be out of speculative transactions, must be in respect of raw materials only in manufacturers' cases though they could be both with regard to sales and purchases, such hedging contracts need not succeed the contract for sale and actual delivery of goods manufactured, but…

THE DY.COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(2),, AHMEDABAD vs. M/S. CADILA PHARMACEUTICALS LTD. , AHMEDABAD

In the result, appeal of the Revenue is partly allowed for statistical purpose and the appeal of the assessee is partly allowed

ITA 345/AHD/2020[2012-13]Status: DisposedITAT Ahmedabad12 Nov 2024AY 2012-13

Bench: Ms. Suchitra Kamble & Shri Makarand Vasant Mahadeokarassessment Year: 2012-13

Section 115JSection 144Section 2Section 35Section 36(1)(iii)Section 36(1)(vii)Section 37Section 43BSection 80I

…n course of normal import export activities to cover up losses on account of foreign exchange valuation difference results in business losses and not speculative one. We find that hon'ble jurisdictional high court's decision in Pankaj Oil Mills vs. CIT (1978) 115 ITR 824 (Guj) (Full Bench) also holds inter alia that hedging contracts; in order to be out of speculative transactions, must be in respect of raw materials only in manufacturers' cases though they could be both with regard to sales and purchases, such hedging contracts need not succeed the contract for sale and actual delivery of goods manufactured, but…

THE DY.COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(2),, AHMEDABAD vs. M/S. CADILA PHARMACEUTICALS LTD. , AHMEDABAD

In the result, Revenue’s appeal is allowed in part

ITA 74/AHD/2020[2010-11]Status: DisposedITAT Ahmedabad01 Jul 2024AY 2010-11

Bench: Shri TR Senthil Kumar (Judicial Member), Shri Narendra Prasad Sinha (Accountant Member)

For Appellant: Parin Shah, A.RsFor Respondent: Dr. Darsi Suman Ratnam, CIT

Section 143(3)Section 35

…n course of normal import export activities to cover up losses on account of foreign exchange valuation difference results in business losses and not speculative one. We find that hon’ble jurisdictional high court’s decision in Pankaj Oil Mills vs. CIT (1978) 115 ITR 824 (Guj) (Full Bench) also holds inter alia that hedging contracts; in order to be out of speculative transactions, must be in respect of raw materials only in manufacturers’ cases though they could be both with regard to sales and purchases, such hedging contracts need not succeed the contract for sale and actual delivery of goods manufactured, but…

CADILA PHARMACEUTICALS LTD. ,AHMEDABAD vs. THE ASST. COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(2),, AHMEDABAD

In the result, Revenue’s appeal is allowed in part

ITA 53/AHD/2020[2010-11]Status: DisposedITAT Ahmedabad01 Jul 2024AY 2010-11

Bench: Shri TR Senthil Kumar (Judicial Member), Shri Narendra Prasad Sinha (Accountant Member)

For Appellant: Parin Shah, A.RsFor Respondent: Dr. Darsi Suman Ratnam, CIT

Section 143(3)Section 35

…n course of normal import export activities to cover up losses on account of foreign exchange valuation difference results in business losses and not speculative one. We find that hon’ble jurisdictional high court’s decision in Pankaj Oil Mills vs. CIT (1978) 115 ITR 824 (Guj) (Full Bench) also holds inter alia that hedging contracts; in order to be out of speculative transactions, must be in respect of raw materials only in manufacturers’ cases though they could be both with regard to sales and purchases, such hedging contracts need not succeed the contract for sale and actual delivery of goods manufactured, but…

ANIDHI IMPEX P.LTD,MUMBAI vs. DCIT 4(1), MUMBAI

In the result, the appeal of the assessee is partly allowed

ITA 3998/MUM/2013[2009-10]Status: DisposedITAT Mumbai14 Aug 2023AY 2009-10

Bench: Shri Vikas Awasthy & Shri Amarjit Singhanidhi Impex Pvt. Ltd. Vs. Dy. Comm. Of It-4(1) C/O Asj & Company Llp, Room No. 638, Aaykar 201, Rajshila, 597, Jss Bhavan, Churchgate, Road, Near Marine Lines, Mumbai – 400020 Mumbai – 400 002 स्थायी लेखा सं./जीआइआर सं./Pan/Gir No: Aaeca7748J Appellant .. Respondent [ Appellant By : Amit Porwal Respondent By : Manoj Kumar Sinha Date Of Hearing 18.05.2023 Date Of Pronouncement 14.08.2023 आदेश / O R D E R Per Amarjit Singh (Am): This Appeal Filed By The Assesse Is Directed Against The Order Passed By The Ld. Cit(A)-8, Mumbai, Dated 21.03.2013 For A.Y. 2009- 10. The Assessee Has Raised The Following Concise Ground Of Appeal Vide Letter Dated 26.03.2019: “1. On The Facts & Circumstances Of The Case & In Law Cit (A) Erred In Confirming The Action Of A.O. Of Treating The Loss Of Rs.1,84,26,264/- Incurred On Mcx Transactions As Speculative Loss U/S 43 (5) Of The Income Tax Act. 1961. 2. The Cit (A) Erred In Not Adjudicating The Ground Relating To Disallowance Of Expenses Rs. 7,851/; & Rs.1,62,819/- Incurred On Security Transaction Tax & Other Charges Of Mcx Respectively, Considered By The A.O. As Speculative. 3. Cit (A) Erred In Not Adjudicating The Ground Relating To The Disallowance Of Expenses Of Rs. 10,00,000/- By The A.O. On Estimation & Ad Hoc Basis Stating As Related To The Mcx Transactions & Hence Speculative In Nature, Without Even Confronting The Appellant Of This Proposed Action By Issuing Show Cause.

For Appellant: Amit PorwalFor Respondent: Manoj Kumar Sinha

Section 143(2)Section 43Section 43(5)Section 73

…P a g e | 1 Anidhi Impex Pvt. Ltd. Vs. DCIT-4(1) IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, MUMBAI BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER & SHRI AMARJIT SINGH, ACCOUNTANT MEMBER Anidhi Impex Pvt. Ltd. Vs. Dy. Comm. Of IT-4(1) C/o ASJ & Company LLP, Room No. 638, Aaykar 201, Rajshila, 597, JSS Bhavan, Churchgate, Road, Near Marine Lines, Mumbai – 400020 Mumbai – 400 002 स्थायी लेखा सं./जीआइआर सं./PAN/GIR No: AAECA7748J Appellant .. Respondent [ Appellant by : Amit Porwal Respondent by : Manoj Kumar Sinha Date of Hearing 18.05.2023 Date of Pronouncement 14.08.2023 आदेश / O R D E R Per Amarjit Singh (AM…

ACIT, CENTRAL CIRCLE, BIKANER vs. M/S. MANOJ KUMAR VIPIN KUMAR , BIKANER

In the result, this appeal of the Revenue is dismissed

ITA 482/JODH/2018[2012-13]Status: DisposedITAT Jodhpur01 Feb 2021AY 2012-13

Bench: Shri Sandeep Gosain & Shri Manoj Kumar Aggarwala.C.I.T. Vs. M/S Manoj Kumar Vipin Kumar, Central Circle, 118, New Dhan Mandi, Bikaner. Bikaner. Pan No. Aarfm 0027 E

Section 131

…ng business to guard against loss through future price fluctuations in respect of its contracts for the actual delivery of merchandise sold by him shall not be considered as a speculative loss. He relied on the decision in the case of Pankaj Oil Mills vs. CIT 115 ITR 824. The ld AR has further submitted that in the present case AO has reopened the assessment by issue of notice u/s 148. However, the addition made by the AO is diverse with the reasons recorded for reopening and thus, the notice issued u/s 148 is illegal & bad in law. However, the Ld. CIT(A) has not adjudicated upon the ground of assessee as to the…

ASST.C.I.T., BANGALORE vs. M/S ACER INDIA PRIVATE LIMITED, BANGALORE

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

ITA 119/BANG/2016[2010-11]Status: DisposedITAT Bangalore02 Dec 2020AY 2010-11

Bench: Shri George George K. & Shri B.R. Baskaranassessment Year: 2010-11

For Appellant: Mr. Muzaffar Hussain, D.RFor Respondent: Shri Sharath Rao, A.R

Section 40

…benefit of perusing the judgments of M.G.Bros. v. CIT [1985] 154 ITR 695/20 Taxman 90 (AP), Nuddea Mills Co. Ltd. v. CIT [1988] 171 ITR 169/[1987] 35 Taxman 3 (Cal.), Delhi Flour Mills Co. Ltd. v CIT [1974] 95 ITR 151 (Delhi) and Pankaj Oil Mills v CIT [1978] 115 ITR 824 (Guj.) delivered by the Hon'ble High Courts of Andhra Pradesh, Calcutta, Delhi and Gujarat respectively." 4.5.11 As discussed earlier, in the case on hand, there has been an existing contract with a binding obligation accrued against the assessee when it entered into forex forward contracts. The forward contracts are in respect of consideration…