VADODARA URBAN DEVELOPMENT AUTHORITY,VADODARA vs. THE ACIT, CIRCLE-2 (EXEMP), AHMEDABAD

In the result, the appeal of the Department is dismissed

Bench: Shri Waseem Ahmed (Accountant Member), Shri T.R. Senthil Kumar (Judicial Member)

Section 2(15) read with proviso 1 & 2 were held to be applicable with the facts of the assessee’s case. Therefore the A.O. denied exemption u/s. 11 & 12 of the Act and the assessed the income of the assessee at Rs.40,51,98,900/- by making the following disallowances: (a) Revenue Expenditure Rs. 3,85,16,135/ (b) VUDA

JT.CIT(E), CIRCLE-2 AHMEDABAD, AHMEDABAD vs. VADODARA URBAN DEVELOPMENT AUTHORITY , VADODARA

In the result, the appeal of the Department is dismissed

Bench: Shri Waseem Ahmed (Accountant Member), Shri T.R. Senthil Kumar (Judicial Member)

Section 2(15) read with proviso 1 & 2 were held to be applicable with the facts of the assessee’s case. Therefore the A.O. denied exemption u/s. 11 & 12 of the Act and the assessed the income of the assessee at Rs.40,51,98,900/- by making the following disallowances: (a) Revenue Expenditure Rs. 3,85,16,135/ (b) VUDA

JT.CIT(EXEMPTION)CIRCL-2 AHMEDABAD, AHMEDABAD vs. VADODARA URBAN DEVELOPMENT AUTHORITY, VADODARA

In the result, the appeal of the Department is dismissed

Bench: Shri Waseem Ahmed (Accountant Member), Shri T.R. Senthil Kumar (Judicial Member)

Section 2(15) read with proviso 1 & 2 were held to be applicable with the facts of the assessee’s case. Therefore the A.O. denied exemption u/s. 11 & 12 of the Act and the assessed the income of the assessee at Rs.40,51,98,900/- by making the following disallowances: (a) Revenue Expenditure Rs. 3,85,16,135/ (b) VUDA

VADODARA URBAN DEVELOPMENT AUTHORITY,VADODARA vs. THE ACIT, CIRCLE-2 (EXEMP), AHMEDABAD

In the result, the appeal of the Department is dismissed

Bench: Shri Waseem Ahmed (Accountant Member), Shri T.R. Senthil Kumar (Judicial Member)

Section 2(15) read with proviso 1 & 2 were held to be applicable with the facts of the assessee’s case. Therefore the A.O. denied exemption u/s. 11 & 12 of the Act and the assessed the income of the assessee at Rs.40,51,98,900/- by making the following disallowances: (a) Revenue Expenditure Rs. 3,85,16,135/ (b) VUDA

JT.CIT(E),CIRCLE -2 AHMEDABAD, AHMEDABAD vs. VADODARA URBAN DEVELOPMENT AUTHORITY , VADODARA

In the result, the appeal of the Department is dismissed

Bench: Shri Waseem Ahmed (Accountant Member), Shri T.R. Senthil Kumar (Judicial Member)

Section 2(15) read with proviso 1 & 2 were held to be applicable with the facts of the assessee’s case. Therefore the A.O. denied exemption u/s. 11 & 12 of the Act and the assessed the income of the assessee at Rs.40,51,98,900/- by making the following disallowances: (a) Revenue Expenditure Rs. 3,85,16,135/ (b) VUDA

THE DY.COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(1),, VADODARA vs. AMBALAL SARABHAI ENTERPRISES LIMITED,, VADODARA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं/ िनधा"रण वष"/ Sl. Appeal(S) By :

5 15,73,662 12 Disallowance of 1290/Ahd/2016 2004-05 Assessee 10 Sundry Balances 58,35,000 written off 1291/Ahd/2016 2006-07 Assessee 71,91,000 6 15 Write-off of Loan 2066/Ahd/2016 2005-06 Revenue 3,66,67,734 7 Liabilities as Taxable under Section

AMBALAL SARABHAI ENTERPRISES LIMITED,,BARODA vs. THE ACIT.,CIRCLE-1(1),, BARODA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं/ िनधा"रण वष"/ Sl. Appeal(S) By :

5 15,73,662 12 Disallowance of 1290/Ahd/2016 2004-05 Assessee 10 Sundry Balances 58,35,000 written off 1291/Ahd/2016 2006-07 Assessee 71,91,000 6 15 Write-off of Loan 2066/Ahd/2016 2005-06 Revenue 3,66,67,734 7 Liabilities as Taxable under Section

AMBALAL SARABHAI ENTERPRISES LIMITED,,BARODA vs. THE ACIT.,CIRCLE-1(1),, BARODA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं/ िनधा"रण वष"/ Sl. Appeal(S) By :

5 15,73,662 12 Disallowance of 1290/Ahd/2016 2004-05 Assessee 10 Sundry Balances 58,35,000 written off 1291/Ahd/2016 2006-07 Assessee 71,91,000 6 15 Write-off of Loan 2066/Ahd/2016 2005-06 Revenue 3,66,67,734 7 Liabilities as Taxable under Section

AMBALAL SARABHAI ENTERPRISES LTD.,,BARODA vs. THE DY. COMMISSIONER OF INCOME TAX-1(1)(1),, BARODA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं/ िनधा"रण वष"/ Sl. Appeal(S) By :

5 15,73,662 12 Disallowance of 1290/Ahd/2016 2004-05 Assessee 10 Sundry Balances 58,35,000 written off 1291/Ahd/2016 2006-07 Assessee 71,91,000 6 15 Write-off of Loan 2066/Ahd/2016 2005-06 Revenue 3,66,67,734 7 Liabilities as Taxable under Section

THE DY. COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(1),, VADODARA vs. AMBALAL SARABHI ENTERPRISES LIMITED,, VADODARA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं/ िनधा"रण वष"/ Sl. Appeal(S) By :

5 15,73,662 12 Disallowance of 1290/Ahd/2016 2004-05 Assessee 10 Sundry Balances 58,35,000 written off 1291/Ahd/2016 2006-07 Assessee 71,91,000 6 15 Write-off of Loan 2066/Ahd/2016 2005-06 Revenue 3,66,67,734 7 Liabilities as Taxable under Section

AMBALAL SARABHAI ENTERPRISES LTD.,,BARODA vs. THE DY. COMMISSIONER OF INCOME TAX-1(1)(1),, BARODA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं/ िनधा"रण वष"/ Sl. Appeal(S) By :

5 15,73,662 12 Disallowance of 1290/Ahd/2016 2004-05 Assessee 10 Sundry Balances 58,35,000 written off 1291/Ahd/2016 2006-07 Assessee 71,91,000 6 15 Write-off of Loan 2066/Ahd/2016 2005-06 Revenue 3,66,67,734 7 Liabilities as Taxable under Section

THE DY. COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(1),, VADODARA vs. AMBALAL SARABHI ENTERPRISES LIMITED,, VADODARA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं/ िनधा"रण वष"/ Sl. Appeal(S) By :

5 15,73,662 12 Disallowance of 1290/Ahd/2016 2004-05 Assessee 10 Sundry Balances 58,35,000 written off 1291/Ahd/2016 2006-07 Assessee 71,91,000 6 15 Write-off of Loan 2066/Ahd/2016 2005-06 Revenue 3,66,67,734 7 Liabilities as Taxable under Section

AMBALAL SARABHAI ENTERPRISES LTD.,,BARODA vs. THE DY.COMMISSIONER OF INCOME TAX,CIRCLE-1(1)(1),, BARODA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं/ िनधा"रण वष"/ Sl. Appeal(S) By :

5 15,73,662 12 Disallowance of 1290/Ahd/2016 2004-05 Assessee 10 Sundry Balances 58,35,000 written off 1291/Ahd/2016 2006-07 Assessee 71,91,000 6 15 Write-off of Loan 2066/Ahd/2016 2005-06 Revenue 3,66,67,734 7 Liabilities as Taxable under Section

AMBALAL SARABHAI ENTERPRISES LTD.,,BARODA vs. THE DY. COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(1),, BARODA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokarआयकर अपील सं/ िनधा"रण वष"/ Sl. Appeal(S) By :

5 15,73,662 12 Disallowance of 1290/Ahd/2016 2004-05 Assessee 10 Sundry Balances 58,35,000 written off 1291/Ahd/2016 2006-07 Assessee 71,91,000 6 15 Write-off of Loan 2066/Ahd/2016 2005-06 Revenue 3,66,67,734 7 Liabilities as Taxable under Section

ATUL LIMITED,AHMEDABAD vs. THE ACIT, CIRCLE-1(1)(1), AHMEDABAD

In the result, the appeal is partly allowed

Bench: S/Shri T.R. Senthil Kumar & Makarand V.Mahadeokarasstt.Year : 2017-18 Atul Limited Acit, Cir.1(1)(1) Atul House, Gi Patel Mark Vs Ahmedabad. Mithila Society, Ahmedabad. Pan : Aabca 2390 M (Applicant) (Responent) Assessee By : Shri Bandish Soparkar, Ar : Shri Prathvi Raj Meena, Cit-Dr Revenue By सुनवाई क" तारीख/Date Of Hearing : 01/05/2025 घोषणा क" तारीख /Date Of Pronouncement: 08/05/2025 आदेश/O R D E R आदेश आदेश आदेश

10. The DRP, in its directions, upheld the AO’s action in invoking Rule 8D(2)(iii), observing that the assessee’s passive investment activity could still attract expenditure, and the disallowance made was in accordance with law. The DRP also affirmed the addition of the disallowed amount to the book profits under section 115JB. 11. During the course

ORIENTAL ENTERPRISE PRIVATE LIMITED,VADODARA vs. THE ACIT, CIRCLE-2(1)(2), VADODARA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokar

10% of the trade payables was arbitrary and lacked a rational basis. The AO's reliance on assumptions and the non-response to notices under Section 133(6) of the Act, and without considering the extensive evidence provided by the assessee, is deemed improper. We emphasize that disallowances must be based on concrete evidence and not on mere conjecture

ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE 2(1)(1), VADODARA, VADODARA vs. ORIENTAL ENTERPRISES PRIVATE LIMITED,, PCC NOTIFIED AREA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokar

10% of the trade payables was arbitrary and lacked a rational basis. The AO's reliance on assumptions and the non-response to notices under Section 133(6) of the Act, and without considering the extensive evidence provided by the assessee, is deemed improper. We emphasize that disallowances must be based on concrete evidence and not on mere conjecture

ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE-2(1)(1), VADODARA, VADODARA vs. ORIENTAL ENTERPRISES PRIVATE LIMITED, PCC NOTIFIED AREA

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokar

10% of the trade payables was arbitrary and lacked a rational basis. The AO's reliance on assumptions and the non-response to notices under Section 133(6) of the Act, and without considering the extensive evidence provided by the assessee, is deemed improper. We emphasize that disallowances must be based on concrete evidence and not on mere conjecture

GUJARAT URJA VIKAS NIGAM LTD,VADODARA vs. THE ACIT, CIRECLE-1(1)(1), VADODARA

In the result, the appeal of the assessee is allowed for statistical purposes and the appeal filed by the Revenue is partly allowed for statistical purposes

Bench: Shri Waseem Ahmed & Ms. Madhumita Roy

5. The Ld. A.O. disallowed a sum of Rs. 77,58,44,809/- on account of expenditure attributable to exempt dividend income invoking the provision of Section 14A of the Act. 6. At the time of hearing of the instant appeal the Ld. Counsel appearing for the assessee submitted before us that the issue is duly covered by assessee