Shree Balalji Alloys v. CIT

239 CTR 70Reported decision#8898 most cited

What is Shree Balalji Alloys v. CIT authority for?

Incentives received under the SHIS scheme are capital receipts, not chargeable under normal provisions, and are to be excluded from revenue and book profits for MAT purposes under Section 115JB.

12

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2016 to 2025.

Also referred to as

Shree Balalji Alloys v. CIT · 239 CTR 70 · SHIS scheme · capital receipts · revenue receipt · book profits · MAT · Section 115JB

Sections most often in play

Section 10BSection 115JBSection 143(3)Section 14ASection 234BSection 234CSection 234DSection 43B

Issues it is cited on

perquisite valuesection 108convertible foreign exchangeactual payment basisinterest u/s 234cinterest under section 234csection 234dsection 80hhcsection 10bsection 80hhsection 80ibcomputer software

Judgments citing Shree Balalji Alloys v. CIT

Jindal Saw Ltd., New Delhi vs. ACIT, Circle-13(2), New Delhi

In the result, assessee’s appeal in ITA No

ITA 504/DEL/2022[2014-15]Status: DisposedITAT Delhi04 Jun 2025AY 2014-15

Bench: Shri Satbeer Singh Godara & Shri Manish Agarwal[Assessment Year : 2011-12] Jindal Saw Ltd. Vs Dcit, 28, Najafgarh Road, Circle-13(2) New Delhi-110015. (Earlier Addl.Cit Range-4), Pan-Aabcs7280C C.R.Building, I.P.Estate, New Delhi-110002. Appellant Respondent [Assessment Year : 2011-12] Dcit, Vs Jindal Saw Ltd. Circle-13(2), (Formerly Known As M/S. Saw Pipes Room No.316A, Ltd.), 28, Najafgarh Road, C.R.Building, New Delhi-110015. New Delhi Pan-Aabcs7280C Appellant Respondent [Assessment Year : 2014-15] Jindal Saw Ltd., Vs Acit, 28, Najafgarh Road, Shivaji Marg, Circle-13(2), New Delhi-110015. New Delhi. Pan-Aabcs7280C Appellant Respondent [Assessment Year : 2015-16] Jindal Saw Ltd. Vs Acit, 28, Najafgarh Road, Circle-13(2) P.O.Ramesh Nagar, C.R.Building, I.P.Estate, New Delhi-110015. New Delhi-110002. Pan-Aabcs7280C Appellant Respondent

Section 143(3)Section 234BSection 43B

…c chemicals. Thus, by respectfully following the judgment of Hon’ble Supreme Court in the case of CIT vs Ponni Sugar & Chemical Ltd. 306 ITR 392 (SC) and the judgment of Hon’ble Jammu & Kashmir High Court in the case of Shree Balalji Alloys vs CIT reported in 239 CTR 70 (J&K) and the judgement of Hon’ble Rajasthan High Court in the case of PCIT vs Nitin Spinners Ltd. (supra) and Co-ordinate Bench of the Tribunal in case of Narayan Industries (supra), we hold that the incentives received by the assessee towards SHIS scheme is capital receipts and not chargeable under normal provisions of the Act. Accordingly, we d…

DCIT Circle-13(2), New Delhi vs. Jindal Saw Ltd., New Delhi

In the result, assessee’s appeal in ITA No

ITA 4760/DEL/2019[2015-16]Status: DisposedITAT Delhi04 Jun 2025AY 2015-16

Bench: Shri Satbeer Singh Godara & Shri Manish Agarwal[Assessment Year : 2011-12] Jindal Saw Ltd. Vs Dcit, 28, Najafgarh Road, Circle-13(2) New Delhi-110015. (Earlier Addl.Cit Range-4), Pan-Aabcs7280C C.R.Building, I.P.Estate, New Delhi-110002. Appellant Respondent [Assessment Year : 2011-12] Dcit, Vs Jindal Saw Ltd. Circle-13(2), (Formerly Known As M/S. Saw Pipes Room No.316A, Ltd.), 28, Najafgarh Road, C.R.Building, New Delhi-110015. New Delhi Pan-Aabcs7280C Appellant Respondent [Assessment Year : 2014-15] Jindal Saw Ltd., Vs Acit, 28, Najafgarh Road, Shivaji Marg, Circle-13(2), New Delhi-110015. New Delhi. Pan-Aabcs7280C Appellant Respondent [Assessment Year : 2015-16] Jindal Saw Ltd. Vs Acit, 28, Najafgarh Road, Circle-13(2) P.O.Ramesh Nagar, C.R.Building, I.P.Estate, New Delhi-110015. New Delhi-110002. Pan-Aabcs7280C Appellant Respondent

Section 143(3)Section 234BSection 43B

…c chemicals. Thus, by respectfully following the judgment of Hon’ble Supreme Court in the case of CIT vs Ponni Sugar & Chemical Ltd. 306 ITR 392 (SC) and the judgment of Hon’ble Jammu & Kashmir High Court in the case of Shree Balalji Alloys vs CIT reported in 239 CTR 70 (J&K) and the judgement of Hon’ble Rajasthan High Court in the case of PCIT vs Nitin Spinners Ltd. (supra) and Co-ordinate Bench of the Tribunal in case of Narayan Industries (supra), we hold that the incentives received by the assessee towards SHIS scheme is capital receipts and not chargeable under normal provisions of the Act. Accordingly, we d…

Jindal Saw Ltd., New Delhi vs. ACIT Circle-13(2), New Delhi

In the result, assessee’s appeal in ITA No

ITA 4693/DEL/2019[2015-16]Status: DisposedITAT Delhi04 Jun 2025AY 2015-16

Bench: Shri Satbeer Singh Godara & Shri Manish Agarwal[Assessment Year : 2011-12] Jindal Saw Ltd. Vs Dcit, 28, Najafgarh Road, Circle-13(2) New Delhi-110015. (Earlier Addl.Cit Range-4), Pan-Aabcs7280C C.R.Building, I.P.Estate, New Delhi-110002. Appellant Respondent [Assessment Year : 2011-12] Dcit, Vs Jindal Saw Ltd. Circle-13(2), (Formerly Known As M/S. Saw Pipes Room No.316A, Ltd.), 28, Najafgarh Road, C.R.Building, New Delhi-110015. New Delhi Pan-Aabcs7280C Appellant Respondent [Assessment Year : 2014-15] Jindal Saw Ltd., Vs Acit, 28, Najafgarh Road, Shivaji Marg, Circle-13(2), New Delhi-110015. New Delhi. Pan-Aabcs7280C Appellant Respondent [Assessment Year : 2015-16] Jindal Saw Ltd. Vs Acit, 28, Najafgarh Road, Circle-13(2) P.O.Ramesh Nagar, C.R.Building, I.P.Estate, New Delhi-110015. New Delhi-110002. Pan-Aabcs7280C Appellant Respondent

Section 143(3)Section 234BSection 43B

…c chemicals. Thus, by respectfully following the judgment of Hon’ble Supreme Court in the case of CIT vs Ponni Sugar & Chemical Ltd. 306 ITR 392 (SC) and the judgment of Hon’ble Jammu & Kashmir High Court in the case of Shree Balalji Alloys vs CIT reported in 239 CTR 70 (J&K) and the judgement of Hon’ble Rajasthan High Court in the case of PCIT vs Nitin Spinners Ltd. (supra) and Co-ordinate Bench of the Tribunal in case of Narayan Industries (supra), we hold that the incentives received by the assessee towards SHIS scheme is capital receipts and not chargeable under normal provisions of the Act. Accordingly, we d…

DCIT, New Delhi vs. M/S. Ultimate Flexipack Ltd., New Delhi

Appeal is dismissed

ITA 471/DEL/2013[2009-10]Status: DisposedITAT Delhi22 Jan 2020AY 2009-10

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi

Section 115JSection 68Section 80

…ees Three Crores only) is expended/ incurred in connection with the earning of sub licensing rights. 4. The Lower Authorities have erred in holding that refund of excise duty of Rs 1,47,16,872/- is not a capital receipt (Shri Balaji Alloys, J & K High Court - 239 CTR 70). 5. The Lower authorities have erred in holding that refund of excise duty being a capital receipt is includible in determination of Book Profit U/s 115JB of the act. ITA Nos.3373, 4012/Del/2011 ITA Nos.375, 6292, 610/Del/2012 ITA Nos.1856, 1327/Del/2015 6. It is contended that corporate expenses of Rs.4,87,93,921/- (Out of the total corporate…

Ultimate Flexipack Ltd., New Delhi vs. ACIT, New Delhi

Appeal is dismissed

ITA 4357/DEL/2013[2010-11]Status: DisposedITAT Delhi22 Jan 2020AY 2010-11

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi

Section 115JSection 68Section 80

…ees Three Crores only) is expended/ incurred in connection with the earning of sub licensing rights. 4. The Lower Authorities have erred in holding that refund of excise duty of Rs 1,47,16,872/- is not a capital receipt (Shri Balaji Alloys, J & K High Court - 239 CTR 70). 5. The Lower authorities have erred in holding that refund of excise duty being a capital receipt is includible in determination of Book Profit U/s 115JB of the act. ITA Nos.3373, 4012/Del/2011 ITA Nos.375, 6292, 610/Del/2012 ITA Nos.1856, 1327/Del/2015 6. It is contended that corporate expenses of Rs.4,87,93,921/- (Out of the total corporate…

Ultimate Flexipack Ltd., New Delhi vs. DCIT, New Delhi

Appeal is dismissed

ITA 6292/DEL/2012[2009-10]Status: DisposedITAT Delhi22 Jan 2020AY 2009-10

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi

Section 115JSection 68Section 80

…ees Three Crores only) is expended/ incurred in connection with the earning of sub licensing rights. 4. The Lower Authorities have erred in holding that refund of excise duty of Rs 1,47,16,872/- is not a capital receipt (Shri Balaji Alloys, J & K High Court - 239 CTR 70). 5. The Lower authorities have erred in holding that refund of excise duty being a capital receipt is includible in determination of Book Profit U/s 115JB of the act. ITA Nos.3373, 4012/Del/2011 ITA Nos.375, 6292, 610/Del/2012 ITA Nos.1856, 1327/Del/2015 6. It is contended that corporate expenses of Rs.4,87,93,921/- (Out of the total corporate…

ACIT, New Delhi vs. M/S. Ultimate Flexipack Ltd., New Delhi

Appeal is dismissed

ITA 610/DEL/2012[2008-09]Status: DisposedITAT Delhi22 Jan 2020AY 2008-09

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi

Section 115JSection 68Section 80

…ees Three Crores only) is expended/ incurred in connection with the earning of sub licensing rights. 4. The Lower Authorities have erred in holding that refund of excise duty of Rs 1,47,16,872/- is not a capital receipt (Shri Balaji Alloys, J & K High Court - 239 CTR 70). 5. The Lower authorities have erred in holding that refund of excise duty being a capital receipt is includible in determination of Book Profit U/s 115JB of the act. ITA Nos.3373, 4012/Del/2011 ITA Nos.375, 6292, 610/Del/2012 ITA Nos.1856, 1327/Del/2015 6. It is contended that corporate expenses of Rs.4,87,93,921/- (Out of the total corporate…

Ultimate Flexipack Ltd., New Delhi vs. DCIT, New Delhi

Appeal is dismissed

ITA 375/DEL/2012[2008-09]Status: DisposedITAT Delhi22 Jan 2020AY 2008-09

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi

Section 115JSection 68Section 80

…ees Three Crores only) is expended/ incurred in connection with the earning of sub licensing rights. 4. The Lower Authorities have erred in holding that refund of excise duty of Rs 1,47,16,872/- is not a capital receipt (Shri Balaji Alloys, J & K High Court - 239 CTR 70). 5. The Lower authorities have erred in holding that refund of excise duty being a capital receipt is includible in determination of Book Profit U/s 115JB of the act. ITA Nos.3373, 4012/Del/2011 ITA Nos.375, 6292, 610/Del/2012 ITA Nos.1856, 1327/Del/2015 6. It is contended that corporate expenses of Rs.4,87,93,921/- (Out of the total corporate…

ACIT, New Delhi vs. M/S. Ultimate Flexipack Ltd., New Delhi

Appeal is dismissed

ITA 4012/DEL/2011[2007-08]Status: DisposedITAT Delhi22 Jan 2020AY 2007-08

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi

Section 115JSection 68Section 80

…ees Three Crores only) is expended/ incurred in connection with the earning of sub licensing rights. 4. The Lower Authorities have erred in holding that refund of excise duty of Rs 1,47,16,872/- is not a capital receipt (Shri Balaji Alloys, J & K High Court - 239 CTR 70). 5. The Lower authorities have erred in holding that refund of excise duty being a capital receipt is includible in determination of Book Profit U/s 115JB of the act. ITA Nos.3373, 4012/Del/2011 ITA Nos.375, 6292, 610/Del/2012 ITA Nos.1856, 1327/Del/2015 6. It is contended that corporate expenses of Rs.4,87,93,921/- (Out of the total corporate…

Ultimate Flexipack Ltd., New Delhi vs. DCIT, New Delhi

Appeal is dismissed

ITA 3373/DEL/2011[2007-08]Status: DisposedITAT Delhi22 Jan 2020AY 2007-08

Bench: Ms Suchitra Kamble & Shri Prashant Maharishi

Section 115JSection 68Section 80

…ees Three Crores only) is expended/ incurred in connection with the earning of sub licensing rights. 4. The Lower Authorities have erred in holding that refund of excise duty of Rs 1,47,16,872/- is not a capital receipt (Shri Balaji Alloys, J & K High Court - 239 CTR 70). 5. The Lower authorities have erred in holding that refund of excise duty being a capital receipt is includible in determination of Book Profit U/s 115JB of the act. ITA Nos.3373, 4012/Del/2011 ITA Nos.375, 6292, 610/Del/2012 ITA Nos.1856, 1327/Del/2015 6. It is contended that corporate expenses of Rs.4,87,93,921/- (Out of the total corporate…

M/S Crystal Crop Protection Pvt. Ltd., Delhi vs. DCIT, New Delhi

In the result, the appeal of the assessee is allowed

ITA 1539/DEL/2016[2011-12]Status: DisposedITAT Delhi19 Dec 2019AY 2011-12

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1539/Del./2016 : Asstt. Year : 2011-12 M/S Crystal Crop Protection (P) Ltd. Vs Dcit, Gi-17, G.T. Karnal Road, Azadpur, Circle-6(2) Delhi-110033 New Delhi (Appellant) (Respondent) Pan No. Aabcj3574E Assessee By : Sh. S. S. Nagar, Ca Revenue By : Ms. Ashima Neb, Sr. Dr Date Of Hearing: 02.12.2019 Date Of Pronouncement: 19.12.2019

For Appellant: Sh. S. S. Nagar, CAFor Respondent: Ms. Ashima Neb, Sr. DR
Section 14ASection 2Section 254

…bsidy received by the appellant under the ‘New Industrial Policy and Other Concessions Scheme’ from the state of Jammu & Kashmir is to treated as “Capital Receipt” in view of the decision of the Hon’ble Jammu & Kashmir High Court in Shree Balaji Alloys V CIT (239 CTR 70), though wrongly treated as “revenue receipt” in the return of income.” 3. Ground Nos. 1 & 2 are inter-related. The assessee company is engaged in the business if manufacturing of pesticides, insecticides, herbicides and fertilizers. The Assessing Officer observed that during the year under consideration, the assessee company had made an investme…

Maruti Suzuki India Ltd., New Delhi vs. Addl. CIT, New Delhi

Appeal is allowed

ITA 5720/DEL/2011[2007-08]Status: DisposedITAT Delhi12 Jul 2016AY 2007-08

Bench: Shri I.C. Sudhir & Shri L.P. Sahu Assessment Year: 2007-08 Assessment Year: 2007-08 Maruti Suzuki India Ltd., Vs. Additional Cit, Plot No.1, Nelson Mandela Road, Range-6, Vasant Road, New Delhi. New Delhi. (Pan: Aaacm0829Q) (Appellant) (Respondent) Assessee By: S/Shri Ajay Vohra, Sr. Adv. Neeraj Jain, Rohit Jain, Adv. Romit Katyal & Ms. Tejasvi Jain, Cas Department By:Shri Amrendra Kumar, Cit(Dr)

For Appellant: S/Shri Ajay Vohra, Sr. Adv. NeerajFor Respondent: Shri Amrendra Kumar, CIT(DR)

…AT) (v) Ford India (P) Ltd. v. DCIT: 59 SOT 221 (Chennai ITAT) (w)ITO v. Shree Balaji Alloys: ITA No. 143(Asr)/2012 (Asr. ITAT) 24.11 Kind attention is invited to the decision of the Jammu and Kashmir High Court in the case of M/s Shree Balaji Alloys v. CIT: 239 CTR 70 wherein the High Court has decided the similar issue in favour of the assessee by holding the subsidy given for setting up unit in the state of Jammu for employment generation was in the nature of a capital receipt, not liable to tax under the provisions of the Act. 24.12 Reliance in further placed on the decision of the Punjab and Haryana High C…