“strategic investment”

M/S. Bd & P Hotels (India ) Pvt. Ltd, Mumbai vs. DCIT, Central Circle -1(4), Mumbai

The appeal is allowed

Bench: Shri Prashant Maharishi, Am & Shri Pavan Kumar Gadale, Jm Dcit,Cc-1(4) M/S Bd & Hotels (India) Pvt. Room No. 902, 9 Th Floor, Old Ltd. Cgo Bldg, Ground Floor, Db House, Gen. Vs. A.K.Vaidya Marg, Goregoan (E), M.K.Road, Mumbai-400 063 Mumbai- 400 063 (Appellant) (Respondent) Pan No. Aabcb4615J Assessee By : Shri. Siddharth Kothari, Ca Revenue By : Shri. Chetan M. Kacha, Sr. Ar. Date Of Hearing: 15.11.2022 Date Of Pronouncement : 15.11.2022

invoking the provision of Rule 8D for disallowance under section 14 of the Act. The assessee submitted that, the assessee is holding strategic investment and has not earned any exempt income. Therefore, disallowance under section 14A cannot be made. The learned Assessing Officer rejected the argument of the assessee

DCIT-2(2)(1), Mumbai vs. M/S State Bank of India (Successor to State Bank of Bikaner and Jaipur), Mumbai

In the result, the appeal of the Revenue is dismissed, whereas the appeal of the assessee is allowed partly for statistical purposes

Bench: Shri Om Prakash Kant (Account Member) & Ms. Kavitha Rajagopal () I.T.A. No. 3033/Mum/2019 (A.Y. 2015-16) I.T.A. No. 2873/Mum/2019 (A.Y. 2015-16) Dcit-2(2)(1), Vs. M/S State Bank Of India Mumbai (Successor To State Room No. 545, Bank Of Bikaner & 5Th Floor, Ayakar Jaipur) Bhavan Financial Reporting & Mumbai-400020 Taxation, 3Rd Floor, Corporate Centre, Madam Cama Road Nariman Point, Mumbai- 400021 (Appellant) (Respondent)

expenditure u/s 36(1)(iii) to the act being shares held as stock in trade and investment made in shares of the subsidiaries, as strategic investment, are contradictory to each other. The strategic investments are liable to disallowance as only benefit assessee derive is dividend income. (c) The disallowance

State Bank of India (Successor to State Bank of Bikaner & Jaipur), Mumbai vs. ACIT -Circle 2(2)(1), Mumbai

In the result, the appeal of the Revenue is dismissed, whereas the appeal of the assessee is allowed partly for statistical purposes

Bench: Shri Om Prakash Kant (Account Member) & Ms. Kavitha Rajagopal () I.T.A. No. 3033/Mum/2019 (A.Y. 2015-16) I.T.A. No. 2873/Mum/2019 (A.Y. 2015-16) Dcit-2(2)(1), Vs. M/S State Bank Of India Mumbai (Successor To State Room No. 545, Bank Of Bikaner & 5Th Floor, Ayakar Jaipur) Bhavan Financial Reporting & Mumbai-400020 Taxation, 3Rd Floor, Corporate Centre, Madam Cama Road Nariman Point, Mumbai- 400021 (Appellant) (Respondent)

expenditure u/s 36(1)(iii) to the act being shares held as stock in trade and investment made in shares of the subsidiaries, as strategic investment, are contradictory to each other. The strategic investments are liable to disallowance as only benefit assessee derive is dividend income. (c) The disallowance

ACIT Circle-16 (1), Mumbai vs. Shri. Sunil Hingorani, Mumbai

In the result, appeal of the Revenue is dismissed

head “investments”. These shares were purchased by the assessee in 2007 and have held for more than six years and were purchased as strategic investment. These facts were not controverted by the Revenue before us. In any case, we find what is received by the assessee is only advance

Asian Business Connections Pvt. Ltd, Mumbai vs. Comm of Income Tax-Central Circle 5(3), Mumbai

In the result, the appeal filed by the assesse is allowed for statistical purpose

Bench: Shri Baskaran B.R& Shri Pavan Kumar Gadaleasian Business Connections Vs. Commissioner Of Income Tax, Pvt. Ltd. Central Circle 5(3), Fm-18 Mansarovar Complex No. 7 Shivaji Nagar, Bhopal Mumbai-400020 Madhya Pradesh - 462016

above grounds of appeal. 3. The brief facts of the case are that, the assessee company is engaged in business of making strategic investments. The assessee has filed the return of income for the assessment year 2012-13 on 31.03.2013 disclosing a total income and the return of income

State Bank of India (Sucessor to Erstwhile State Bank of Indore), Mumbai vs. DCIT Cir 2(2), Mumbai

In the result, appeals filed by the assessee in ITA

Bench: Shri S. Rifaur Rahman, Hon'Ble & Ms Kavitha Rajagopal, Hon'Ble

Investments Ltd (402 ITR 640) has clearly held that only when expenditure has been actually incurred in earning tax free income, whether held as strategic investment or otherwise, any disallowance is called for but not when investments are held in business as stock in trade and no expenditure has been

Apl Logistics P.Ltd, Mumbai vs. DCIT 14(1)(1), Mumbai

In the result, appeal of the assessee is partly allowed

assessee and would provide an additional mode logistics handling through rail. The assessee could expand range of services to its customers. It was a strategic investment decision for commission expediency. The ld. Counsel further referred to list of customers served by both the assessee and IILPL at page ... logistics and cargo handling. Making investment in a subsidiary having same line of activity is a business decision having genesis in augmentation of resources, strategic investment, synergy of business and various other factors. The AO cannot saddle himself in the seat of assessee to decide whether the investments should

Apl Logistics (India) P. Ltd, Mumbai vs. Asst CIT 10(1), Mumbai

In the result, appeal of the assessee is partly allowed

assessee and would provide an additional mode logistics handling through rail. The assessee could expand range of services to its customers. It was a strategic investment decision for commission expediency. The ld. Counsel further referred to list of customers served by both the assessee and IILPL at page ... logistics and cargo handling. Making investment in a subsidiary having same line of activity is a business decision having genesis in augmentation of resources, strategic investment, synergy of business and various other factors. The AO cannot saddle himself in the seat of assessee to decide whether the investments should

Apl Logistics (India) P.Ltd, Mumbai vs. Asst CIT 10(1), Mumbai

In the result, appeal of the assessee is partly allowed

assessee and would provide an additional mode logistics handling through rail. The assessee could expand range of services to its customers. It was a strategic investment decision for commission expediency. The ld. Counsel further referred to list of customers served by both the assessee and IILPL at page ... logistics and cargo handling. Making investment in a subsidiary having same line of activity is a business decision having genesis in augmentation of resources, strategic investment, synergy of business and various other factors. The AO cannot saddle himself in the seat of assessee to decide whether the investments should

DCIT 10(1), Mumbai vs. Apl Logistics (India) P. Ltd, Mumbai

In the result, appeal of the assessee is partly allowed

assessee and would provide an additional mode logistics handling through rail. The assessee could expand range of services to its customers. It was a strategic investment decision for commission expediency. The ld. Counsel further referred to list of customers served by both the assessee and IILPL at page ... logistics and cargo handling. Making investment in a subsidiary having same line of activity is a business decision having genesis in augmentation of resources, strategic investment, synergy of business and various other factors. The AO cannot saddle himself in the seat of assessee to decide whether the investments should

DCIT 10(1), Mumbai vs. Apl Logistics (India ) P.Ltd, Mumbai

In the result, appeal of the assessee is partly allowed

assessee and would provide an additional mode logistics handling through rail. The assessee could expand range of services to its customers. It was a strategic investment decision for commission expediency. The ld. Counsel further referred to list of customers served by both the assessee and IILPL at page ... logistics and cargo handling. Making investment in a subsidiary having same line of activity is a business decision having genesis in augmentation of resources, strategic investment, synergy of business and various other factors. The AO cannot saddle himself in the seat of assessee to decide whether the investments should

Apl Logistics (India) P. Ltd, Mumbai vs. ACIT 10(1), Mumbai

In the result, appeal of the assessee is partly allowed

assessee and would provide an additional mode logistics handling through rail. The assessee could expand range of services to its customers. It was a strategic investment decision for commission expediency. The ld. Counsel further referred to list of customers served by both the assessee and IILPL at page ... logistics and cargo handling. Making investment in a subsidiary having same line of activity is a business decision having genesis in augmentation of resources, strategic investment, synergy of business and various other factors. The AO cannot saddle himself in the seat of assessee to decide whether the investments should

Dy Commissioner of Income Tax, Circle-8(2)(1), Mumbai-400020 vs. M/S. PAN India Network Infravest Lt., Mumbai-400018

Accordingly, order of Ld. CIT(A) is confirmed and ground raised by revenue are dismissed

Bench: Shri Amit Shukla, Jm & Shri Prashant Maharishi, Am आयकरअपीलसं./ I.T.A. No. 1061/Mum/2022 (ननधधारणवर्ा / Assessment Year: 2017-18) M/S Pan India Network Dcit Cir-8(2)(1) Infravest Ltd. R. No. 624, 6Th Floor, बनाम/ Aayakar Bhavan, M. K. 135, Continental Vs. Road, Mumbai-400 020 Building, Dr. A. B. Road, Worli Mumbai-400 018 स्थधयीलेखधसं./जीआइआरसं./ Pan No. Aaccp2459H (अपीलधथी/Appellant) (प्रत्यथी / Respondent) : अपीलधथीकीओरसे/ Appellant By : Shri Jay Bhansali, Ld. Ar प्रत्यथीकीओरसे/Respondent By : Shri Shambhu Yadav, Ld. Dr सुनवधईकीतधरीख/ : 10.08.2022 Date Of Hearing घोर्णधकीतधरीख / : 10.08.2022 Date Of Pronouncement आदेश / O R D E R Per Amit Shukla: The Aforesaid Appeal Has Been Filed By The Revenue Against The Impugned Order Dated 28.01.2022, Passed By Ld. Cit(A)-49, Mumbai For The Quantum Of Assessment Passed U/S 143(3) For Ay 2017-18. The Revenue Has Taken The Following Grounds:-

facts and in circumstances of the case, the Ld.CIT(A) was justified in not appreciating the facts that the assessee has made strategic investments in its associates / related concerns which are likely to result in exempt income and expenditure incurred on such investments is to be considered for disallowance U/S.14A

Alkyl Amines Chemicals Ltd, Navi Mumbai vs. Dy CIT (OSD) 10(3), Mumbai

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

Bench: Shri S. Rifaur Rahman, Hon'Ble & Shri Sandeep Singh Karhail, Hon'Blem/S. Alkyl Amines Chemicals Ld., V. Dcit (Osd)-10(3) 401-407, Nirman Vyapar Kendra Room No. 517, 4Th Floor Plot No. 10, Sector – 17 Aayakar Bhavan, M.K. Road Vashi, Navi Mumbai – 400703 Mumbai - 400020 Pan: Aaaca6783F (Appellant) (Respondent) Assessee By : Ms. Shruti Agarwal Department By : Shri Mehul Jain

case of CIT V. HDFC Bank Ltd. (ITA No.330 of 2012). Without prejudice to the above, the Appellant submits that aforesaid investments were strategic investments and therefore, the presumption could be made that no expenditure was incurred in making these investments. In this regard, Your Honour's attention is invited ... interest is required to be made under Rule 8D (i) or (ii) as no direct or indirect interest expenditure has incurred for making investments. Strategic investments have to be excluded for the purpose of arriving at disallowance under Rule 8D(iii). In light of the foregoing facts and legal position