Sunil Kumar Gupta v. ACIT

Bose Corporation India Private Limited, Gurugram, Haryana vs. Deputy Commissioner of Income Tax, Circle 73 (1), New Delhi

Bench: Sh. Satbeer Singh Godara & Sh. M. Balaganeshita No. 2003/Del/2024 : Asstt. Year : 2013-14 Ita No. 2004/Del/2024 : Asstt. Year : 2016-17 Bose Corporation India Pvt. Ltd., Vs Acit, 1St Floor, Tower-A, Building No. 10, Circle-73(1), Dlf Cyber City, Dlf Phase-Ii, New Delhi-110092 Gurugram, Haryana-122002 (Appellant) (Respondent) Pan No. Aaacb3260A Assessee By : Dr. Sashwat Bajpai, Adv. Revenue By : Sh. Poojan Rana, Sr. Dr Date Of Hearing: 19.11.2024 Date Of Pronouncement: 05.12.2024 Order Per Satbeer Singh Godara: These Assessee’S Instant Two Appeals Ita Nos. 2003 & 2004/Del/2024, For Assessment Years 2013-14 & 2016-17, Arise Against The Cit(A)/Nfac, Bengaluru’S Common Orders Dated 29.02.2024 In Din & Order No. Itba/Apl/S/250/2023- 24/1061748591(1) & In Din & Order No. Itba/Apl/S/250/2023-24/1061768679(1), In Proceedings U/S 201(1A) & 201 Of The Income Tax Act, 1961 (In Short “The Act”).

…s at the rate of 10% and the payments made for common area maintenance falls under the purview of 1941 and not 194C. Reliance is placed on the decision of Hon'ble High Court in the case of Sunil Kumar Gupta R. Asst. CIT [2016] 73 taxmann.com 374/243 Taxman 65/389 ITR 38/[2017] 298 CTR 106 (Punj, & Har.), wherein I is held that the ITA Nos. 2003 & 2004/Del/2024 6 Bose Corporation India Pvt. Ltd. ambit of the term "rent" is wide and it includes any amount which is paid in consideration of the property being let. The maintenance charges must form a part of the rent. Common area and other services provided by the l…

Bose Corporation India Private Limited, Gurugram, Haryana vs. Assistant Commissioner of Income Tax, Circle 73 (1), New Delhi

Bench: Sh. Satbeer Singh Godara & Sh. M. Balaganeshita No. 2003/Del/2024 : Asstt. Year : 2013-14 Ita No. 2004/Del/2024 : Asstt. Year : 2016-17 Bose Corporation India Pvt. Ltd., Vs Acit, 1St Floor, Tower-A, Building No. 10, Circle-73(1), Dlf Cyber City, Dlf Phase-Ii, New Delhi-110092 Gurugram, Haryana-122002 (Appellant) (Respondent) Pan No. Aaacb3260A Assessee By : Dr. Sashwat Bajpai, Adv. Revenue By : Sh. Poojan Rana, Sr. Dr Date Of Hearing: 19.11.2024 Date Of Pronouncement: 05.12.2024 Order Per Satbeer Singh Godara: These Assessee’S Instant Two Appeals Ita Nos. 2003 & 2004/Del/2024, For Assessment Years 2013-14 & 2016-17, Arise Against The Cit(A)/Nfac, Bengaluru’S Common Orders Dated 29.02.2024 In Din & Order No. Itba/Apl/S/250/2023- 24/1061748591(1) & In Din & Order No. Itba/Apl/S/250/2023-24/1061768679(1), In Proceedings U/S 201(1A) & 201 Of The Income Tax Act, 1961 (In Short “The Act”).

…s at the rate of 10% and the payments made for common area maintenance falls under the purview of 1941 and not 194C. Reliance is placed on the decision of Hon'ble High Court in the case of Sunil Kumar Gupta R. Asst. CIT [2016] 73 taxmann.com 374/243 Taxman 65/389 ITR 38/[2017] 298 CTR 106 (Punj, & Har.), wherein I is held that the ITA Nos. 2003 & 2004/Del/2024 6 Bose Corporation India Pvt. Ltd. ambit of the term "rent" is wide and it includes any amount which is paid in consideration of the property being let. The maintenance charges must form a part of the rent. Common area and other services provided by the l…

Paramount Restaurants Private Ltd., Vasant Kunj Delhi vs. Circle 19(1), Delhi

In the result, the appeal is allowed

Bench: Shri N. K. Billaiya & Shri Anubhav Sharmaparamount Restaurants Pvt. Ltd, Vs. Cit(A), T-308, Level-3, Ambience Mall, Circle-19(1), Nelson Mandela Road, Vasant Delhi Kunj, Delhi-110070 (Appellant) (Respondent) Pan: Aafcp2633N

…(i) of section 194 of the Act to conclude that any payment made to the landlord, other than under the head rent, falls into the category of rent and relied the judgment of Hon’ble Punjab and Haryana High court in the case of Sunil Kumar Gupta Vs. ACIT (2016) 389 ITR 38/73. 7. Now admittedly in the case in hand there was no separate agreement between the assessee tenant, the landlord and the service provider for common maintenance, M/s. Ambience Facilities Management Pvt. Ltd which is owned by Ambience Group to which Paramount Restaurants Pvt. Ltd the rent was paid. The coordinate bench, on which one of us, the j…

Pvr Ltd., New Delhi vs. ACIT, Circle-76(1), New Delhi

In the result, the appeals of the assessee are allowed for statistical purpose

Bench: Dr. B. R. R. Kumarsh. Yogesh Kumar Us

…8 are not applicable to the Appellant’s facts. 5. That on the facts and circumstances of the case and in law, the Ld. CIT(A) erred in placing reliance on the judgment of the Hon’ble Punjab and Haryana High Court in the case of Sunil Kumar Gupta v ACIT (2016) 389 ITR 38. 6. That on the facts and circumstances of the case and in law, the Ld. CIT(A) failed to appreciate that the order u/s 201(1 )/201(1A) of the Act had been passed by the Ld. AO in a contradictory manner, as the Ld. AO had himself held that CAM charges paid to independent third party service providers are not in the nature of rent. Further, the Ld.…

Pvr Ltd., New Delhi vs. ACIT Circle-76(1), New Delhi

In the result, the appeals of the assessee are allowed for statistical purpose

Bench: Dr. B. R. R. Kumarsh. Yogesh Kumar Us

…8 are not applicable to the Appellant’s facts. 5. That on the facts and circumstances of the case and in law, the Ld. CIT(A) erred in placing reliance on the judgment of the Hon’ble Punjab and Haryana High Court in the case of Sunil Kumar Gupta v ACIT (2016) 389 ITR 38. 6. That on the facts and circumstances of the case and in law, the Ld. CIT(A) failed to appreciate that the order u/s 201(1 )/201(1A) of the Act had been passed by the Ld. AO in a contradictory manner, as the Ld. AO had himself held that CAM charges paid to independent third party service providers are not in the nature of rent. Further, the Ld.…

Jhonson Watch Company Pvt Ltd, New Delhi vs. ACIT Circle- 75(1), New Delhi

Appeal of the assessee is allowed

Bench: Sh. Anil Chaturvedi & Sh. Anubhav Sharmam/S. Johnson Watch Company Vs. Acit Pvt. Ltd. Circle 75(1), L-21, Connaught Place, New Delhi New Delhi Appellant Respondent Pan: Aabcj9807G

…mises and provision of manpower, such agreement in essence is for taking premises on rent and hence provisions of section 1941 are-applicable. This view also gets support, from the decision of Hon‟ble High Court in the case of Sunil Kumar Gupta Vs ACIT (2016) 389 ITR 38 (P & H), in which it is held that where the agreement provides that the owner of the premises shall pay for common facilities, then it is reasonable to presume that the same is factored into the rent payable by the lessee. However, if maintenance charges etc. are stipulated to be payable by the lessor, it must form part of rent for the purposes of…

Ace Datamatics Pvt. Ltd., Delhi vs. ITO, Ward-73(1), New Delhi

In the result, the appeal filed by the assessee is allowed

…mpany should deduct TDS on payment made directly to operation/maintenance services providers u/s 194-I of the Act instead of Section 194C of the Act by relying on the judgment of the Hon’ble High Court of Punjab & Haryana in case of Sunil Kumar Gupta vs. ACIT 389 ITR 38 wherein the Hon’ble Court held that maintenance charges must form a part of the rent while calculating the annual value of property u/s 23(1) of the Act for the purpose of Section 22 of the Act. However, in the present assessee company’s case, the common area maintenance charges was not forming the part of the actual rent paid to the owner by the…

Connaught Plaza Restaurants Pvt Ltd., New Delhi vs. DCIT Circle-73(1), New Delhi

The appeal of the assessee is partly allowed in terms of our aforesaid observations

Bench: Shri G.S. Pannu & Shri Ravish Sood

…of the term “rent” as provided in the “Explanation” to Section 194-I of the Act a/w the CBDT Circular No.715, dated 08.08.1995 (Question no.24), and the judgment of the Hon’ble High Court of Punjab and Haryana in the case of Sunil Kumar Gupta vs. ACIT (2016) 389 ITR 38 (P&H) therein concluded that as CAM 5 I.T.As. No.993 & 1984/DEL/2020 charges paid by the assessee company formed a part of the rent, therefore, the assessee company was liable for deduction of tax at source on the same u/s.194-I of the Act. Qua the claim of the assessee that the order passed by the AO treating the assessee company as an assessee…

Connaught Plaza Restaurants Pvt. Ltd, New Delhi vs. DCIT, Circle-73(1), Delhi

The appeal of the assessee is partly allowed in terms of our aforesaid observations

Bench: Shri G.S. Pannu & Shri Ravish Sood

…of the term “rent” as provided in the “Explanation” to Section 194-I of the Act a/w the CBDT Circular No.715, dated 08.08.1995 (Question no.24), and the judgment of the Hon’ble High Court of Punjab and Haryana in the case of Sunil Kumar Gupta vs. ACIT (2016) 389 ITR 38 (P&H) therein concluded that as CAM 5 I.T.As. No.993 & 1984/DEL/2020 charges paid by the assessee company formed a part of the rent, therefore, the assessee company was liable for deduction of tax at source on the same u/s.194-I of the Act. Qua the claim of the assessee that the order passed by the AO treating the assessee company as an assessee…

Kapoor Watch Company Pvt Ltd, New Delhi vs. ACIT Cirlce-75(1), New Delhi

Appeal of the assessee is allowed

Bench: Shri O. P. Kant & Ms Suchitra Kamblei.T.A. No. 889/Del/2020 (A.Y 2011-12) (Through Video Conferencing) Kapoor Watch Company Pvt. Ltd. Vs Acit G-7, South Extension, Part-1, Circle-75(1) New Delhi New Delhi Aaack3885A (Respondent) (Appellant) Appellant By Sh. Gautam Jain, Adv & Sh. Lalit Mohan, Ca Respondent By Sh. Sohail Malik, Sr. Dr

…ompany should deduct TDS on payment made directly to operation/maintenance services providers u/s 194I of the Act instead of Section 194C of the Act by relying on the judgment of the Hon’ble High Court of Punjab & Haryana in case of Sunil Kumar Gupta vs. ACIT 389 ITR 38. The Ld. AR submitted that CIT (A) while sustaining the order of the Assessing Officer has relied upon judgment of the Hon’ble High Court of Punjab & Haryana in case of Sunil Kumar Gupta vs. ACIT 389 ITR 38 wherein the Hon’ble Court held that maintenance charges must form a part of the rent while calculating the annual value of property u/s 23(1)…