Woolcombers of India Ltd. v. CIT

134 ITR 219High Court1982#795 most cited

What is Woolcombers of India Ltd. v. CIT authority for?

Where an assessee's own funds or interest-free funds exceed the interest-free advances or investments made, no disallowance of interest expenditure can be made, including under Section 14A.

129

judgments rely on this decision, according to BharatTax’s citation analysis of 366,418 Indian tax judgments — from 2015 to 2025.

Also referred to as

Woolcombers of India Ltd. v. CIT · 134 ITR 219 · Section 36(1)(iii) · Section 14A · disallowance of interest · interest expenditure · own funds · interest-free funds · investments · surplus funds · presumption of own funds · East India Pharmaceutical approval

Also reported as

148 CTR 585

Sections most often in play

Section 14ASection 36(1)(iii)Section 37(1)Section 143(2)Section 147Section 148Section 143(3)Section 143(1)

Issues it is cited on

interest free advancessection 36(1)(iii)disallowance of interest expendituredisallowance u/s 14adisallowance under section 14asection 40asection 32section 37(1)capital expendituresection 14arevenue expendituresection 36(1)

Judgments citing Woolcombers of India Ltd. v. CIT

DCIT, Cir-6, Kolkata vs. M/S Cesc Ltd., Kolkata

In the result, the appeal of revenue is dismissed and appeal of assessee is partly allowed for statistical purposes

ITA 1304/KOL/2014[2010-2011]Status: DisposedITAT Kolkata13 Jun 2018AY 2010-2011

Bench: "ी ऐ. ट". वक", "यायीक सद"य एवं/And "ी एम .बालागणेश, लेखा सद"य) [Before Shri A. T. Varkey, Jm & Shri M. Balaganesh, Am] I.T.A. No. 1304/Kol/2014 Assessment Year: 2010-11

Section 119Section 139Section 194CSection 40Section 40(1)(ia)

…al position, it would have to be presumed that the investment made by the assessee would be out of the interest free funds available with the assessee. Similar views were expressed in the following decisions:- Woolcombers of India Ltd. –vs.- CIT reported in 134 ITR 219 (Cal.) East India Pharmaceuticals Works Ltd. –vs.- CIT reported in (1997) 224 ITR 627 (SC). We find that though the decision in the case of Reliance Utilities power Ltd. was rendered in the context of allowability of interest u/s 36(1)(iii) of the Act, the analogy drawn thereon would apply with equal force for adjudicating the issue of disallowa…

Cesc Limited, Kolkata vs. The DCIT RG-6, Kolkata

In the result, the appeal of revenue is dismissed and appeal of assessee is partly allowed for statistical purposes

ITA 1187/KOL/2014[2010-2011]Status: DisposedITAT Kolkata13 Jun 2018AY 2010-2011

Bench: "ी ऐ. ट". वक", "यायीक सद"य एवं/And "ी एम .बालागणेश, लेखा सद"य) [Before Shri A. T. Varkey, Jm & Shri M. Balaganesh, Am] I.T.A. No. 1304/Kol/2014 Assessment Year: 2010-11

Section 119Section 139Section 194CSection 40Section 40(1)(ia)

…al position, it would have to be presumed that the investment made by the assessee would be out of the interest free funds available with the assessee. Similar views were expressed in the following decisions:- Woolcombers of India Ltd. –vs.- CIT reported in 134 ITR 219 (Cal.) East India Pharmaceuticals Works Ltd. –vs.- CIT reported in (1997) 224 ITR 627 (SC). We find that though the decision in the case of Reliance Utilities power Ltd. was rendered in the context of allowability of interest u/s 36(1)(iii) of the Act, the analogy drawn thereon would apply with equal force for adjudicating the issue of disallowa…

Hero Motocorp Ltd., New Delhi vs. DCIT, New Delhi

In the result appeal No. 2424/Del/ 2015 filed by the revenue in assessment year 2010-11 is partly allowed

ITA 1616/DEL/2017[2012-13]Status: DisposedITAT Delhi13 Jun 2018AY 2012-13

Bench: Shri R. K. Panda & Ms Suchitra Kamble

Section 143(3)Section 144CSection 92C

…esumed that only interest free funds have been utilized for making investments during the year. Reference, in this regard, is made to the following decisions: • East India Pharmaceutical Works Ltd. v. CIT: 224 ITR 627 (SC) • Woolcombers of India Ltd. v. CIT: 134 ITR 219 (Cal.) • Indian Explosives Ltd. V. CIT: 147 ITR 392 (Cal.) • Alkali & Chemicals Corp of India Ltd. v CIT: 161 ITR 820 (Cal) • -CIT v Radico Khaitan Ltd : 274 ITR 354 (All) • CIT v Dhampur Sugar Mills Ltd : 274 ITR 370 (All) • CIT v. United Collieries Ltd. : 49 Taxman 227 (Cal) • CIT v. Enamour Investment Ltd.: 72 Taxman 370 (Cal) • CIT v. Carolin…

ACIT, Central Circle-4(1), Kolkata vs. M/S Jay Shree Tea & Industries Ltd., Kolkata

In the result, the appeal of revenue is partly allowed for statistical purposes

ITA 37/KOL/2017[2013-14]Status: DisposedITAT Kolkata08 Jun 2018AY 2013-14

Bench: Shri A. T. Varkey, Jm & Dr. A. L. Saini, Am] I.T.A. No. 37/Kol/2017 Assessment Year: 2013-14

Section 14A

…ition, it would have to be presumed that the investment made by the assessee would be out of the interest free funds available with the assessee. 6.1. Similar views were expressed in the following decisions:- Woolcombers of India Ltd. –vs.- CIT reported in 134 ITR 219 (Cal.) East India Pharmaceuticals Works Ltd. –vs.- CIT reported in (1997) 224 ITR 627 (SC). 6.2. We find that though the decision in the case of Reliance Utilities power Ltd. was rendered in the context of allowability of interest u/s 36(1)(iii) of the Act, the analogy drawn thereon would apply with equal force for adjudicating the issue of dis…

Kanubhai M. Patel, Vapi vs. The Asstt. Commissioner of Income Tax, Circle, Vapi

In the result, the appeal of the assessee is dismissed

ITA 2094/AHD/2016[2012-13]Status: DisposedITAT Surat07 Jun 2018AY 2012-13

Bench: Shri C.M.Garg & Shri O.P.Meenaआ.अ.सं./I.T.A No.2094/Ahd/2016 िनधा"रण वष"/A.Y.:2012-13 Shri Kanubhai M. Patel, Prop. Vs. Assistant Commissioner Of Bharat Acid & Chemical Plot Income Tax, Circle -Vapi No. Cib/32 Gidc Vapi Pan:Accpp 2381D अपीलाथ" Appellant ""यथ"/Respondent

Section 143

…lowed on notional basis on loan of Rs. 33,17,560 given to his son. The learned counsel for the assessee further submitted that the issue is covered in its favour by decision of Hon`ble Calcutta High Court in the case of Wool Combers of India Ltd. CIT [1982] 134 ITR 219 (Cal). The learned counsel for the assessee also placed reliance in the case of Arihant Avenue & Credit Ltd. [2013] 217 Taxman 105 (Guj), CIT V. Raghuvir Synthetics Ltd. [2013] 354 ITR 227 (Guj) , and CIT vs. Reliance Shri Kanubhai M Patel v. ACIT-Vapi/I.T.A. No.2094/Ahd/2016/A.Y.:12-13 Page 4 of 5 Utilities & Power Ltd. (2009)313 ITR 340 (…

DCIT, New Delhi vs. M/S. Vipul Ltd., New Delhi

In the result, the appeal of the Revenue and the cross objection of the

ITA 5115/DEL/2015[2006-07]Status: DisposedITAT Delhi31 May 2018AY 2006-07

Bench: Shri R.S. Syal & Smt. Beena A. Pillaiassessment Year : 2006-07 Dcit, Vs. Vipul Ltd., 9-A, 3Rd Floor, Vasant Square Mall, Circle-26(2), Cr Building, Sector-B, Pocket-5, New Delhi. Vasant Kunj, New Delhi. Pan: Aaaca5396C

For Appellant: Shri Rajesh Arora, CAFor Respondent: Shri S.L. Anuragi, Sr. DR
Section 143(3)Section 147Section 148Section 36(1)(iii)

…funds available”. Thereafter, the judgment of the Hon’ble Supreme Court in the case of East India Pharmaceutical Works Ltd. Vs. CIT (1997) 224 ITR 627 (SC) and also the judgment of the Hon’ble Calcutta High Court in Woolcombers of India Ltd. Vs. CIT (1981) 134 ITR 219 (Cal) were considered. It was finally concluded that: “The principle, therefore, would be that if there are funds available both interest free and overdraft and/or loans taken, then a 6 CO No.185/Del/2017 presumption would arise that the investments would be out of interest free funds generated or available with the company, if the interest fr…

JCIT, (OSD), Cir-4(1), Kolkata vs. M/S Jay Shree Tea & Industries Ltd., Kolkata

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

ITA 737/KOL/2016[2012-2013]Status: DisposedITAT Kolkata23 May 2018AY 2012-2013

Bench: Shri A. T. Varkey, Jm & Dr. A. L. Saini, Am आयकरअपीलसं./Ita Nos.736 & 737/Kol/2016 ("नधा"रणवष" / Assessment Years: 2009-10 & 2012-13) Jcit (Osd), Cir-4(1), Kolkata Vs. M/S. Jay Shree Tea & Industries Ltd. P-7, Chowringhee Square, 10, Camac Street, Industry House, 15Th Floor, Kolkata – Kolkata – 700 069. 700 017. "थायीलेखासं./जीआइआरसं./Pan/Gir No. : Aaacj 7788 D (Appellant) .. (Respondent)

For Appellant: Shri G. Mallikarjuna, CIT-DRFor Respondent: Shri B. K. Chaturvedi, AR
Section 143Section 143(3)Section 147Section 148Section 14A

…position, it would have to be presumed that the investment made by the assessee would be out of the interest free funds available with the assessee. 6.1. Similar views were expressed in the following decisions:- Woolcombers of India Ltd. -vs.- CIT reported in 134 ITR 219 (Cal.) East India Pharmaceuticals Works Ltd. -vs.- CIT reported in (1997) 224 ITR 627 (SC). 6.2. We find that though the decision in the case of Reliance Utilities power Ltd. was rendered in the context of allowability of interest u/s 36(1)(iii) of the Act, the analogy drawn thereon would apply with equal force for adjudicating the issue of disal…

JCIT, (OSD), Cir-4(1), Kolkata vs. M/S Jay Shree Tea & Industries Ltd., Kolkata

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

ITA 736/KOL/2016[2009-2010]Status: DisposedITAT Kolkata23 May 2018AY 2009-2010

Bench: Shri A. T. Varkey, Jm & Dr. A. L. Saini, Am आयकरअपीलसं./Ita Nos.736 & 737/Kol/2016 ("नधा"रणवष" / Assessment Years: 2009-10 & 2012-13) Jcit (Osd), Cir-4(1), Kolkata Vs. M/S. Jay Shree Tea & Industries Ltd. P-7, Chowringhee Square, 10, Camac Street, Industry House, 15Th Floor, Kolkata – Kolkata – 700 069. 700 017. "थायीलेखासं./जीआइआरसं./Pan/Gir No. : Aaacj 7788 D (Appellant) .. (Respondent)

For Appellant: Shri G. Mallikarjuna, CIT-DRFor Respondent: Shri B. K. Chaturvedi, AR
Section 143Section 143(3)Section 147Section 148Section 14A

…position, it would have to be presumed that the investment made by the assessee would be out of the interest free funds available with the assessee. 6.1. Similar views were expressed in the following decisions:- Woolcombers of India Ltd. -vs.- CIT reported in 134 ITR 219 (Cal.) East India Pharmaceuticals Works Ltd. -vs.- CIT reported in (1997) 224 ITR 627 (SC). 6.2. We find that though the decision in the case of Reliance Utilities power Ltd. was rendered in the context of allowability of interest u/s 36(1)(iii) of the Act, the analogy drawn thereon would apply with equal force for adjudicating the issue of disal…

DCIT 1(1)(1), Mumbai vs. Bennet Coleman & Company Ltd, Mumbai

In the result, this appeal by the Revenue stands dismissed

ITA 1951/MUM/2016[2010-11]Status: DisposedITAT Mumbai09 Mar 2018AY 2010-11

Bench: Shri Shamim Yahya, Am & Shri Amarjit Singh, Jm आयकर अपील सं./I.T.A. No. 1951/Mum/2016 ("नधा"रण वष" / Assessment Year: 2010-11) Dy. Cit-1(1)(1), M/S. Bennet Coleman & Company Ltd. बनाम/ 579, Aayakar Bhawan, Times Of India Bldg., M. K. Road, Mumbai-400 020 Dr. D. N. Road, Fort, Vs. Mumbai-400 001 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. Aaacb 4373 Q (अपीलाथ" /Appellant) (""यथ" / Respondent) : अपीलाथ" क" ओर से / Appellant By : Shri S. Venkatraman ""यथ" क" ओर से/Respondent By : Shri R. P. Meena

For Appellant: Shri S. VenkatramanFor Respondent: Shri R. P. Meena
Section 14ASection 14A(1)Section 2(33)

…vestments were from the interest-free funds available. In our opinion, the Supreme Court in East India Pharmaceutical Works Ltd, v. CIT [1997] 224 ITR 627 had the occasion to consider the decision of the Calcutta High Court in Woolcombers of India Ltd. [1982] 134 ITR 219 where a similar issued had arisen ........................................ The principle, therefore, would be that if there are funds available both interest-free and over draft and/or loans taken, then a presumption would arise that investments would be out of the interest-free fund generated or available with the company, if the interest-free f…

ACIT 14(2)(1), Mumbai vs. L & T Infrastructure Finance Co.Lt, Mumbai

ITA 4331/MUM/2015[2011-12]Status: DisposedITAT Mumbai14 Feb 2018AY 2011-12

Bench: Shri R.C. Sharma, Am & Shri Ravish Sood, Jm Ita Nos. 4331/Mum/2015 (निर्धारण वषा / Assessment Years:2011-12) Asstt. Commissioner Of M/S L & T Infrastructure Income Tax-14(2)(1), Finance Co. Ltd. 3-B, Laxmi बिधम/ Aayakar Bhawan, Mumbai- Towers, 2Nd Floor, Bandra Vs. 400 020 Kurla Complex, Bandra East, Mumbai-400 051. स्थामी रेखा सं./ जीआइआय सं./ Pan No. Aabcl2283L (अऩीराथी /Revenue) (प्रत्मथी / Assessee) :

For Appellant: NoneFor Respondent: Ms. Amrita Ranjan, D.R
Section 143(1)Section 143(2)Section 143(3)(ii)Section 14A

…nion, the Supreme Court in East India P a g e | 10 ACIT Vs. M/S L & T Infrastructure Finance Co. Ltd. Pharmaceutical Works Ltd. v. CIT (1997) 224 ITR 627 had the occasion to consider the decision of the Calcutta High Court in Woolcombers of India Ltd. (1982) 134 ITR 219 where a similar issue had arisen. Before the Supreme Court it was argued that it should have been presumed that in essence and true character the taxes were paid out of the profits of the relevant year and not out of the overdraft account for the running of the business and in these circumstances the appellant was entitled to claim the deductions…

Addl CIT 1(1), Mumbai vs. Bennett Coleman & Co Ltd, Mumbai

Appeal of the Revenue is dismissed as above

ITA 3537/MUM/2012[2008-09]Status: DisposedITAT Mumbai08 Jan 2018AY 2008-09

Bench: Shri D.T. Garasia & Shri Rajesh Kumarassessment Year: 2008-09 M/S. Bennett Coleman & Addl. Commissioner Of Co. Ltd., Income Tax, The Time Of India Bldg., Range – 1(1), Vs. Dr. D.N. Road, Room No.538, Mumbai – 400 001 Aayakar Bhavan, Pan: Aaacb4373Q M.K. Marg, Mumbai – 400 020 (Appellant) (Respondent) Assessment Year: 2008-09

For Appellant: Shri S. Venkataraman, A.RFor Respondent: Shri Purushottam Kumar, D.R
Section 10(34)Section 14A

…vestments were from the interest-free funds available. In our opinion, the Supreme Court in East India Pharmaceutical Works Ltd. v. CIT [1997] 224 ITR 627 had the occasion to consider the decision of the Calcutta High Court in Woolcombers of India Ltd. [1982] 134 ITR 219 where a similar issue had arisen. Before the Supreme Court it was argued that it should have been presumed that in essence and true character the taxes were paid out of the profits of the relevant year and not out of the overdraft account for the running of the business and in these circumstances the appellant was entitled to claim the deductions…

Bennett Coleman & Co. Ltd, Mumbai vs. Asst CIT RG 1(1), Mumbai

Appeal of the Revenue is dismissed as above

ITA 3298/MUM/2012[2008-09]Status: DisposedITAT Mumbai08 Jan 2018AY 2008-09

Bench: Shri D.T. Garasia & Shri Rajesh Kumarassessment Year: 2008-09 M/S. Bennett Coleman & Addl. Commissioner Of Co. Ltd., Income Tax, The Time Of India Bldg., Range – 1(1), Vs. Dr. D.N. Road, Room No.538, Mumbai – 400 001 Aayakar Bhavan, Pan: Aaacb4373Q M.K. Marg, Mumbai – 400 020 (Appellant) (Respondent) Assessment Year: 2008-09

For Appellant: Shri S. Venkataraman, A.RFor Respondent: Shri Purushottam Kumar, D.R
Section 10(34)Section 14A

…vestments were from the interest-free funds available. In our opinion, the Supreme Court in East India Pharmaceutical Works Ltd. v. CIT [1997] 224 ITR 627 had the occasion to consider the decision of the Calcutta High Court in Woolcombers of India Ltd. [1982] 134 ITR 219 where a similar issue had arisen. Before the Supreme Court it was argued that it should have been presumed that in essence and true character the taxes were paid out of the profits of the relevant year and not out of the overdraft account for the running of the business and in these circumstances the appellant was entitled to claim the deductions…

Anand Rathi Capital Advisors P.Ltd, Mumbai vs. DCIT Cen Cir 5(1), Mumbai

The appeal of the revenue is dismissed

ITA 7543/MUM/2016[2009-10]Status: DisposedITAT Mumbai03 Jan 2018AY 2009-10

Bench: Shri Rajendra, Am & Shri Ravish Sood, Jm Ita Nos. 7543, 7544, 7515 & 7546/Mum/2016 (निर्धारण वषा / Assessment Years:2009-10, 2011-12, 2013-14 & 2014-15) M/S Anand Rathi Capital Dcit, Central Circle-5(1) Advisors P. Ltd, 47A, 3Rd R. No. 1928, 19Th Floor, बिधम/ Floor, Plot No. 308 Air India Building, Vs. Hanuman Bldg, Perin Nariman Point, Nariman Street, Fort, Mumbai-400 021 Mumbai – 400 001. स्थामी रेखा सं./ जीआइआय सं./ Pan No. Aaacr2791N (अऩीराथी /Assessee) (प्रत्मथी / Revenue) :

For Appellant: Shri Anuj Kisnadwala, A.RFor Respondent: Shri Abhijit Patankar, D.R
Section 132(1)Section 143(3)Section 14ASection 153A

…claim the deductions. The Supreme Court noted that the argument had considerable force, but considering the fact that the contention had not been advanced earlier it did not require to be answered. It then noted that in Woolcombers of India Ltd.'s case (1982) 134 ITR 219 the Calcutta High Court had come to the conclusion that the profits were sufficient to meet the advance tax liability and the profits were deposited in the over draft account of the assessee and in such a case it should be presumed that the taxes were paid out of the profits of the year and not out of the overdraft account for the running of the…

Anand Rathi Global Finance Ltd, Mumbai vs. DCIT Cen Cir 5(1), Mumbai

The appeal of the revenue is dismissed

ITA 7527/MUM/2016[2012-13]Status: DisposedITAT Mumbai03 Jan 2018AY 2012-13

Bench: Shri Rajendra, Am & Shri Ravish Sood, Jm Ita Nos. 7527 & 7526/Mum/2016 (निर्धारण वषा / Assessment Years:2012-13 & 2014-15) M/S Anand Rathi Global Dcit, Central Circle-5(1) Finance Ltd., 4Th Floor, R. No. 1928, 19Th Floor, बिधम/ Silver Metropolis Bldg., Air India Building, Vs. Western Express Highway, Nariman Point, Goregaon (E), Mumbai-400 021 Mumbai-400 063 स्थायी लेखा सं./जीआइआर सं./ Pan No. Aabcr1136N (अऩीराथी /Assessee) (प्रत्मथी / Revenue) :

For Appellant: Shri Anuj Kisnadwala, A.RFor Respondent: Shri Abhijit Patankar, D.R
Section 132(1)Section 143(3)Section 14ASection 14A(1)Section 153A

…vestments were from the interest-free funds available. In our opinion, the Supreme Court in East India Pharmaceutical Works Ltd. v. CIT (1997) 224 ITR 627 had the occasion to consider the decision of the Calcutta High Court in Woolcombers of India Ltd. (1982) 134 ITR 219 where a similar issue had arisen. Before the Supreme Court it was argued that it should have been presumed that in essence and true character the taxes were paid out of the profits of the relevant year and not out of the overdraft account for the running of the business and in these circumstances the appellant was entitled to claim the deductions…

Shilpa Memani, New Delhi vs. ACIT, Circle-24(1), New Delhi

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

ITA 5244/DEL/2017[2011-12]Status: DisposedITAT Delhi18 Dec 2017AY 2011-12

Bench: Shri R.S. Syalassessment Year : 2011-12

For Appellant: Ms Charu Goyal, CA
Section 14ASection 36(1)(iii)

…funds available”. Thereafter, the judgment of the Hon’ble Supreme Court in the case of East India Pharmaceutical Works Ltd. Vs. CIT (1997) 224 ITR 627 (SC) and also the judgment of the Hon’ble Calcutta High Court in Woolcombers of India Ltd. Vs. CIT (1981) 134 ITR 219 (Cal) were considered. It was finally concluded that: “The principle, therefore, would be that if there are funds available 6 both interest free and overdraft and/or loans taken, then a presumption would arise that the investments would be out of interest free funds generated or available with the company, if the interest free funds were suffi…

M/S Snowtex Investment Ltd., Kolkata vs. DCIT, Circle - 12, Kolkata

In the result, appeal of the revenue is dismissed and that of the assessee is allowed

ITA 1793/KOL/2014[2010-2011]Status: DisposedITAT Kolkata15 Nov 2017AY 2010-2011

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

Section 36(1)(iii)

…/s. Makalbari Kanoi Tea Estates Pvt. Ltd. Vs. D. C. Spl. Range-2, placed at paper book pages 62 to 71 when deciding a similar issue as held in page 67 para 11 after taking note of Hon’ble Jurisdictional High Court decision in Woolcombers of India Ltd. Vs. CIT 134 ITR 219 has held as under: “11. The above decision of the Hon’ble Madras High Court and the Hon’ble Calcutta High Court would show that in a case where there is mixed fund, no attempt should be made to Snowtex Investment Ltd.., AY, 2010-11 bifurcate the same for the purpose of applying the provisions of section 36(1)(iii) of the Act. In the present case…

DCIT, CC-Xxx, Kolkata vs. M/S Snowtex Investment Ltd., Kolkata

In the result, appeal of the revenue is dismissed and that of the assessee is allowed

ITA 1291/KOL/2014[2010-2011]Status: DisposedITAT Kolkata15 Nov 2017AY 2010-2011

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

Section 36(1)(iii)

…/s. Makalbari Kanoi Tea Estates Pvt. Ltd. Vs. D. C. Spl. Range-2, placed at paper book pages 62 to 71 when deciding a similar issue as held in page 67 para 11 after taking note of Hon’ble Jurisdictional High Court decision in Woolcombers of India Ltd. Vs. CIT 134 ITR 219 has held as under: “11. The above decision of the Hon’ble Madras High Court and the Hon’ble Calcutta High Court would show that in a case where there is mixed fund, no attempt should be made to Snowtex Investment Ltd.., AY, 2010-11 bifurcate the same for the purpose of applying the provisions of section 36(1)(iii) of the Act. In the present case…

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

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

ITA 6021/DEL/2012[2008-09]Status: DisposedITAT Delhi09 Nov 2017AY 2008-09

Bench: Shri N.K. Saini & Shri K.N. Charry

Section 143(3)Section 144CSection 144C(5)Section 14ASection 35DSection 43BSection 92C

…vestment would be to consider the macro fund/ cash flow position during the year and basing on the decisions in East India Pharmaceutical Works Ltd. v. CIT: 224 ITR 627 (SC), Indian Explosives Ltd. V. CIT: 147 ITR 392 (Cal.), Woolcombers of India Ltd. v. CIT: 134 ITR 219 (Cal.) - approved by Supreme Court in the case of East India Pharmaceutical Works Ltd. v. CIT: 224 ITR 627, Alkali & Chemical Corp. of India v. CIT: (1986) 161 ITR 820 (Cal.), CIT v. Reliance Utilities and Power Ltd.: 313 ITR 340 (Bom.), CIT vs. M/s. Ashok Commercial Enterprises: ITA No. No.2985 of 2009 (Bom), Gujarat State Fertilizers and Chemic…

Allen Career Institute, Jaipur vs. JCIT, Kota

In the result, the ground no

ITA 10/JPR/2013[2009-10]Status: DisposedITAT Jaipur27 Sept 2017AY 2009-10
For Appellant: Shri Mahendra Gargieya (Adv) &For Respondent: Shri R.A. Verma (Addl.CIT)
Section 143(3)Section 14ASection 234ASection 244A

…an/OD a/c, the Hon’ble Courts in similar factual matrix (as available in this case) has taken a view in favour of the assessee. M/s Allen Career Institute Vs. JCIT, Kota 3.2 For this proposition, reliance is placed on Wollcombers of India Ltd. v/s CIT (1982) 134 ITR 219 (Cal), wherein it was held the assessee having overdraft account in bank entire profits in relevant year deposited in overdraft account amount of profits far exceeding advance tax liability monies withdrawn from overdraft account both for business purposes and also for payment of advance tax there is presumption that advance tax was paid out of p…

DCIT (Ltu)1, Mumbai vs. Sterlite Technologies Ltd

ITA 1044/MUM/2015[2011-12]Status: DisposedITAT Mumbai22 Sept 2017AY 2011-12

Bench: Shri Shamim Yahya, Am & Shri Sandeep Gosain, Jm आयकरअपीलसं./ I.T.A. No. 1044/Mum/2015, (निर्धारणवर्ा / Assessment Year: 2009-10)

For Appellant: Sh. V. JustinFor Respondent: Sh. B. V. Jhaveri
Section 115JSection 14A

…ly, the !TAT rightly held that there was no basis for deeming that the assessee had used borrowed funds for Investment in tax free securities. (Reliance Utilities and Power Ltd 313 ITR 340 (Born), East India Pharmaceutical Works 224 ITR 627 (SC) & Woolcombers 134 ITR 219 (Cal) followed)." 7.9 The appellant has also referred and relied upon the appellant's decision in its own case for AY 2007-08, 08-09 & 09-10. The copy of the appellate order for AY 2009-10 dated 2.12.2013 is filed wherein Ground No.7 and 8, the issue of disallowance u/s 14A of the I.T. Act, read with Rule 8D have been considered and the Ground ha…