M/S LIFESTYLE INTERNATIONAL PRIVATE LIMITED ,BANGALORE vs. DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-4(1)(1), BANGALORE

In the results appeal filed by assessee for assessment year

Bench: Shri Chandra Poojari & Smt Beena Pillai

68,66,897/- towards the professional services paid by assessee to RNA Resources Group Ltd., and Home Centre LLC it was submitted by assessee that, the payment made to Home Centre LLC was towards consultancy of setting up of new stores and that the expenditure was capitalised in the books of account Page

DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-4(1)(1), BANGALORE vs. M/S LIFESTYLE INTERNATIONAL PVT LTD , BANGALORE

In the results appeal filed by assessee for assessment year

Bench: Shri Chandra Poojari & Smt Beena Pillai

68,66,897/- towards the professional services paid by assessee to RNA Resources Group Ltd., and Home Centre LLC it was submitted by assessee that, the payment made to Home Centre LLC was towards consultancy of setting up of new stores and that the expenditure was capitalised in the books of account Page

M/S.LIFESTYLE INTERNATIONAL PRIVATE LIMITED,BANGALORE vs. DEPUTY COMMISSIONER OF INCOME-TAX, BANGALORE

In the results appeal filed by assessee for assessment year

Bench: Shri Chandra Poojari & Smt Beena Pillai

68,66,897/- towards the professional services paid by assessee to RNA Resources Group Ltd., and Home Centre LLC it was submitted by assessee that, the payment made to Home Centre LLC was towards consultancy of setting up of new stores and that the expenditure was capitalised in the books of account Page

M/S.LIFESTYLE INTERNATIONAL PRIVATE LIMITED,BANGALORE vs. DEPUTY COMMISSIONER OF INCOME-TAX, BANGALORE

In the results appeal filed by assessee for assessment year

Bench: Shri Chandra Poojari & Smt Beena Pillai

68,66,897/- towards the professional services paid by assessee to RNA Resources Group Ltd., and Home Centre LLC it was submitted by assessee that, the payment made to Home Centre LLC was towards consultancy of setting up of new stores and that the expenditure was capitalised in the books of account Page

ASSISTANT COMMISSIONER OF INCOME-TAX, BANGALORE vs. M/S. LIFESTYLE INTERNATIONAL (P) LTD.,, BANGALORE

In the results appeal filed by assessee for assessment year

Bench: Shri Chandra Poojari & Smt Beena Pillai

68,66,897/- towards the professional services paid by assessee to RNA Resources Group Ltd., and Home Centre LLC it was submitted by assessee that, the payment made to Home Centre LLC was towards consultancy of setting up of new stores and that the expenditure was capitalised in the books of account Page

M/S BHUWALKA STEEL INDUSTRIES LIMITED ,BANGALORE vs. INCOME TAX OFFICER WARD-1(1)(4), BANGALORE

In the result, appeal by the assessee is allowed for statistical purposes

Bench: Shri George George K & Shri Laxmi Prasad Sahu

40A(2)(b) on which TP Adjustment made by the learned TPO/AO. However, as per para 166 of Budget speech of Finance Bill, 2017, the transfer pricing provisions were amended to exclude specified domestic transactions which are under section 92BA read with 40(2)(b) from the purview of transfer pricing regulations. 2. The Learned Transfer Pricing Officer

M/S. BHUWALKA STEEL INDUSTRIES LIMITED,BANGALORE vs. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE - 1(1)(2), BANGALORE

In the result, appeal by the assessee is allowed for statistical purposes

Bench: Shri George George K & Shri Laxmi Prasad Sahu

40A(2)(b) on which TP Adjustment made by the learned TPO/AO. However, as per para 166 of Budget speech of Finance Bill, 2017, the transfer pricing provisions were amended to exclude specified domestic transactions which are under section 92BA read with 40(2)(b) from the purview of transfer pricing regulations. 2. The Learned Transfer Pricing Officer

M/S. UDUPI NIRMITHI KENDRA,UDUPI vs. ASSISTANT COMMISSIONER OF INCOME TAX, (EXEMPTIONS) CIRCLE-1, MANGALORE

In the result, all appeals filed by the assessees in all the assessees’ appeals are dismissed except for assessment year

Bench: Shri Chandra Poojari & Shri George George K.Assessment Year: 2013-14

section 11 of the IT Act cannot be denied by invoking 1st proviso to section 2 (15) if the primary/ dominant objects are not (a) in the nature of trade, commerce or business; or (b) rendering any service in relation to any trade, commerce or business. 4.29 It is reiterated that the Assessee’s main objects

DAKSHINA KANNADA NIRMITHI KENDRA ,MANGALURU vs. ASSISTANT COMMISSIONER OF INCOME TAX, (EXEMPTIONS), CIRCLE-1,, MANGALURU

In the result, all appeals filed by the assessees in all the assessees’ appeals are dismissed except for assessment year

Bench: Shri Chandra Poojari & Shri George George K.Assessment Year: 2013-14

section 11 of the IT Act cannot be denied by invoking 1st proviso to section 2 (15) if the primary/ dominant objects are not (a) in the nature of trade, commerce or business; or (b) rendering any service in relation to any trade, commerce or business. 4.29 It is reiterated that the Assessee’s main objects

M/S. UDUPI NIRMITHI KEDRA,UDUPI vs. THE DEPUTY COMMISSIONER OF INCOME TAX (EXEMPTIONS), CIRCLE - 1, MANGALURU

In the result, all appeals filed by the assessees in all the assessees’ appeals are dismissed except for assessment year

Bench: Shri Chandra Poojari & Shri George George K.Assessment Year: 2013-14

section 11 of the IT Act cannot be denied by invoking 1st proviso to section 2 (15) if the primary/ dominant objects are not (a) in the nature of trade, commerce or business; or (b) rendering any service in relation to any trade, commerce or business. 4.29 It is reiterated that the Assessee’s main objects

DAKSHINA KANNADA NIRMITHI KENDRA ,MANGALURU vs. INCOME TAX OFFICER, WARD 1(1),, MANGALURU

In the result, all appeals filed by the assessees in all the assessees’ appeals are dismissed except for assessment year

Bench: Shri Chandra Poojari & Shri George George K.Assessment Year: 2013-14

section 11 of the IT Act cannot be denied by invoking 1st proviso to section 2 (15) if the primary/ dominant objects are not (a) in the nature of trade, commerce or business; or (b) rendering any service in relation to any trade, commerce or business. 4.29 It is reiterated that the Assessee’s main objects

M/S. DAKSHINA KANNADA NIRMITHI KENDRA,MANGALURU vs. THE DEPUTY COMMISSIONER OF INCOME TAX (EXEMPTIONS), CIRCLE -1, MANGALURU

In the result, all appeals filed by the assessees in all the assessees’ appeals are dismissed except for assessment year

Bench: Shri Chandra Poojari & Shri George George K.Assessment Year: 2013-14

section 11 of the IT Act cannot be denied by invoking 1st proviso to section 2 (15) if the primary/ dominant objects are not (a) in the nature of trade, commerce or business; or (b) rendering any service in relation to any trade, commerce or business. 4.29 It is reiterated that the Assessee’s main objects

DAKSHINA KANNADA NIRMITHI KENDRA ,MANGALURU vs. INCOME TAX OFFICER, WARD 1(1),, MANGALURU

In the result, all appeals filed by the assessees in all the assessees’ appeals are dismissed except for assessment year

Bench: Shri Chandra Poojari & Shri George George K.Assessment Year: 2013-14

section 11 of the IT Act cannot be denied by invoking 1st proviso to section 2 (15) if the primary/ dominant objects are not (a) in the nature of trade, commerce or business; or (b) rendering any service in relation to any trade, commerce or business. 4.29 It is reiterated that the Assessee’s main objects

DAKSHINA KANNADA NIRMITHI KENDRA ,MANGALURU vs. INCOME TAX OFFICER, WARD 1(1),, MANGALURU

In the result, all appeals filed by the assessees in all the assessees’ appeals are dismissed except for assessment year

Bench: Shri Chandra Poojari & Shri George George K.Assessment Year: 2013-14

section 11 of the IT Act cannot be denied by invoking 1st proviso to section 2 (15) if the primary/ dominant objects are not (a) in the nature of trade, commerce or business; or (b) rendering any service in relation to any trade, commerce or business. 4.29 It is reiterated that the Assessee’s main objects

M/S. UNITED BREWERIES LIMITED,BANGALORE vs. JOINT COMMISSIONER OF INCOME TAX, SPECIAL RANGE-7, BANGALORE

In the result, the assessee’s appeal is partly allowed for statistical purposes

Bench: Shri Chandra Poojari & Smt. Beena Pillai

40A(2) of the Act:  Kirloskar Oil Engines Vs JCIT, ITA Nos. 61 & 406/PUN/2015 (Pune ITAT)  The Bombay Samachar Pvt. Ltd., ITA no. 7171/Mum./2010 and others (Bombay ITAT) 28.1 The ld. D.R. submitted that there was no evidence to show that the Executive Chairman Mr. Vijay Mallya rendered any services to the assessee so as to give commission

KIDS CLINIC INDIA PRIVATE LIMITED,BANGALORE vs. ADDL.C.I.T., BANGALORE

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

Bench: Shri N. V. Vasudevan & Shri B. R. Baskaranassessment Year :2011-12 M/S.Kids Clinic India Pvt. Ltd., Vs. The Additional Commissioner Of Income Tax, No.1533, 9Th Main, Range - 5,Bengaluru. 3Rd Block, Jayanagar, Bengaluru – 560 071. Pan : Aacck 7678 R Assesseee By : Shri. Nageshwar Rao, Advocate : Revenue By Shri. Tshering Ongda, Jcit(Dr)(Itat), Bangalore Date Of Hearing : 19.1.2021 Date Of Pronouncement : 22.1.2021 O R D E R

section 40A(2)(b) of the Income Tax Act, 1961 (hereinafter called ‘the Act’) and therefore the reasonableness of the payment compared to the fair market rate of interest was required to be judged in terms of Sec.40A(2)(a) of the Act. The AO noticed that the assessee has borrowed loans from other related parties and the rate

M/S KBD SUGARS & DISTILLERIES LTD. vs. ACIT,

In the result, the appeals of the assessee for the Assessment Years 2008-

40A(2) in respect of interest free advances given to the related parties. The CIT (Appeals) deleted the said disallowance made by the Assessing Officer on the ground that the said advances made by the assessee from its own funds and not from the interest bearing fund. As regards the disallowance made by the Assessing Officer under Section

SRI NILESH N SHAH ,BANGALORE vs. ADDITIONAL COMMISSIONER OF INCOME TAX RANGE-8, BANGALORE

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

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

68 of the I.T.Act. 6 ITA No.1998/Bang/2018. Sri. Nilesh N.Shah. 3.4.6 In the light of the aforesaid reasoning, ground No.2 to 4 are dismissed. Disallowance u/s 40A(2)(b) of the I.T.Act amounting to Rs.1,79,005 4. The A.O. during the course of assessment proceedings, noticed that the assessee’s proprietorship concern had borrowed from (i) Smt.Sonal N.Shah (wife

NEOGENETICS FOODS PRIVATE LIMITED,BANGALORE vs. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-3(1)(1), BANGALORE

In the result, appeal by the assessee is treated as partly allowed for statistical purposes

Bench: Shri N. V. Vasudevan & Shri B. R. Baskaranit(Tp)A No.361/Bang/2021 Assessment Year : 2016-17 M/S. Neogenetics Foods Private Limited, Vs. Dcit, Level 14 & 15, Concorde Towers, Ub City, 1 Circle - 3(1)(1), Vittal Malya Road, Ub City, Bengaluru. Bengaluru – 560 001. Pan : Aadcn 7689 L Assessee Respondent Assessee By : Shri. Narendra Kumar Jain, Advocate Revenue By : Dr. Manjunath Karkihalli, Cit(Dr)(Itat), Bengaluru Date Of Hearing : 03.02.2022 Date Of Pronouncement : 07.02.2022 O R D E R Per N V Vasudevan

b) of the Act and therefore covered by the provisions of Sec.92BA(i). Before DRP, the assessee submitted (i) that the transaction between the Assessee cannot be regarded as SDT, because by Finance Act, 2017 w.e.f. 01.04.2017, clause (i) of section 92BA was omitted from the statute and by virtue of omission of clause (i) from the statute