ACIT CIRCLE 1, KUMBAKONAM vs. CITY UNION BANK LTD., KUMBAKONAM

In the result, appeal filed by the revenue for assessment year 2017-18 is partly allowed for statistical purposes

Bench: Shri V. Durga Rao, Hon’Ble & Shri Manjunatha. G, Hon’Bleआयकर अपील सं./Ita Nos.: 1120 & 1121/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 M/S. City Union Bank Ltd., Asst. Commissioner Of Income- Administrative Office V. Tax, “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 672/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 M/S. City Union Bank Ltd., Deputy Commissioner Of Administrative Office V. Income-Tax, “Narayana” Circle -2(1), 24-B, Gandhi Nagar, Trichy. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita Nos.: 1418 & 1419/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 Asst. Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 636/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 Deputy Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -2(1), 24-B, Gandhi Nagar

1)(viii) of the Act, on the ground that, as per provisions of section 36(1)(viii) of the Act, prescribed method has been provided for computing deduction for eligible profit and as per said section, an amount not exceeding 20% of profit derived from eligible business computed under the head ‘profit and :-60-: ITA. No: 1120, 1121, 1418 & 1419/Chny/2019

CITY UNION BANK LIMITED,KUMBAKONAM vs. ACIT CIRCLE 1, KUMBAKONAM

In the result, appeal filed by the revenue for assessment year 2017-18 is partly allowed for statistical purposes

Bench: Shri V. Durga Rao, Hon’Ble & Shri Manjunatha. G, Hon’Bleआयकर अपील सं./Ita Nos.: 1120 & 1121/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 M/S. City Union Bank Ltd., Asst. Commissioner Of Income- Administrative Office V. Tax, “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 672/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 M/S. City Union Bank Ltd., Deputy Commissioner Of Administrative Office V. Income-Tax, “Narayana” Circle -2(1), 24-B, Gandhi Nagar, Trichy. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita Nos.: 1418 & 1419/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 Asst. Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 636/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 Deputy Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -2(1), 24-B, Gandhi Nagar

1)(viii) of the Act, on the ground that, as per provisions of section 36(1)(viii) of the Act, prescribed method has been provided for computing deduction for eligible profit and as per said section, an amount not exceeding 20% of profit derived from eligible business computed under the head ‘profit and :-60-: ITA. No: 1120, 1121, 1418 & 1419/Chny/2019

CITY UNION BANK LIMITED,KUMBAKONAM vs. ACIT CIRCLE 1, KUMBAKONAM

In the result, appeal filed by the revenue for assessment year 2017-18 is partly allowed for statistical purposes

Bench: Shri V. Durga Rao, Hon’Ble & Shri Manjunatha. G, Hon’Bleआयकर अपील सं./Ita Nos.: 1120 & 1121/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 M/S. City Union Bank Ltd., Asst. Commissioner Of Income- Administrative Office V. Tax, “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 672/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 M/S. City Union Bank Ltd., Deputy Commissioner Of Administrative Office V. Income-Tax, “Narayana” Circle -2(1), 24-B, Gandhi Nagar, Trichy. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita Nos.: 1418 & 1419/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 Asst. Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 636/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 Deputy Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -2(1), 24-B, Gandhi Nagar

1)(viii) of the Act, on the ground that, as per provisions of section 36(1)(viii) of the Act, prescribed method has been provided for computing deduction for eligible profit and as per said section, an amount not exceeding 20% of profit derived from eligible business computed under the head ‘profit and :-60-: ITA. No: 1120, 1121, 1418 & 1419/Chny/2019

ACIT CIRCLE 1, KUMBAKONAM vs. CITY UNION BANK LTD., KUMBAKONAM

In the result, appeal filed by the revenue for assessment year 2017-18 is partly allowed for statistical purposes

Bench: Shri V. Durga Rao, Hon’Ble & Shri Manjunatha. G, Hon’Bleआयकर अपील सं./Ita Nos.: 1120 & 1121/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 M/S. City Union Bank Ltd., Asst. Commissioner Of Income- Administrative Office V. Tax, “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 672/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 M/S. City Union Bank Ltd., Deputy Commissioner Of Administrative Office V. Income-Tax, “Narayana” Circle -2(1), 24-B, Gandhi Nagar, Trichy. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita Nos.: 1418 & 1419/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 Asst. Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 636/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 Deputy Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -2(1), 24-B, Gandhi Nagar

1)(viii) of the Act, on the ground that, as per provisions of section 36(1)(viii) of the Act, prescribed method has been provided for computing deduction for eligible profit and as per said section, an amount not exceeding 20% of profit derived from eligible business computed under the head ‘profit and :-60-: ITA. No: 1120, 1121, 1418 & 1419/Chny/2019

DCIT CIRCLE-2(1), TRICHY vs. CITY UNION BANK LIMITED, KUMBAKONAM

In the result, appeal filed by the revenue for assessment year 2017-18 is partly allowed for statistical purposes

Bench: Shri V. Durga Rao, Hon’Ble & Shri Manjunatha. G, Hon’Bleआयकर अपील सं./Ita Nos.: 1120 & 1121/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 M/S. City Union Bank Ltd., Asst. Commissioner Of Income- Administrative Office V. Tax, “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 672/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 M/S. City Union Bank Ltd., Deputy Commissioner Of Administrative Office V. Income-Tax, “Narayana” Circle -2(1), 24-B, Gandhi Nagar, Trichy. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita Nos.: 1418 & 1419/Chny/2019 िनधा"रण वष" / Assessment Years: 2015-16, 2016-17 Asst. Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -1, 24-B, Gandhi Nagar, Kumbakonam. Kumbakonam- 612 001. [Pan: Aaacc-1287-E] (अपीलाथ"/Appellant) (""यथ"/Respondent) आयकर अपील सं./Ita No.: 636/Chny/2020 िनधा"रण वष" / Assessment Year: 2017-18 Deputy Commissioner Of M/S. City Union Bank Ltd., Income-Tax, V. Administrative Office “Narayana” Circle -2(1), 24-B, Gandhi Nagar

1)(viii) of the Act, on the ground that, as per provisions of section 36(1)(viii) of the Act, prescribed method has been provided for computing deduction for eligible profit and as per said section, an amount not exceeding 20% of profit derived from eligible business computed under the head ‘profit and :-60-: ITA. No: 1120, 1121, 1418 & 1419/Chny/2019

DCIT, CENTRAL CIRCLE 1(1), CHENNAI vs. VELLORE INSTITUTE OF TECHNOLOGY, VELLORE

Appeals of the Revenue are dismissed whereas that of assessee are partly allowed

Bench: Shri Abraham P. George & Shri Duvvuru Rl Reddy]

279 ITR 89, ld. Authorised Representative submitted that unless Department could show the alleged siphoning of funds had reached trustees or specified persons, Section 13(1) (c) of the Act could not be applied. Reliance was also placed on the judgment of Hon’ble Delhi High Court in the case of Council for the Indian School Certificate Examinations vs. Director

VELLORE INSTITUTE OF TECHNOLOGY,VELLORE vs. DCIT, CC IV(1), CHENNAI

Appeals of the Revenue are dismissed whereas that of assessee are partly allowed

Bench: Shri Abraham P. George & Shri Duvvuru Rl Reddy]

279 ITR 89, ld. Authorised Representative submitted that unless Department could show the alleged siphoning of funds had reached trustees or specified persons, Section 13(1) (c) of the Act could not be applied. Reliance was also placed on the judgment of Hon’ble Delhi High Court in the case of Council for the Indian School Certificate Examinations vs. Director

DCIT, CENTRAL CIRCLE 1(1), CHENNAI vs. VELLORE INSTITUTE OF TECHNOLOGY, VELLORE

Appeals of the Revenue are dismissed whereas that of assessee are partly allowed

Bench: Shri Abraham P. George & Shri Duvvuru Rl Reddy]

279 ITR 89, ld. Authorised Representative submitted that unless Department could show the alleged siphoning of funds had reached trustees or specified persons, Section 13(1) (c) of the Act could not be applied. Reliance was also placed on the judgment of Hon’ble Delhi High Court in the case of Council for the Indian School Certificate Examinations vs. Director

VELLORE INSTITUTE OF TECHNOLOGY,VELLORE vs. DCIT, CC IV(1), CHENNAI

Appeals of the Revenue are dismissed whereas that of assessee are partly allowed

Bench: Shri Abraham P. George & Shri Duvvuru Rl Reddy]

279 ITR 89, ld. Authorised Representative submitted that unless Department could show the alleged siphoning of funds had reached trustees or specified persons, Section 13(1) (c) of the Act could not be applied. Reliance was also placed on the judgment of Hon’ble Delhi High Court in the case of Council for the Indian School Certificate Examinations vs. Director

SREE GOKULAM CHIT AND FINANCE CO. PVT. LTD.,CHENNAI vs. DY. COMMISSIONER INCOME TAX, CENTRAL CIRCLE-1(2), CHENNAI

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

Bench: Shri Mahavir Singhand Shri G. Manjunatha

Section 115BAA(5) of the Act. 14. Brief facts are that the CPC, Bangalore while processing the return of income computed the tax liability and comparative chart as provided by the assessee and as computed by the CPC is as under:- Particulars As per Appellant As per CPC Total Income

M/S. T vs. AUTO ASSIST (INDIA) LTD.,,CHENNAIVS.ACIT, CORPORATE CIRCLE - 3 (1),, CHENNAI

In the result, the appeal of the Assessee in I

Bench: Shri Mahavir Singhand Shri Manoj Kumar Aggarwal

279/- as against the total TDS of Rs.42,89,605/- from the business receipts. Thereby, the Assessing Officer denied the full claim on the TDS to the extent of Rs.44,20,895/- on the business receipts and Rs.4,20,856/- against the interest income. 16. In terms of the provisions of Section 199(1

ACIT COMPANY CIRCLE VI(1), CHENNAI vs. SAIPEM INDIA PROJECTS PRIVATE LIMITED, CHENNAI

In the result, the appeal filed by Revenue in ITA

Bench: Shri N.R.S. Ganesan & Shri Ramit Kochar"नधा'रण वष' /Assessment Year: 2014-15

TDS authorities u/s.201(1) of the IT Act. 4.3.2 I have perused the ITAT's order in the appellant's case in assessment orders from 2009-10 to 2015-16 dated 23.10.2017. The relevant portion of the ITATs decision is reproduced hereunder for ready references: "Provisions of DTAA being more beneficial to the assesse. Assessee was in our opinion justified

DCIT, CIRCLE - 2 (1), INTERNATIONAL TAXATION,, CHENNAI vs. M/S. PETROFAC ENGINEERING SERVICES INDIA PVT. LTD.,, CHENNAI

In the result, appeals filed by the revenue for both

Bench: Shri Mahavir Singh, Vice- & Shri G.Manjunathaआयकरअपीलसं./I.T.A.Nos.656 & 657/Chny/2020 ("नधा"रणवष" / Assessment Years: 2011-12 & 2012-13) Vs M/S. Petrofac Engineering The Deputy Commissioner Of Income Tax, Services Pvt.Ltd. 7Th Floor, Block 9A Circle-2(1), International Taxation, Chennai. Dlf Infocity Sez 1/124 Shivaji Gardens, Nandambakkam Post Manapakkam, Chennai-600089. Pan: Aaecp 1211H (अपीलाथ"/Appellant) (""यथ"/Respondent)

Section 9 (1)(vi), Explanation 4 read with Article 12 of the India-USA DTAA, the right to use a computer software including granting of license is taxable as Royalty. 3. The Ld. CIT(A) has erred in relying on Vinzas Solutions India (P) Ltd [2017) 77 taxmann.com 279 and Visteon Technical & services Centre (P) Ltd vs DCIT (International Taxation

DCIT, CIRCLE - 2 (1), INTERNTIONAL TAXATION, CHENNAI vs. M/S. PETROFAC ENGINEERING SERVICES INDIA PVT. LTD,,, CHENNAI

In the result, appeals filed by the revenue for both

Bench: Shri Mahavir Singh, Vice- & Shri G.Manjunathaआयकरअपीलसं./I.T.A.Nos.656 & 657/Chny/2020 ("नधा"रणवष" / Assessment Years: 2011-12 & 2012-13) Vs M/S. Petrofac Engineering The Deputy Commissioner Of Income Tax, Services Pvt.Ltd. 7Th Floor, Block 9A Circle-2(1), International Taxation, Chennai. Dlf Infocity Sez 1/124 Shivaji Gardens, Nandambakkam Post Manapakkam, Chennai-600089. Pan: Aaecp 1211H (अपीलाथ"/Appellant) (""यथ"/Respondent)

Section 9 (1)(vi), Explanation 4 read with Article 12 of the India-USA DTAA, the right to use a computer software including granting of license is taxable as Royalty. 3. The Ld. CIT(A) has erred in relying on Vinzas Solutions India (P) Ltd [2017) 77 taxmann.com 279 and Visteon Technical & services Centre (P) Ltd vs DCIT (International Taxation

VANITHA TEXTILES,PALLADAM vs. DCIT, CPC, BANGALORE

The appeal stands allowed in terms of our above order

Bench: Hon’Ble Shri Mahavir Singh & Hon’Ble Shri Manoj Kumar Aggarwal, Am

TDS provisions. The assessee preferred further appeal against the same and submitted that the dues were deposited well before due date of filing of return of income u/s 139(1). However, Ld. CIT(A) upheld the disallowances in terms of amendment brought in by Finance Act, 2021 in Sec. 36(1)(va) as well as in Sec. 43B. The disallowance

M/S SREE LAKSHMI VENKATESWARA SPINNING MILLS (P) LTD.,PALLADAM vs. DCIT,CPC,, BENGALURU

The appeal stands allowed in terms of our above order

Bench: Hon’Ble Shri Mahavir Singh & Hon’Ble Shri Manoj Kumar Aggarwal, Am

TDS provisions. The assessee preferred further appeal against the same and submitted that the dues were deposited well before due date of filing of return of income u/s 139(1). However, Ld. CIT(A) upheld the disallowances in terms of amendment brought in by Finance Act, 2021 in Sec. 36 as well as in Sec. 43B. Aggrieved, the assessee

THE KTM JEWELLERY LIMITED,COIMBATORE vs. DCIT, CORPORAE CIRCLE-2, COIMBATORE

The appeal stands allowed in terms of our above order

Bench: Hon’Ble Shri V. Durga Rao & Hon’Ble Shri Manoj Kumar Aggarwal, Am

TDS, Ld. AO was directed to ascertain the correct payment u/s 194C and decide as per law. Aggrieved, the assessee is in further appeal before us. 4. As rightly pointed out by Ld. AR, the issue of deduction of late remittance of ESI / PF stood squarely covered in assessee’s favor by our decision in lead order titled

ACIT NON CORP CIRCLE 1 (1) FORMERLY KNOWN AS BUSINESS CIRCLE 1, CHENNAI vs. M/S DEOLITE HASKINS & SELLS, CHENNAI

Bench: Shri Joginder Singh & Shri A.Mohan Alankamony

TDS without any further delay. This ground is allowed for statistical purposes. 19. The next ground is related to levy of interest u/s 234D to the extent of 6,10,636. 20. The Assessing Officer is directed to examine the applicability of interest u/s 234D and levy correct amount of interest. 21. In the result, the appeal of the assessee

ACIT NON CORP CIRCLE 1 (1) FORMERLY KNOWN AS BUSINESS CIRCLE 1, CHENNAI vs. M/S DEOLITE HASKINS & SELLS, CHENNAI

Bench: Shri Joginder Singh & Shri A.Mohan Alankamony

TDS without any further delay. This ground is allowed for statistical purposes. 19. The next ground is related to levy of interest u/s 234D to the extent of 6,10,636. 20. The Assessing Officer is directed to examine the applicability of interest u/s 234D and levy correct amount of interest. 21. In the result, the appeal of the assessee