Taparia Tools Ltd. v. JCIT

372 ITR 605Supreme Court of India2015#223 most cited

What is Taparia Tools Ltd. v. JCIT authority for?

An expenditure does not automatically become capital in nature merely because it results in some enduring benefit for the assessee; it can be treated as revenue expenditure if incurred for genuine business purposes.

343

judgments rely on this decision, according to BharatTax’s citation analysis of 366,470 Indian tax judgments — from 2013 to 2026.

Also referred to as

Taparia Tools Ltd. v. JCIT · 372 ITR 605 · SC · 2015 · section 37(1) · revenue expenditure · capital expenditure · enduring benefit test · deferred revenue expenditure · expenditure disallowance · business expenditure · allowability of expenditure

Also reported as

55 Taxmann.com 361276 CTR 1231 Taxmann 5

Sections most often in play

Section 143(3)Section 37(1)Section 40(a)(ia)Section 263Section 271(1)(c)Section 148Section 14ASection 115JB
Read the full judgment

Issues it is cited on

section 50(1)section 80absection 54esection 80msection 10(33)section 10(15)section 14a(1)section 54eclong-term capital assetsection 36(1)(viii)mat creditdisallowance of interest expenditure

Judgments citing Taparia Tools Ltd. v. JCIT

ACIT, Circle-6(1)(2), Mumbai vs. Ask Wealth Advisors Pvt. Limited, Mumbai

In the result Departmental appeal is dismissed

ITA 4215/MUM/2023[2017-18]Status: DisposedITAT Mumbai23 Sept 2024AY 2017-18

Bench: Shri Narender Kumar Choudhry(Jm) & Shri Omkareshwar Chidara (Am)

Section 115JSection 143(2)Section 37(1)

…ks of account with regard to discount of ESOP granted to the employees and hence expenditure is not deductible. The Ld. CIT(A) countered the argument of the Ld. AO by relying on the decision of Hon'ble Supreme Court in the case of Taparia Tools Ltd. Vs. JCIT (372 ITR 605), wherein Hon'ble Apex Court has held that the assessee claimed entire interest paid upfront was held to be deductible expenditure in one year. Hon'ble Apex Court has held that merely because a different treatment was given in the books of account cannot deprive assessee for claiming expenditure as deduction. Similarly, the Ld. CIT(A) quoted othe…

JCIT(OSD) Corporate Circle-1(1), Chennai vs. M/S Cholamandalam Investment and Fiance Comppany Limited, Chennai

In the result, the appeals filed by the assessee in ITA

ITA 515/CHNY/2023[2018-19]Status: DisposedITAT Chennai14 Aug 2024AY 2018-19

Bench: Shri Mahavir Singhand Shri S.R. Raghunatha

For Appellant: Shri Ajit Jain, CA (Through Virtual)For Respondent: Shri Nilay Baran Som, CIT
Section 143(3)

…expenditure was incurred wholly and exclusively for thepurpose of business, the same has been claimed as deduction in the year of payment, and in this regard he relied upon the decision of Hon’ble Supreme Court in the case of Taparia Tools Ltd vs JCIT [2015] 372 ITR 605 and its decision in the case of Indian Cements Ltd vs CIT [1966] 60 ITR 52. 9. The ld. DR, Shri. R. Mohan Reddy, CIT, supporting the order of the ld. CIT(A) submitted that, there cannot be different treatment for any expenditure, i.e., one for the purpose of book and one for the purpose of computation of profits and gains from business and profes…

JCIT(OSD) Corporate Circle-1(1), Chennai vs. M/S Cholamandalam Investment and Fiance Comppany Limited, Chennai

In the result, the appeals filed by the assessee in ITA

ITA 514/CHNY/2023[2017-18]Status: DisposedITAT Chennai14 Aug 2024AY 2017-18

Bench: Shri Mahavir Singhand Shri S.R. Raghunatha

For Appellant: Shri Ajit Jain, CA (Through Virtual)For Respondent: Shri Nilay Baran Som, CIT
Section 143(3)

…expenditure was incurred wholly and exclusively for thepurpose of business, the same has been claimed as deduction in the year of payment, and in this regard he relied upon the decision of Hon’ble Supreme Court in the case of Taparia Tools Ltd vs JCIT [2015] 372 ITR 605 and its decision in the case of Indian Cements Ltd vs CIT [1966] 60 ITR 52. 9. The ld. DR, Shri. R. Mohan Reddy, CIT, supporting the order of the ld. CIT(A) submitted that, there cannot be different treatment for any expenditure, i.e., one for the purpose of book and one for the purpose of computation of profits and gains from business and profes…

Cholamandalam Investment &Finance Company Limited, Parrys, Chennai vs. ACIT- Corporate Circle -1(2), Chennai

In the result, the appeals filed by the assessee in ITA

ITA 384/CHNY/2023[AY 2017-2018]Status: DisposedITAT Chennai14 Aug 2024

Bench: Shri Mahavir Singhand Shri S.R. Raghunatha

For Appellant: Shri Ajit Jain, CA (Through Virtual)For Respondent: Shri Nilay Baran Som, CIT
Section 143(3)

…expenditure was incurred wholly and exclusively for thepurpose of business, the same has been claimed as deduction in the year of payment, and in this regard he relied upon the decision of Hon’ble Supreme Court in the case of Taparia Tools Ltd vs JCIT [2015] 372 ITR 605 and its decision in the case of Indian Cements Ltd vs CIT [1966] 60 ITR 52. 9. The ld. DR, Shri. R. Mohan Reddy, CIT, supporting the order of the ld. CIT(A) submitted that, there cannot be different treatment for any expenditure, i.e., one for the purpose of book and one for the purpose of computation of profits and gains from business and profes…

M/S Cholamandalam Investment & Finance Company Limited, Chennai vs. DCIT-1(2), Chennai

In the result, the appeals filed by the assessee in ITA

ITA 847/CHNY/2020[2012-13]Status: DisposedITAT Chennai14 Aug 2024AY 2012-13

Bench: Shri Mahavir Singhand Shri S.R. Raghunatha

For Appellant: Shri Ajit Jain, CA (Through Virtual)For Respondent: Shri Nilay Baran Som, CIT
Section 143(3)

…expenditure was incurred wholly and exclusively for thepurpose of business, the same has been claimed as deduction in the year of payment, and in this regard he relied upon the decision of Hon’ble Supreme Court in the case of Taparia Tools Ltd vs JCIT [2015] 372 ITR 605 and its decision in the case of Indian Cements Ltd vs CIT [1966] 60 ITR 52. 9. The ld. DR, Shri. R. Mohan Reddy, CIT, supporting the order of the ld. CIT(A) submitted that, there cannot be different treatment for any expenditure, i.e., one for the purpose of book and one for the purpose of computation of profits and gains from business and profes…

Sundaram Finance Limited, Chennai vs. DCIT, Circle-1, Ltu, Chennai

ITA 636/CHNY/2023[2018-19]Status: DisposedITAT Chennai28 Jun 2024AY 2018-19

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

Sundram Finance Lomited, Chennai vs. ACIT, Circle-1, Ltu, Chennai

ITA 81/CHNY/2022[2017-18]Status: DisposedITAT Chennai28 Jun 2024AY 2017-18

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

Sundaram Finance Limited, Chennai vs. ACIT, Circle-A. Ltu, Chennai

ITA 80/CHNY/2022[2016-17]Status: DisposedITAT Chennai28 Jun 2024AY 2016-17

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

Sundaram Finance, Chennai vs. DCIT, Ltu-1, Chennai

ITA 79/CHNY/2022[2015-16]Status: DisposedITAT Chennai28 Jun 2024AY 2015-16

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

Sundaram Finance Ltd, Chennai vs. DCIT, Large Taxpayer Unit-1, Chennai

ITA 9/CHNY/2018[2011-12]Status: DisposedITAT Chennai28 Jun 2024AY 2011-12

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

Sundaram Finance Ltd, Chennai vs. DCIT, Large Taxpayer Unit-1, Chennai

ITA 8/CHNY/2018[2011-12]Status: DisposedITAT Chennai28 Jun 2024AY 2011-12

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

Sundaram Finance Ltd, Chennai vs. DCIT, Large Taxpayer Unit-1, Chennai

ITA 7/CHNY/2018[2010-11]Status: DisposedITAT Chennai28 Jun 2024AY 2010-11

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

DCIT, Chennai vs. M/S, Sundaram Finance Ltd., Chennai

ITA 28/CHNY/2018[2011-12]Status: DisposedITAT Chennai28 Jun 2024AY 2011-12

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

ACIT, Chennai vs. M/S Sundaram Finance Ltd, Chennai

ITA 27/CHNY/2018[2011-12]Status: DisposedITAT Chennai28 Jun 2024AY 2011-12

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

DCIT, Chennai vs. M/S, Sundaram Finance Ltd., Chennai

ITA 26/CHNY/2018[2010-11]Status: DisposedITAT Chennai28 Jun 2024AY 2010-11

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. R. Raghunatha, Hon’Bleआयकरअपीलसं./Ita Nos.: 07, 08 & 09/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Deputy Commissioner Of Income Sundaram Finance Limited, V. Tax, 21, Patullos Road, Large Taxpayer Unit -1, Chennai – 600 002. Chennai – 34. [Pan: Aaacs-4944-A] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकरअपीलसं./Ita Nos.: 26, 27 & 28/Chny/2018 िनधा"रणवष" / Assessment Years: 2010-11, 2011-12 & 2011-12 Sundaram Finance Limited, Deputy Commissioner Of Income V. 21, Patullos Road, Tax, Chennai – 600 002. Large Taxpayer Unit -1, [Pan: Aaacs-4944-A] Chennai – 34. (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. R. vijayaraghavan, AdvocateFor Respondent: Shri. V. Nandakumar, CIT
Section 143(3)

…ind that this issue has been dealt with by tribunal in ITA No.74 to 78/2015 dated 09.03.2022 for the A.Ys.2006-07 to 2010- 11. The bench vide paras 6.2 & 6.3 of the order, chose to follow the decision of Hon’ble Apex court in Taparia Tools Pvt. Ltd. Vs. JCIT (372 ITR 605) where in it was held that normally revenue expenditure incurred in a particular year has to be allowed in that year and if the assessee claims the full expenditure, department could not deny the same. Finally the claim was allowed.Therefore, :-26-: ITA. Nos:07, 08, 09, 26, 27, 28, 79, 80 & 81/Chny/2022 ITA No: 636/Chny/2023 this issue is cover…

Security Printing and Minting Corporation of India Ltd, New Delhi vs. ACIT, Circle 22(2), New Delhi

The appeal of the assessee is dismissed

ITA 1824/DEL/2023[2006-07]Status: DisposedITAT Delhi28 Jun 2024AY 2006-07

Bench: Shri Vikas Awasthy & Shri Avdhesh Kumar Mishra

Section 115JSection 143(3)Section 147Section 154Section 234ASection 244A

…period expenses in the Profit & Loss Account resulted the disallowance expenses of Rs.1,69,71,833/-. Placing reliance on the decisions of the Hon’ble Supreme Court in the cases of Tuticorin Alkali Chemicals &Fertilizers Ltd. 227 ITR 172 and Taparia Tools Ltd. 372 ITR 605 and the decisions of the Hon’ble Delhi High Court in the cases of Modipan Ltd. 334 ITR 102 and Sriram Piston 174 Taxman 147, the Ld. AR submitted that Page 3 of 8 such disallowance was devoid of any merit; therefore, the same was requested for deletion. To buttress the arguments, the Ld. AR placed emphasis on the CBDT Circular no.14 dated 11.04.1…

Income-Tax Officer, Ward-1, Bellary vs. M/S. South West Mining Limited, Bellary

In the result, appeal of the revenue is dismissed and CO filed by the assessee is dismissed

ITA 457/BANG/2023[2011-12]Status: DisposedITAT Bangalore08 Feb 2024AY 2011-12

Bench: Shri Chandra Poojari & Smt. Madhumita Royassessment Year: 2011-12 Ito M/S. South West Mining Limited Aayakar Bhavan Staff Road Vidya Nagar Fort Bellary Near Talur Cross Karnataka Toranagallu Vs. Bellary 583 201 Karnataka Pan No : Aafcs9792M Appellant Respondent C.O. No.4/Bang/2023 (Arising Out Of Ita No.457/Bang/2023) Assessment Year: 2011-12 M/S. South West Mining Limited Ito Vs. Bellary 583 201 Ward-1 Karnataka Bellary Appellant Respondent Assessee By : Shri Rakesh Joshi, A.R. Revenue By : Ms. Neera Malhotra, D.R. Date Of Hearing : 20.12.2023 Date Of Pronouncement : 08.02.2024 O R D E R Per Chandra Poojari: This Appeal By Revenue & Co By Assessee Are Directed Against The Order Of Nfac For The Assessment Year 2011-12 Dated 21.4.2023 Passed U/S 250 Of The Income Tax Act, 1961 (In Short “The Act”). The Revenue In This Appeal Raised Following Ground: “Whether The Ld. Cit(A) Is Justified On The Facts Of The Case & In Law, In Deleting The Addition Of Rs.287.72 Crores Claimed Towards “Mine Development Expenditure” U/S 37(1) In The Computation Of Income Which Was Not Routed Through The Profit & Loss Account.”

For Appellant: Shri Rakesh Joshi, A.RFor Respondent: Ms. Neera Malhotra, D.R
Section 143(1)Section 143(3)Section 234BSection 250Section 37Section 37(1)

…ip or development of mine. The claim of expenditure in "Computation of Income" no way bars the claim while filing the ITR when the same is allowable as an expense in hands of Assessee as held by the Hon’ble Supreme Court in case of Taparia Tools Ltd Vs. JCIT (372 ITR 605) (SC) that entry in books of account is not conclusive. 5.5 In view of the facts discussed above, the ld. CIT(A) observed that the expenditure incurred by Assessee on removal of overburden is held to be a Revenue expenditure and not capital expenditure. This overburden removal expenditure and Mining Development Expanses is an allowable expense u…

DCIT, Circle- 11(2), New Delhi vs. Hindustan Thermal Epc Company Pvt. Ltd., New Delhi

In the result, the appeal of the revenue is dismissed

ITA 4135/DEL/2017[2012-13]Status: DisposedITAT Delhi12 Jan 2024AY 2012-13

Bench: Shri C. N. Prasad & Shri M. Balaganeshdcit, Vs. Hindustan Thermal Epc Circle-11(2), Company Pvt. Ltd, New Delhi 616A, (16A, Sixth Floor), Devika Tower, Nehru Place, New Delhi (Appellant) (Respondent) Pan: Aadcd7323D

For Appellant: Shri Satyen Sethi, AdvFor Respondent: Shri Sandip Kumar Mishra, Sr. DR
Section 143(3)Section 35A

…and there is no concept of deferred revenue expenditure under the provisions of the Act except as specifically provided u/s 35AB, 35ABB etc. This aspect has been duly clarified by the Hon'ble Supreme Court in the case of Taparia Tools Ltd vs JCIT reported in 372 ITR 605 (SC) reversing the view of Hon'ble Bombay High Court. We also find that the assessee had also furnished the data of revenues earned in future years together with profit / loss thereon before the Id. CIT(A) as under:- Assessment Year Revenue Profit / loss 2012-13 10,38,018 (-) 6,51,44,188 2013-14 25,83,73,312 (-) 2,97,93,169 2014-15 93,71,37,364…

The Dy. Commissioner of Income Tax, Central Circle-6(4), Mumbai vs. M/S Tapir Construction Limited, Mumbai

In the result, appeal filed by the assessee is allowed in terms indicated hereinabove

ITA 2145/MUM/2023[2018-2019]Status: DisposedITAT Mumbai13 Dec 2023AY 2018-2019

Bench: Shri Aby T Varkey, Hon’Ble & Shri S. Rifaur Rahman, Hon'Bledcit – Central Circle – 6(4) V. M/S. Tapir Constructions Limited Room No. 1925, 19Th Floor M-62 & 63, 1St Floor Air India Building Connaught Place Nariman Point, Mumbai - 400021 New Delhi – 110001, New Delhi Pan: Aaect9858L (Appellant) (Respondent)

Section 142(1)Section 143(1)Section 143(2)

…le Supreme Court in the case Madras Industrial Investment Corporation (supra) and the decision of the Hon'ble Bombay High Court in the case of Taparia Tools Ltd. (supra). However, the decision of the Hon'ble Bombay High Court in the case of Taparia Tools Ltd. 372 ITR 605 has been subsequently reversed by the Hon'ble Supreme Court. Not only this, the Hon'ble Supreme Court has duly considered the earlier decision of the Hon'ble Supreme Court in the case of Madras Industrial Investment Corporation (supra), which has also been relied upon by the CIT(A). The relevant paragraphs of the Hon'ble Supreme Court decision re…

M/S Cholamandalam Investment 7 Finance Company Limited, Chennai vs. DCIT-1(3), Chennai

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

ITA 846/CHNY/2020[2011-12]Status: DisposedITAT Chennai27 Sept 2023AY 2011-12

Bench: Shri Mahavir Singh, Hon’Ble & Shri Manjunatha. G, Hon’Bleआयकर अपील सं./Ita No.: 846/Chny/2020 िनधा"रण वष" / Assessment Year: 2011-12 M/S. Cholamandalam Investment & Deputy Commissioner Of Finance Company Limited, V. Income Tax, No.2, Dare House, Nsc Bose Road, Company Circle-1(3), Parrys, Chennai – 600 001 121, Mahatma Gandhi Road, [Pan: Aaacc-1226-H] Chennai – 600 034. (अपीलाथ"/Appellant) (""यथ"/Respondent) अपीलाथ" क" ओर से/Appellant By : Shri. Ajit Kumar, Ca & Shri. Kunal Shah, Ca ""यथ" क" ओर से/Respondent By : Shri. R. Mohan Reddy, Cit सुनवाई क" तारीख/Date Of Hearing : 13.07.2023 घोषणा क" तारीख/Date Of Pronouncement : 27.09.2023

For Appellant: Shri. Ajit Kumar, CA and Shri. Kunal Shah, CAFor Respondent: Shri. R. Mohan Reddy, CIT

…y and exclusively for the :-8-: ITA. No: 846/Chny/2020 purpose of business, the same has been claimed as deduction in the year of payment, and in this regard he relied upon the decision of Hon’ble Supreme Court in the case of Taparia Tools Ltd vs JCIT [2015] 372 ITR 605 and its decision in the case of Indian Cements Ltd vs CIT [1966] 60 ITR 52. 9. The ld. DR, Shri. R. Mohan Reddy, CIT, supporting the order of the ld. CIT(A) submitted that, there cannot be different treatment for any expenditure, i.e., one for the purpose of book and one for the purpose of computation of profits and gains from business and profes…