Tuticorin Alkali Chemicals & Fertilizers Ltd. v. CIT

227 ITR 172Supreme Court of India1997#96 most cited

What is Tuticorin Alkali Chemicals & Fertilizers Ltd. v. CIT authority for?

Interest income earned on deposits, particularly before the commencement of business operations or as a requirement for business licensing, is taxable as "income from other sources" under Section 56, and cannot be treated as business income or set off against interest on borrowed funds.

621

judgments rely on this decision, according to BharatTax’s citation analysis of 371,887 Indian tax judgments — from 2007 to 2026.

Also referred to as

Tuticorin Alkali Chemicals & Fertilizers Ltd. v. CIT · 227 ITR 172 · Section 28 · Section 56 · Section 57 · income from other sources · business income · interest income · commencement of business · capitalization of interest · year of expenditure claim

Also reported as

141 CTR 387

Sections most often in play

Section 250Section 143(3)Section 41(1)Section 14ASection 40(a)(ia)Section 37(1)Section 147Section 28(iv)

Issues it is cited on

section 57profits and gains of business or professionsection 56section 32revenue expenditureincome from other sourcessection 28section 37(1)capital expendituresection 43section 37previous year

Judgments citing Tuticorin Alkali Chemicals & Fertilizers Ltd. v. CIT

M/S. Angul Sukinda Railway Ltd., Bhubaneswar vs. ITO, Ward- 1(1), Bhubaneswar

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

ITA 385/CTK/2019[2014-15]Status: DisposedITAT Cuttack02 Nov 2020AY 2014-15

Bench: Shri C.M. Garg, Jm & Shri L.P. Sahu, Am आयकर अपीऱ सं./Ita No.384&385/Ctk/2019 (नििाारण वषा / Assessment Year :2014-2015) M/S Angul Sukinda Railway Ltd., Vs. Ito Ward-1(3), Bhubaneswar Plot No.7622/4706, Press Chhaka Gajapati Nagar, Bhubaneswar-751005 Pan No. : Aahca 6638 E (अऩीलाथी /Appellant) (प्रत्यथी / Respondent) .. ननधाारिती की ओर से /Assessee By : Shri Ved Jain, Ar िाजस्व की ओर से /Revenue By : Shri M.K.Gautam, Cit Dr सुनवाई की तािीख / Date Of Hearing : 21/10/2020 घोषणा की तािीख/Date Of Pronouncement : 03/11/2020 आदेश / O R D E R Per L.P.Sahu, Am: These Two Appeals Filed By The Assessee Against The Order Dated 16.09.2019, Passed By The Cit(A)-1, Bhubaneswar For The Assessment Year 2013-2014 & 2014-2015. 2. Grounds Taken By The Assessee For A.Y.2013-2014 Are As Under :- 1. That The Order Of The Ld. Ao Is Illegal, Arbitrary Contrary To Evidence On Record & Without Application Of Mind & For That Matter The Said Order Is Liable To Be Quashed And/Or Annulled. 2. That On The Facts Of Circumstances Of The Case, The Ld. Ao Has Erred In Treating Interest On Fdr & Flexi Deposit Amounting To Rs. 1,08,02,969/- As Revenue Receipt & Made Addition Although The Said Interest Is Inextricably Linked To The Project & Is Purely A Capital Receipt & Hence The Aforesaid Addition Is Liable To Be Deleted. 3. That The Ld. Ao Has Erred Both In Law & Facts By Treating Capital Receipt As Revenue 5. That The Appellant Craves Leave To Add Or To Amend The Above Grounds Of Appeal Before Or At The Time Of Hearing Of The Appeal. 6. For These & Among Other Grounds To Be Urged At The Time Of Hearing, Adequate Relief As May Be Deemed Fit Be Granted In The Matter.

For Appellant: Shri Ved Jain, ARFor Respondent: Shri M.K.Gautam, CIT DR
Section 115J

…tilized for laying down railway line. iv.) Investing monies in the FDS is neither the business of the assessee company not incidental to its main business. It was held by the Hon'ble Supreme Court in the case of Tuticorin Alkali Chemicals & Fertilizers Ltd. (227 ITR 172) that it is totally immaterial whether the funds were raised by the issue of share or debentures. If the money lying idle is put into FDs, then interest income so earned would be revenue in nature chargeable to tax. v.) The assessee had raised share application monies for the purpose of laying down railway line. But, due to non-utilization of fu…

M/S. Angul Sukinda Railway Ltd., Bhubaneswar vs. ITO, Ward- 1(1), Bhubaneswar

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

ITA 384/CTK/2019[2013-14]Status: DisposedITAT Cuttack02 Nov 2020AY 2013-14

Bench: Shri C.M. Garg, Jm & Shri L.P. Sahu, Am आयकर अपीऱ सं./Ita No.384&385/Ctk/2019 (नििाारण वषा / Assessment Year :2014-2015) M/S Angul Sukinda Railway Ltd., Vs. Ito Ward-1(3), Bhubaneswar Plot No.7622/4706, Press Chhaka Gajapati Nagar, Bhubaneswar-751005 Pan No. : Aahca 6638 E (अऩीलाथी /Appellant) (प्रत्यथी / Respondent) .. ननधाारिती की ओर से /Assessee By : Shri Ved Jain, Ar िाजस्व की ओर से /Revenue By : Shri M.K.Gautam, Cit Dr सुनवाई की तािीख / Date Of Hearing : 21/10/2020 घोषणा की तािीख/Date Of Pronouncement : 03/11/2020 आदेश / O R D E R Per L.P.Sahu, Am: These Two Appeals Filed By The Assessee Against The Order Dated 16.09.2019, Passed By The Cit(A)-1, Bhubaneswar For The Assessment Year 2013-2014 & 2014-2015. 2. Grounds Taken By The Assessee For A.Y.2013-2014 Are As Under :- 1. That The Order Of The Ld. Ao Is Illegal, Arbitrary Contrary To Evidence On Record & Without Application Of Mind & For That Matter The Said Order Is Liable To Be Quashed And/Or Annulled. 2. That On The Facts Of Circumstances Of The Case, The Ld. Ao Has Erred In Treating Interest On Fdr & Flexi Deposit Amounting To Rs. 1,08,02,969/- As Revenue Receipt & Made Addition Although The Said Interest Is Inextricably Linked To The Project & Is Purely A Capital Receipt & Hence The Aforesaid Addition Is Liable To Be Deleted. 3. That The Ld. Ao Has Erred Both In Law & Facts By Treating Capital Receipt As Revenue 5. That The Appellant Craves Leave To Add Or To Amend The Above Grounds Of Appeal Before Or At The Time Of Hearing Of The Appeal. 6. For These & Among Other Grounds To Be Urged At The Time Of Hearing, Adequate Relief As May Be Deemed Fit Be Granted In The Matter.

For Appellant: Shri Ved Jain, ARFor Respondent: Shri M.K.Gautam, CIT DR
Section 115J

…tilized for laying down railway line. iv.) Investing monies in the FDS is neither the business of the assessee company not incidental to its main business. It was held by the Hon'ble Supreme Court in the case of Tuticorin Alkali Chemicals & Fertilizers Ltd. (227 ITR 172) that it is totally immaterial whether the funds were raised by the issue of share or debentures. If the money lying idle is put into FDs, then interest income so earned would be revenue in nature chargeable to tax. v.) The assessee had raised share application monies for the purpose of laying down railway line. But, due to non-utilization of fu…

M/S. Brahmaputra Cracker & Polymer Ltd., Dibrugarh vs. Deputy Commissioner of Income Tax, Circle - 2, Dibrugarh

In the result, all the appeals of the revenue are dismissed and all the appeals of the assessee are allowed

ITA 200/GTY/2019[2015-16]Status: DisposedITAT Guwahati22 Oct 2020AY 2015-16

Bench: Shri A. T. Varkey, Jm & Dr. A. L. Saini, Am]

…Nil 6,99,57,852 1,90,39,000 Nil 6. We have heard rival submissions and gone through the facts and circumstances of the case. We note that AO relying on the decision of the Hon’ble Supreme Court in Tuticorin Alkali Chemicals & Fertilizers Ltd. Vs. CIT (1997) 227 ITR 172 (SC), held that the entire interest income earned on all three funds i.e. from capital subsidy, equity and borrowing parked with the banks [short-term deposits (STD)] as income from other sources and it was brought to tax. The Ld. CIT(A) by passing the impugned order allowed partially the claim of assessee. We note that the Ld. CIT(A) has followe…

M/S. Brahmaputra Cracker & Polymer Ltd., Dibrugarh vs. Deputy Commissioner of Income Tax, Circle - 2, Dibrugarh

In the result, all the appeals of the revenue are dismissed and all the appeals of the assessee are allowed

ITA 94/GTY/2018[2011-12]Status: DisposedITAT Guwahati22 Oct 2020AY 2011-12

Bench: Shri A. T. Varkey, Jm & Dr. A. L. Saini, Am]

…Nil 6,99,57,852 1,90,39,000 Nil 6. We have heard rival submissions and gone through the facts and circumstances of the case. We note that AO relying on the decision of the Hon’ble Supreme Court in Tuticorin Alkali Chemicals & Fertilizers Ltd. Vs. CIT (1997) 227 ITR 172 (SC), held that the entire interest income earned on all three funds i.e. from capital subsidy, equity and borrowing parked with the banks [short-term deposits (STD)] as income from other sources and it was brought to tax. The Ld. CIT(A) by passing the impugned order allowed partially the claim of assessee. We note that the Ld. CIT(A) has followe…

Deputy Commissioner of Income Tax, Circle - 2, Dibrugarh vs. M/S. Brahmaputra Cracker & Polymer Ltd., Dibrugarh

In the result, all the appeals of the revenue are dismissed and all the appeals of the assessee are allowed

ITA 89/GTY/2018[2011-12]Status: DisposedITAT Guwahati22 Oct 2020AY 2011-12

Bench: Shri A. T. Varkey, Jm & Dr. A. L. Saini, Am]

…Nil 6,99,57,852 1,90,39,000 Nil 6. We have heard rival submissions and gone through the facts and circumstances of the case. We note that AO relying on the decision of the Hon’ble Supreme Court in Tuticorin Alkali Chemicals & Fertilizers Ltd. Vs. CIT (1997) 227 ITR 172 (SC), held that the entire interest income earned on all three funds i.e. from capital subsidy, equity and borrowing parked with the banks [short-term deposits (STD)] as income from other sources and it was brought to tax. The Ld. CIT(A) by passing the impugned order allowed partially the claim of assessee. We note that the Ld. CIT(A) has followe…

ACIT, Circle-2(2), Hyderabad vs. M/S Kakinada Sez Private Limited, R.R.Dist

In the result, appeal of the Revenue is dismissed

ITA 1012/HYD/2013[2008-09]Status: DisposedITAT Hyderabad08 Oct 2020AY 2008-09

Bench: Smt. P. Madhavi Devi & Shri A. Mohan Alankamony(Through Virtual Hearing) Assessment Year:2008-09 The Income Tax Officer, Vs. M/S. Kakinada Sez Pvt. Ward-2(1), Ltd., Hyderabad. Shamshabad. Pan: Aacck 5670 R (Appellant) (Respondent) Assessee By: Shri Ronak Doshi Revenue By: Shri Pathlavat Peerya, Dr Date Of Hearing: 06/10/2020 Date Of Pronouncement: 08/10/2020 Order Per A. Mohan Alankamony, Am.:

For Appellant: Shri Ronak DoshiFor Respondent: Shri Pathlavat Peerya, DR
Section 271(1)(c)Section 57

…IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH “A”, HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER (Through Virtual Hearing) Assessment Year:2008-09 The Income Tax Officer, Vs. M/s. Kakinada SEZ Pvt. Ward-2(1), Ltd., Hyderabad. Shamshabad. PAN: AACCK 5670 R (Appellant) (Respondent) Assessee by: Shri Ronak Doshi Revenue by: Shri Pathlavat Peerya, DR Date of hearing: 06/10/2020 Date of pronouncement: 08/10/2020 ORDER PER A. MOHAN ALANKAMONY, AM.: This appeal is filed by the Revenue against the order of the ld. CIT (A)-III, Hyderabad in appeal No. 0105/A…

Road Infrastructure Development Company of Rajasthan Ltd, Jaipur vs. Assistant Commissioner of Income Tax, Circle-6, Jaipur

ITA 670/JPR/2019[2013-14]Status: DisposedITAT Jaipur31 Jul 2020AY 2013-14
For Appellant: Shri P.P. Pareek (C.A.)For Respondent: Shri K.C. Gupta (JCIT)
Section 14ASection 244ASection 35D

…it in the FDRs with banks and the interest earned thereon should have been classified under the head “income from other sources”. Further relying on the decision of Hon’ble Supreme Court in case of Tuticorin Alkali Chemicals & fertilizers Ltd. vs. CIT (1997) 227 ITR 172 and following the position taken in the earlier assessment years, an amount of Rs. 1,05,246/- was brought to tax under the head “income from other sources”. On appeal, the same has been confirmed by the ld. CIT(A) and against the said finding, the assessee is in appeal before us. M/s Road Infrastructure Dev. Com. of Rajasthan Ltd. vs. ACIT 6. Dur…

Road Infrastructure Development Company of Rajasthan Ltd, Jaipur vs. Assistant Commissioner of Income Tax, Circle-6, Jaipur

ITA 669/JPR/2019[2012-13]Status: DisposedITAT Jaipur31 Jul 2020AY 2012-13
For Appellant: Shri P.P. Pareek (C.A.)For Respondent: Shri K.C. Gupta (JCIT)
Section 14ASection 244ASection 35D

…it in the FDRs with banks and the interest earned thereon should have been classified under the head “income from other sources”. Further relying on the decision of Hon’ble Supreme Court in case of Tuticorin Alkali Chemicals & fertilizers Ltd. vs. CIT (1997) 227 ITR 172 and following the position taken in the earlier assessment years, an amount of Rs. 1,05,246/- was brought to tax under the head “income from other sources”. On appeal, the same has been confirmed by the ld. CIT(A) and against the said finding, the assessee is in appeal before us. M/s Road Infrastructure Dev. Com. of Rajasthan Ltd. vs. ACIT 6. Dur…

Road Infrastructure Development Company of Rajasthan Ltd, Jaipur vs. Assistant Commissioner of Income Tax, Circle-6, Jaipur

ITA 668/JPR/2019[2011-12]Status: DisposedITAT Jaipur31 Jul 2020AY 2011-12
For Appellant: Shri P.P. Pareek (C.A.)For Respondent: Shri K.C. Gupta (JCIT)
Section 14ASection 244ASection 35D

…it in the FDRs with banks and the interest earned thereon should have been classified under the head “income from other sources”. Further relying on the decision of Hon’ble Supreme Court in case of Tuticorin Alkali Chemicals & fertilizers Ltd. vs. CIT (1997) 227 ITR 172 and following the position taken in the earlier assessment years, an amount of Rs. 1,05,246/- was brought to tax under the head “income from other sources”. On appeal, the same has been confirmed by the ld. CIT(A) and against the said finding, the assessee is in appeal before us. M/s Road Infrastructure Dev. Com. of Rajasthan Ltd. vs. ACIT 6. Dur…

Gujarat Mineral Development Corporation Ltd., Ahmedabad vs. The ACIT, Circle-2(1)(1), Ahmedabad

In the result, both appeals filed by the assessee are allowed for statistical purposes

ITA 2278/AHD/2018[2015-16]Status: DisposedITAT Ahmedabad28 Jul 2020AY 2015-16

Bench: Shri Waseem Ahmed & Ms. Madhumita Roy

For Appellant: Shri S. N. Soparkar, Sr. Advocate & Shri ParinFor Respondent: Shri Vinod Tanwani, Sr.D.R
Section 143(3)Section 14A

…of account are not determinative or conclusive and the matter is to be examined on the touchstone of provisions contained in the Act [See – Kedarnath Jute Mfg. Co. Ltd. v. CIT [1971] 82 ITR 363 (SC); Tuticorin Alkali Chemicals & Fertilizers Ltd. v. CIT [1997] 227 ITR 172/93 Taxman 502 (SC); Sutlej Cotton Mills Ltd. v. CIT [1979] 116 ITR 1 (SC) and United Commercial Bank v. CIT [1992] 240 ITR 355/106 Taxman 601 (SC). 20. At the most, an inference can be drawn that by showing this expenditure in a spread over manner in the books of account, the assessee had initially intended to make such an option. However, it aba…

Gujarat Mineral Development Corporation Ltd., Ahmedabad vs. The ACIT, Circle-2(1)(1), Ahmedabad

In the result, both appeals filed by the assessee are allowed for statistical purposes

ITA 2277/AHD/2018[2014-15]Status: DisposedITAT Ahmedabad28 Jul 2020AY 2014-15

Bench: Shri Waseem Ahmed & Ms. Madhumita Roy

For Appellant: Shri S. N. Soparkar, Sr. Advocate & Shri ParinFor Respondent: Shri Vinod Tanwani, Sr.D.R
Section 143(3)Section 14A

…of account are not determinative or conclusive and the matter is to be examined on the touchstone of provisions contained in the Act [See – Kedarnath Jute Mfg. Co. Ltd. v. CIT [1971] 82 ITR 363 (SC); Tuticorin Alkali Chemicals & Fertilizers Ltd. v. CIT [1997] 227 ITR 172/93 Taxman 502 (SC); Sutlej Cotton Mills Ltd. v. CIT [1979] 116 ITR 1 (SC) and United Commercial Bank v. CIT [1992] 240 ITR 355/106 Taxman 601 (SC). 20. At the most, an inference can be drawn that by showing this expenditure in a spread over manner in the books of account, the assessee had initially intended to make such an option. However, it aba…

The ACIT, Cochin vs. M/S.Ptl Enterprises Ltd, Cochin

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

ITA 84/COCH/2020[2014-15]Status: DisposedITAT Cochin06 Jul 2020AY 2014-15

Bench: Shri Chandra Poojari, Am & Shri George George K, Jm

For Appellant: Sri.Mritunjaya Sharma, CIT-DRFor Respondent: S/Sri.Joseph Marcose, Sr.Advocate &
Section 56(2)(ii)

…segment of the assessee is an irrelevant consideration. It is well settled principle that treatment in books of accounts is not determinative of the nature and taxability of income as held in the case of Tuticorin alkali Chemicals and Fertilizers Ltd. v. CIT 227 ITR 172 (SC) and Kedarnath Jute Mfg. Co. Ltd. v CIT 82 ITR 363 (SC). 8.27 For the sake of completeness, it is stated that it is well settled law that if there is a new ground or a material change in the factual and legal position precedents do not have binding character. In the case of Bharat Sanchar Nigam Ltd. v UOI WP (Civil) 183/2003 (SC), it was not…

The Asstt. Commissioner of Income Tax, Vapi Circle, Vapi vs. M/S. Mitsu Limited, Daman

In the result, the appeal of the Revenue is dismissed

ITA 3510/AHD/2016[2000-01]Status: DisposedITAT Surat04 May 2020AY 2000-01

Bench: Shri Sandip Gosain & Shri O. P. Meenav. ""यथ"/Respondent आ.अ.सं././././I "नधा"र अपीलाथ" Appellant S .T.A No. ण N वष"/A Y: 1 1671/Ah 2002- M/S. Mitsu Limited, V. Assistant D/2006 03 304/2, Iind Phase, Commissioner Of Gidc, Vapi 396195 Income Tax-Vapi Pan: Aaccm 2764 Q Circle, Vapi 2 1371/Ah 2002- Assistant V. M/S. Mitsu Limited, D/2006 03 Commissioner Of 304/2, Iind Phase, Income Tax-Vapi Gidc, Vapi 396195 Circle, Vapi Pan: Aaccm 2764 Q Co.No.1 2002- M/S. Mitsu Limited, V. Assistant 3 84/Ahd/ 03 304/2, Iind Phase, Commissioner Of 2006 Gidc, Vapi 396195 Income Tax-Vapi Pan: Aaccm 2764 Q Circle, Vapi 4 1672/Ah 2003- M/S. Mitsu Limited, V. Assistant D/2006 04 304/2, Iind Phase, Commissioner Of Gidc, Vapi 396195 Income Tax-Vapi Pan: Aaccm 2764 Q Circle, Vapi 5 1764/Ah 2003- Assistant V. M/S. Mitsu Limited, D/2006 04 Commissioner Of 304/2, Iind Phase, Income Tax-Vapi Gidc, Vapi 396195 Circle, Vapi Pan: Aaccm 2764 Q 6 1000/Ah 2002- M/S. Mitsu Limited, V. Assistant D/2016 03 304/2, Iind Phase, Commissioner Of Gidc, Vapi 396195 Income Tax-Vapi Pan: Aaccm 2764 Q Circle, Vapi 7 3510/Ah 2000- Assistant V. M/S. Mitsu Limited, D/2016 01 Commissioner Of Page 2 Of 83 Mitsu Ltd. V. Acit- Vapi/I.T.A. No.1671-1371,Co-184,1672-1764,1614 &1000/Ahd/2006/A.Y.02-03,03-04,06-07.02-03 Income Tax-Vapi 304/2, Iind Phase, Circle, Vapi Gidc, Vapi 396195 Pan: Aaccm 2764 Q

Section 143

…Page 1 of 83 Mitsu Ltd. v. ACIT- Vapi/I.T.A. No.1671-1371,CO-184,1672-1764,1614 &1000/AHD/2006/A.Y.02-03,03-04,06-07.02-03 आयकर अपीलीय अिधकरण, सुरत "यायपीठ, सुरत IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT BENCH, SURAT BEFORE SHRI SANDIP GOSAIN, JUDICIAL MEMBER AND SHRI O. P. MEENA, ACCOUNTANT MEMBER V. ""यथ"/Respondent आ.अ.सं././././I "नधा"र अपीलाथ" Appellant S .T.A No. ण N वष"/A Y: 1 1671/Ah 2002- M/s. Mitsu Limited, V. Assistant d/2006 03 304/2, IInd Phase, Commissioner of GIDC, Vapi 396195 Income Tax-Vapi PAN: AACCM 2764 Q Circle, Vapi 2 1371/Ah 2002- Assistant V. M/s. Mitsu Limited, d/2006 03 Commissioner of…

M/S. Mitsu Private Limited, Vapi vs. The ACIT, Vapi Circle, Vapi

In the result, the appeal of the Revenue is dismissed

ITA 1000/AHD/2016[2002-03]Status: DisposedITAT Surat04 May 2020AY 2002-03

Bench: Shri Sandip Gosain & Shri O. P. Meenav. ""यथ"/Respondent आ.अ.सं././././I "नधा"र अपीलाथ" Appellant S .T.A No. ण N वष"/A Y: 1 1671/Ah 2002- M/S. Mitsu Limited, V. Assistant D/2006 03 304/2, Iind Phase, Commissioner Of Gidc, Vapi 396195 Income Tax-Vapi Pan: Aaccm 2764 Q Circle, Vapi 2 1371/Ah 2002- Assistant V. M/S. Mitsu Limited, D/2006 03 Commissioner Of 304/2, Iind Phase, Income Tax-Vapi Gidc, Vapi 396195 Circle, Vapi Pan: Aaccm 2764 Q Co.No.1 2002- M/S. Mitsu Limited, V. Assistant 3 84/Ahd/ 03 304/2, Iind Phase, Commissioner Of 2006 Gidc, Vapi 396195 Income Tax-Vapi Pan: Aaccm 2764 Q Circle, Vapi 4 1672/Ah 2003- M/S. Mitsu Limited, V. Assistant D/2006 04 304/2, Iind Phase, Commissioner Of Gidc, Vapi 396195 Income Tax-Vapi Pan: Aaccm 2764 Q Circle, Vapi 5 1764/Ah 2003- Assistant V. M/S. Mitsu Limited, D/2006 04 Commissioner Of 304/2, Iind Phase, Income Tax-Vapi Gidc, Vapi 396195 Circle, Vapi Pan: Aaccm 2764 Q 6 1000/Ah 2002- M/S. Mitsu Limited, V. Assistant D/2016 03 304/2, Iind Phase, Commissioner Of Gidc, Vapi 396195 Income Tax-Vapi Pan: Aaccm 2764 Q Circle, Vapi 7 3510/Ah 2000- Assistant V. M/S. Mitsu Limited, D/2016 01 Commissioner Of Page 2 Of 83 Mitsu Ltd. V. Acit- Vapi/I.T.A. No.1671-1371,Co-184,1672-1764,1614 &1000/Ahd/2006/A.Y.02-03,03-04,06-07.02-03 Income Tax-Vapi 304/2, Iind Phase, Circle, Vapi Gidc, Vapi 396195 Pan: Aaccm 2764 Q

Section 143

…Page 1 of 83 Mitsu Ltd. v. ACIT- Vapi/I.T.A. No.1671-1371,CO-184,1672-1764,1614 &1000/AHD/2006/A.Y.02-03,03-04,06-07.02-03 आयकर अपीलीय अिधकरण, सुरत "यायपीठ, सुरत IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT BENCH, SURAT BEFORE SHRI SANDIP GOSAIN, JUDICIAL MEMBER AND SHRI O. P. MEENA, ACCOUNTANT MEMBER V. ""यथ"/Respondent आ.अ.सं././././I "नधा"र अपीलाथ" Appellant S .T.A No. ण N वष"/A Y: 1 1671/Ah 2002- M/s. Mitsu Limited, V. Assistant d/2006 03 304/2, IInd Phase, Commissioner of GIDC, Vapi 396195 Income Tax-Vapi PAN: AACCM 2764 Q Circle, Vapi 2 1371/Ah 2002- Assistant V. M/s. Mitsu Limited, d/2006 03 Commissioner of…

M/S Fastway Transmission (P) Ltd., Chandigarh vs. DCIT, CC-II, Chandigarh

In the result the captioned appeals of the assessee are

ITA 140/CHANDI/2019[2015-16]Status: DisposedITAT Chandigarh28 Apr 2020AY 2015-16

Bench: Shri N.K. Saini & Shri Sanjay Gargआयकर अपील सं./ Ita No.547/Chd/2017 "नधा"रण वष" / Assessment Year : 2013-14

For Appellant: Shri Ashwani Kumar, CAFor Respondent: Shri Chandrajit Singh, CIT (DR) on 4.12.2019
Section 250(6)

…sions of the Income Tax Act what is to be determined as to whether the agreement / transactions in question is of a lease or a loan or of a hire / purchase. The Hon’ble Supreme Court in the case of “Tuticorin Alkali Chemicals and Fertilizers Ltd. Vs CIT” 227 ITR 172: [1997] 93 Taxman 502 (SC) has held that normally, the Accounting Standards is accepted but it cannot override the provisions of the Income Tax Act. The relevant part of the observation made by the by the hon’ble Supreme Court is reproduced as under: “28. It is true that this Court has very often referred to accounting practice for ascertainme…

M/S Fastway Transmission (P) Ltd., Chandigarh vs. DCIT, CC-II, Chandigarh

In the result the captioned appeals of the assessee are

ITA 139/CHANDI/2019[2012-13]Status: DisposedITAT Chandigarh28 Apr 2020AY 2012-13

Bench: Shri N.K. Saini & Shri Sanjay Gargआयकर अपील सं./ Ita No.547/Chd/2017 "नधा"रण वष" / Assessment Year : 2013-14

For Appellant: Shri Ashwani Kumar, CAFor Respondent: Shri Chandrajit Singh, CIT (DR) on 4.12.2019
Section 250(6)

…sions of the Income Tax Act what is to be determined as to whether the agreement / transactions in question is of a lease or a loan or of a hire / purchase. The Hon’ble Supreme Court in the case of “Tuticorin Alkali Chemicals and Fertilizers Ltd. Vs CIT” 227 ITR 172: [1997] 93 Taxman 502 (SC) has held that normally, the Accounting Standards is accepted but it cannot override the provisions of the Income Tax Act. The relevant part of the observation made by the by the hon’ble Supreme Court is reproduced as under: “28. It is true that this Court has very often referred to accounting practice for ascertainme…

M/S Fastway Transmission (P) Ltd., Chandigarh vs. ACIT, Chandigarh

In the result the captioned appeals of the assessee are

ITA 547/CHANDI/2017[2013-14]Status: DisposedITAT Chandigarh28 Apr 2020AY 2013-14

Bench: Shri N.K. Saini & Shri Sanjay Gargआयकर अपील सं./ Ita No.547/Chd/2017 "नधा"रण वष" / Assessment Year : 2013-14

For Appellant: Shri Ashwani Kumar, CAFor Respondent: Shri Chandrajit Singh, CIT (DR) on 4.12.2019
Section 250(6)

…sions of the Income Tax Act what is to be determined as to whether the agreement / transactions in question is of a lease or a loan or of a hire / purchase. The Hon’ble Supreme Court in the case of “Tuticorin Alkali Chemicals and Fertilizers Ltd. Vs CIT” 227 ITR 172: [1997] 93 Taxman 502 (SC) has held that normally, the Accounting Standards is accepted but it cannot override the provisions of the Income Tax Act. The relevant part of the observation made by the by the hon’ble Supreme Court is reproduced as under: “28. It is true that this Court has very often referred to accounting practice for ascertainme…

Smt. Zeelia Zeena Mayzean Shenoy, Mangaluru vs. The Assistant Commissioner of Income Tax (International Taxation), Mangaluru

In the result, the appeals filed by the assessee are dismissed

ITA 1716/BANG/2019[2013-14]Status: DisposedITAT Bangalore27 Apr 2020AY 2013-14

Bench: Shri Chandra Poojari

For Appellant: Smt.Sheethal Borkar, AdvocateFor Respondent: Dr.Ganesh R.Ghale, Standing Counsel
Section 143(3)Section 234B

…n Consumer Electronics (Punjab) Ltd. Vs. ACIT, Circle-III, Chandigarh, ITA No. 198 of 2003 decided on 29.9.2010 relying upon the judgment of Hon'ble Apex Court in M/s Tuticorin Alkali Chemicals and Fertilizers Ltd. v. Commissioner of Income Tax, Madras (1997) 227 ITR 172 under similar circumstances held that the assessee was not entitled to deduction under Section 57(iii) of the Act. It was observed as under:- "7. For deciding the said questions, it is necessary to refer to statutory scheme under the Act. Section 17 classifies heads of income into five heads and computation of income under different heads has to…

Smt. Zeelia Zeena Mayzean Shenoy, Mangaluru vs. Income Tax Officer (International Taxation), Mangaluru

In the result, the appeals filed by the assessee are dismissed

ITA 1715/BANG/2019[2012-13]Status: DisposedITAT Bangalore27 Apr 2020AY 2012-13

Bench: Shri Chandra Poojari

For Appellant: Smt.Sheethal Borkar, AdvocateFor Respondent: Dr.Ganesh R.Ghale, Standing Counsel
Section 143(3)Section 234B

…n Consumer Electronics (Punjab) Ltd. Vs. ACIT, Circle-III, Chandigarh, ITA No. 198 of 2003 decided on 29.9.2010 relying upon the judgment of Hon'ble Apex Court in M/s Tuticorin Alkali Chemicals and Fertilizers Ltd. v. Commissioner of Income Tax, Madras (1997) 227 ITR 172 under similar circumstances held that the assessee was not entitled to deduction under Section 57(iii) of the Act. It was observed as under:- "7. For deciding the said questions, it is necessary to refer to statutory scheme under the Act. Section 17 classifies heads of income into five heads and computation of income under different heads has to…

Btw-Atlanta Transformers India Pvt. Ltd., Bharuch vs. ACIT, Circle-1(1)(1), Vadodara

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

ITA 1642/AHD/2018[2013-14]Status: DisposedITAT Ahmedabad06 Mar 2020AY 2013-14
For Appellant: Shri S.N.Soparkar, A.RFor Respondent: Shri Vidhyut Trivedi, Sr. D.R
Section 115JSection 143(2)Section 143(3)Section 154

…a) and Bokaro Steel Ltd. (supra) at length, held at pages 258, 259 and 260 of report, i.e., 315 ITR 255, as under:- 5. In our opinion the Tribunal has misconstrued the ratio of the judgment of the Supreme Court in the case of Tuticorin Alkali Chemicals [1997] 227 ITR 172 and that of Bokaro Steel Ltd. [1999] 236 ITR 315. The test which permeates through the judgment of the Supreme Court in Tuticorin Alkali Chemicals [1997] 227 ITR 172 is that if funds have been borrowed for setting up of a plant and if the funds are 'surplus' and then by virtue of that circumstance they are invested in fixed deposits the income ea…