T.T. (P) Ltd. v. CIT

139 ITR 827High Court1983#8581 most cited

What is T.T. (P) Ltd. v. CIT authority for?

The Assessing Officer (AO) cannot intervene in business decisions made by an assessee for commercial expediency, nor can the AO replace the assessee's judgment in such matters. Decisions made by the assessee are presumed to be taken out of commercial expediency.

13

judgments rely on this decision, according to BharatTax’s citation analysis of 366,314 Indian tax judgments — from 2015 to 2023.

Also referred to as

T.T. (P) Ltd. v. CIT · commercial expediency · AO intervention · assessee's decisions · business interest · replacement of assessee · evidence · material · disallowance basis

Judgments citing T.T. (P) Ltd. v. CIT

Giriraj Prasad Goyal, Tonk vs. ITO Tonk, Tonk

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

ITA 200/JPR/2023[2014-15]Status: HeardITAT Jaipur05 Jul 2023AY 2014-15

Bench: SHRI SANDEEP GOSAIN (Judicial Member), SHRI RATHOD KAMLESH JAYANTBHAI (Accountant Member)

For Appellant: Sh. Shrawan Kumar Gupta (Adv.)For Respondent: Smt. Monisha Choudhary (Addl. CIT)
Section 143(3)Section 147Section 148Section 24

…ke decisions and the AO is not supposed to intervene therein nor he can replace the assessee. Here, whatever decisions were taken by the assessee, has to be understood as taken out of commercial expediency. Kindly refer T.T. Pvt Ltd v/s CIT 121 ITR 551 (Kar), 139 ITR 827 (MP) JK Woolen Manufacturers 72 ITR 612 (SC). 4. Wrong basis at all: It is further submitted that the ld. AO has taken own imaginary basis which is not a good basis looking to the nature of expenses or profession of the assessee and made higher estimated disallowance. The AO has not brought any other single evidence or material on record before…

Shri Suresh Kumar Goyal, 501 Unique Sanghi Apartment Durgapura Jaipur-302018, Jaipur vs. ACIT Circle-6, Jaipur, Circle-6

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

ITA 664/JPR/2019[2013-14]Status: DisposedITAT Jaipur01 May 2023AY 2013-14

Bench: Hon’ble SHRI SANDEEP GOSAIN (Judicial Member)

For Appellant: Shri Mahendra Gargieya, Adv. &For Respondent: Mrs. Monisha Choudhary, Addl. CIT
Section 143(3)

…आयकर अपीलीय अधिकरण] जयपुर न्यायपीठ] जयपुर IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES,”SMC’’ JAIPUR Jh lanhi xkslkbZ] U;kf;d lnL; ds le{k BEFORE: Hon’ble SHRI SANDEEP GOSAIN, JUDICIAL MEMBER vk;dj vihy la-@ITA No. 664/JP/2019 fu/kZkj.k o"kZ@Assessment Year : 2013-14 Shri Suresh Kumar Goyal cuke The ACIT Vs. M/s. Vijay Durgesh & Co. Circle-6 227, Pratap Nagar, Khatipura Road Jaipur Jaipur LFkk;h ys[kk la-@thvkbZvkj la-@PAN/GIR No.: JPRS05605 F vihykFkhZ@Appellant izR;FkhZ@Respondent fu/kZkfjrh dh vksj ls@ Assessee by : Shri Mahendra Gargieya, Adv. & Shri Arnabh Dey, Adv. jktLo dh vksj ls@ Revenue by:…

Raj Auto Wheels (P) Ltd., Jaipur vs. ACIT, Ajmer

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

ITA 929/JPR/2016[2009-10]Status: DisposedITAT Jaipur09 Nov 2022AY 2009-10
For Appellant: Shri Mahendra Gargieya, AdvocawteFor Respondent: Shri P.R. Meena, C IT-DR
Section 133(6)Section 143(3)Section 145(3)

…आयकर अपीलीय अधिकरण] जयपुर न्यायपीठ] जयपुर IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES,”A” JAIPUR Jh lanhi xkslkbZ] U;kf;d lnL; ,oa Mk0 ehBk yky ehuk] ys[kk lnL; ds le{k BEFORE: SHRI SANDEEP GOSAIN, JM & DR MEETHA LAL MEENA, AM vk;dj vihy la-@ITA No. 929/JP/2016 fu/kZkj.k o"kZ@Assessment Year : 2009-10 M/s. Raj Auto Wheels (P) Ltd cuke The ACIT Vs. 424/24, Ravan Bahici, Kaiser Ganj Circle-1 Ajmer Ajmer LFkk;h ys[kk la-@thvkbZvkj la-@PAN/GIR No.: AADCR 3896 B vihykFkhZ@Appellant izR;FkhZ@Respondent fu/kZkfjrh dh vksj ls@Assessee by : Shri Mahendra Gargieya, Advocawte jktLo dh vksj ls@Revenue by: Shri P.R.…

M/S Allen Career Institute, Jaipur vs. Income Tax Officer, Ward-2-1, Kota

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

ITA 617/JPR/2018[2013-14]Status: DisposedITAT Jaipur04 Aug 2022AY 2013-14
For Appellant: Shri Mahendra Gargieya, Advocate &For Respondent: Shri A.S. Nehra, Addl. CIT
Section 143(3)Section 234ASection 244ASection 37(1)

…ervene therein nor he can replace the assessee. Here, whatever decisions were taken by the assessee, has to be understood as taken out of commercial expediency. Kindly refer T.T. (P) Ltd. v/s CIT (1980) 121 ITR 551 (Kar), CIT V/s Udhoji Shri Krishandas (1983) 139 ITR 827 (MP), JK Woollen Manufacturers 72 ITR 612 (SC)’’ 4.6 On the other hand, the ld. DR strongly relied upon the findings recorded by the authorities below and justified the additions made and confirmed by the ld. CIT(A) and prayed to uphold the addition/disallowance. 4.7 We have carefully considered the finding recorded in the impugned orders, the…

Income Tax Officer, Ward-1-2, Ajmer vs. Shri Bhagchand Jain, Ajmer

In the result, appeal of the Revenue is dismissed and the cross objection of the assessee is partly allowed

ITA 1271/JPR/2018[2014-15]Status: DisposedITAT Jaipur10 Jan 2022AY 2014-15
For Appellant: Shri Mahendra Gargieya (Adv)For Respondent: Smt. Runi Pal (Addl.CIT-DR) fu/kZkfjrh dh vksj ls@
Section 145Section 145(3)

…tervene therein nor he can replace the assessee. Here, whatever decisions were taken by the assessee, has to be understood as taken out of commercial expediency. Kindly refer T.T. (P) Ltd. v/s CIT (1980) 121 ITR 551 (Kar), CIT v/s Udhoji Shrikrishnadas (1983) 139 ITR 827 (MP) JK Woolen Manufacturers 72 ITR 612 (SC). 35 ITA 1271/JP/2018 & CO 42/JP/2018_ ITO Vs Sh. Bhagchand Jain 1.3 Reasonable Claim made: It is submitted that looking to a huge turnover of more than Rs.9.40crores (approx.), claim of expenditure is otherwise very meager. Thus such a meager claim to achieve such a huge turnover is not at all unjusti…

M/S. Swastik Oil Industries, Tonk vs. DCIT, Circle-7, Jaipur

In the result, both the appeals of the assessee are disposed off in light of aforesaid directions

ITA 1180/JPR/2019[2014-15]Status: DisposedITAT Jaipur22 Jun 2021AY 2014-15
For Appellant: Sh. Mahendra Gargieya (Adv.) &For Respondent: Smt. Runi Pal (Addl.CIT)
Section 143(3)Section 145Section 145(3)

…tervene therein nor he can replace the assessee. Here, whatever decisions were taken by the assessee, has to be understood as taken out of commercial expediency. Kindly refer T.T. (P) Ltd. v/s CIT (1980) 121 ITR 551 (Kar), CIT v/s Udhoji Shrikrishnadas (1983) 139 ITR 827 (MP) JK Woolen Manufacturers 72 ITR 612 (SC). 13. It was further submitted that looking to a huge turnover of more than Rs.53.20 crores (approx), claim of expenditure is otherwise very meager. Thus such a meager claim to achieve such a huge turnover is not at all unjustified. All these expenses were incurred exclusively for businesses purpose an…

M/S. Swastik Oil Industries, Tonk vs. DCIT, Circle-7, Jaipur

In the result, both the appeals of the assessee are disposed off in light of aforesaid directions

ITA 1179/JPR/2019[2013-14]Status: DisposedITAT Jaipur22 Jun 2021AY 2013-14
For Appellant: Sh. Mahendra Gargieya (Adv.) &For Respondent: Smt. Runi Pal (Addl.CIT)
Section 143(3)Section 145Section 145(3)

…tervene therein nor he can replace the assessee. Here, whatever decisions were taken by the assessee, has to be understood as taken out of commercial expediency. Kindly refer T.T. (P) Ltd. v/s CIT (1980) 121 ITR 551 (Kar), CIT v/s Udhoji Shrikrishnadas (1983) 139 ITR 827 (MP) JK Woolen Manufacturers 72 ITR 612 (SC). 13. It was further submitted that looking to a huge turnover of more than Rs.53.20 crores (approx), claim of expenditure is otherwise very meager. Thus such a meager claim to achieve such a huge turnover is not at all unjustified. All these expenses were incurred exclusively for businesses purpose an…

Paliwal Jewellers, Jaipur vs. ITO, Jaipur

In the result, appeal of the assessee is allowed for statistical purposes

ITA 82/JPR/2017[2012-13]Status: DisposedITAT Jaipur27 Nov 2017AY 2012-13
For Appellant: Shri Shrawan Kr. Gupta (Advocate)For Respondent: Shri Shailendra Sharma (Addl. CIT)
Section 143(3)Section 40A(3)

…ke decisions and the AO is not supposed to intervene therein nor he can replace the assessee. Here, whatever decisions were taken by the assessee, has to be understood as taken out of commercial expediency. Kindly refer T.T. Pvt Ltd v/s CIT 121 ITR 551 (Kar), 139 ITR 827 (MP) JK Woolen Manufacturers 72 ITR 612 (SC). 4. Wrong basis at all: It is further submitted that the ld. AO has taken own imaginary basis which is not a good basis looking to the nature of expenses or business of the assessee and made higher estimated disallowance. The AO has not brought any other single evidence or material on record before ma…

S.R. Protiens Pvt. Ltd, Jaipur vs. DCIT, Jaipur

In the result, the disallowance of Rs 71,795 is hereby deleted

ITA 978/JPR/2016[2011-12]Status: DisposedITAT Jaipur31 May 2017AY 2011-12
For Appellant: Shri Shrawan Kumar Gupta (Adv.)For Respondent: Shri R.A. Verma (Addl.CIT)
Section 143(3)Section 234B

…ke decisions and the AO is not supposed to intervene therein nor he can replace the assessee. Here, whatever decisions were taken by the assessee, has to be understood as taken out of commercial expediency. Kindly refer T.T. Pvt Ltd v/s CIT 121 ITR 551 (Kar), 139 ITR 827 (MP) JK Woolen Manufacturers 72 ITR 612 (SC). 12.3 Wrong basis at all: It is further submitted that the ld. AO has taken own imaginary basis which is not a good basis looking to the nature of expenses or business of the assessee and made higher estimated disallowance. The AO has not brought any other single evidence or material on record before…

Galaxy Impex, Jaipur vs. DCIT, Jaipur

In the result, the disallowance made

ITA 529/JPR/2016[2012-13]Status: DisposedITAT Jaipur28 Feb 2017AY 2012-13
For Appellant: Shri Mahendra Gargieya (Advocate)For Respondent: Shri Prithivi Raj Meena (Add. CIT)
Section 145(3)

…ervene therein nor he can replace the assessee. Here, whatever decisions were taken by the assessee has to be understood as taken out of commercial expediency. Kindly refer T.T (P) Ltd. v/s CIT (1980) 121 ITR 551 (Kar), CIT v/s Udhoji Shrikrishnadas (1983) 139 ITR 827 (MP), JK Woolen Manufactures V/S CIT (1969) 72 ITR 612 (SC). 9.2 It was further submitted that neither the AO nor the ld. CIT(A) have provided any reasonable basis whatsoever for making the estimated disallowance. They also ignored the vital fact that in the past no such disallowance was ever made. Kindly refer assessment order (PB 111) where…

ITO, WD-33(4), Kolkata vs. M/S Spml - Hcil Jv, Kolkata

In the result, Revenue’s appeal stands dismissed

ITA 634/KOL/2014[2009-2010]Status: DisposedITAT Kolkata25 Jan 2017AY 2009-2010

Bench: Shri P.M.Jagtap & Shri S.S.Viswanethra Raviassessment Year:2009-10

Section 143(2)Section 40A(2)(b)Section 80

…by invoking the provisions of section 40A(2) of the Act by the authorities, it had to be held that the entire payment of Rs.6 crores was an admissible amount” (iii) The Madhya Pradesh High Court in case of Commissioner of Income-tax v. Udhoji Shrikrishnadas [139 ITR 827] “In view of the finding of the Tribunal that there was no adequate material to hold that the purchase of the tobacco was not made t the market rate, it could not be said that the payment of price made by the assessee to the firm was either excessive or unreasonable. Therefore, the extra payment of Rs.70,257 could not be added to the income of th…

M/S Divakar Solar System Ltd., Kolkata vs. DCIT, Cir-10, Kolkata

In the result, the appeal of the assessee is allowed

ITA 1301/KOL/2015[2012-2013]Status: DisposedITAT Kolkata16 Dec 2016AY 2012-2013

Bench: Shri M. Balaganesh, Am & Shri S. S. Viswanethra Ravi, Jm]

For Appellant: Shri S. K. Tulsiyan, AdvocateFor Respondent: Shri Sallong Yaden, Addl. CIT
Section 143(3)Section 40A(2)

…gineering vs JCIT reported in 286 ITR (AT) 210 (b) Decision of Bangalore Tribunal in the case of BPL Refrigeration Ltd vs ACIT reported in 272 ITR (AT) 47 (c) Decision of Hon’ble Madhyapradesh High Court in the case of ICT vs Udhoji Shrikrishnadas reported in 139 ITR 827 (MP) (d) Decision of Hon’ble Delhi High Court in the case of CIT vs Denso Haryana Pvt Ltd reported in 328 ITR 14 (Del) 3.3. In response to this, the ld DR merely argued that the details called for by the ld AO in tabular form were not fully complied with by the assessee and hence the disallowance had been rightly made by the ld AO. 4 Divakar So…

Dell India Pvt Ltd vs. The Joint Commissioner of Income Tax

WP/8901/2015HC Karnataka23 Mar 2015

Bench: The Hon’Ble Mr.Justice Aravind Kumar

Section 143(3)Section 144CSection 147Section 148

…tors Co-op. Multipurpose Society Ltd. 4. Unreported Judgment of High Court of Judicature, Bombay rendered in W.P.1327/2013 on 16.07.2014 – Aroni Commercials Ltd., Vs The Assistant Commissioner of Income Tax 2(1) Mumbai and anr 5. (1980) 121 ITR 551 – T.T. Pvt. Ltd., Vs Income Tax Officer, Company Circle-III, Bangalore. 13 7. He would also contend that in anticipation of the probable contention that revenue may raise with regard to maintainability of writ petition namely petitioner ought to have approached the appellate authority and as such petitioner cannot…