ENVIRO TECHNOLOGY LIMITED,,ANKLESHWAR vs. THE ACIT.,BHARUCH CIRCLE,, BHARUCH

Bench: Shri Pawan Singh & Dr. Arjun Lal Saini(Hearing In Virtual Court) Bharuch Enviro Deputy Commissioner Of Infrastructure Ltd.117-118, Income Tax, Bharuch Vs Gidc Estate-393002 Circle, Pan : Aaacb 8075 F Assessee / Appellant Revenue /Respondent

disallowing an amount of Rs.1,06,70,293/- in respect of provision for pit covering expenses. (A.Y s 06-07 & 07-08) Bharuch Enviro Infrastructure Ltd. & Enviro Technology Ltd. 14. On the facts and in the circumstances of the case and in law, the CIT(A) erred in upholding the action of the AO in adding back the following amount

BHARUCH ENVIRO INFRASTRUCTURE LTD.,,ANKLESHWAR vs. DY. COMMISSIONER OF INCOME TAX,, BHARUCH

Bench: Shri Pawan Singh & Dr. Arjun Lal Saini(Hearing In Virtual Court) Bharuch Enviro Deputy Commissioner Of Infrastructure Ltd.117-118, Income Tax, Bharuch Vs Gidc Estate-393002 Circle, Pan : Aaacb 8075 F Assessee / Appellant Revenue /Respondent

disallowing an amount of Rs.1,06,70,293/- in respect of provision for pit covering expenses. (A.Y s 06-07 & 07-08) Bharuch Enviro Infrastructure Ltd. & Enviro Technology Ltd. 14. On the facts and in the circumstances of the case and in law, the CIT(A) erred in upholding the action of the AO in adding back the following amount

ITO, WARD-3(3)(4), SURAT vs. M/S. SATYAM ENTERPRISE, SURAT

In the result, this part of issue is allowed for statistical purpose

Bench: Shri Pawan Singh & Dr. Arjun Lal Saini(Physical Hearing) I.T.O., M/S Satyam Enterprise, Ward- 3(3)(4), 182-Thakordwar Society, Nr. Vs. Surat. Spinning Mill, Varachha Road, Surat. Pan No. Abvfs 5076 L Appellant/ Assessee Respondent/ Revenue

disallowed the entire amount of Rs. 3.28 crores under Section 40(a)(ia) for non-deduction of tax at source. The assessee further submitted that they gave explanation and furnished complete details and explained legal position that if the deductee filed their return of income for corresponding assessment year, and included such contract receipt and paid taxes thereon, the deductor

THE DCIT, CIRCLE-1,, BHARUCH vs. M/S. GUJARAT NARMADA VALLEY FERTILIZERS & CHEMICALS LTD.,, BHARUCH

In the result, this ground of appeal is also dismissed

Bench: Shri Pawan Singh & Dr Arjun Lal Sainiआ.अ.सं./Ita No.431/Srt/2018 (Ay 2007-08) & (Hearing In Virtual Court) Deputy Commissioner Of Gujarat Narmada Valley Income-Tax, Circle-1 Bharuch, Fertilizers & Chemicals Vs Above Bank Of Baroda, Ltd. Station Road, Bharuch- P.O. Narmada Nagar, 320001 Dist. Bharuch-392015 Pan : Aaacg 8372 Q अपीलाथ"/Appellant ""यथ" /Respondent आ.अ.सं./Ita No.432/Srt/2018 & ""या"ेप/C.O. No.12/Srt/2021 [A/O Ita No.432/Srt/2018] (Ay 2012-13) Deputy Commissioner Of Gujarat Narmada Valley Income-Tax, Circle-1 Fertilizers & Chemicals Ltd. Vs Bharuch, Above Bank Of P.O. Narmada Nagar, Dist. Baroda, Station Road, Bharuch-392015 Pan : Aaacg 8372 Q Bharuch-320001 अपीलाथ"/Appellant ""यथ" /Respondent/Co- Objector

section 40(a)(ia) of the IT Act considering discount given to the dealers is not in the nature of commission liable for deduction of tax at sources u/s 194H of the IT Act. 3. On the facts and in the circumstances of the case and in law, the Ld. CIT (Appeals) erred by deleting the disallowance of Rs.4

THE DCIT, CIRCLE-1,, BHARUCH vs. M/S. GUJARAT NARMADA VALLEY FERTILIZERS & CHEMICALS LTD.,, BHARUCH

In the result, this ground of appeal is also dismissed

Bench: Shri Pawan Singh & Dr Arjun Lal Sainiआ.अ.सं./Ita No.431/Srt/2018 (Ay 2007-08) & (Hearing In Virtual Court) Deputy Commissioner Of Gujarat Narmada Valley Income-Tax, Circle-1 Bharuch, Fertilizers & Chemicals Vs Above Bank Of Baroda, Ltd. Station Road, Bharuch- P.O. Narmada Nagar, 320001 Dist. Bharuch-392015 Pan : Aaacg 8372 Q अपीलाथ"/Appellant ""यथ" /Respondent आ.अ.सं./Ita No.432/Srt/2018 & ""या"ेप/C.O. No.12/Srt/2021 [A/O Ita No.432/Srt/2018] (Ay 2012-13) Deputy Commissioner Of Gujarat Narmada Valley Income-Tax, Circle-1 Fertilizers & Chemicals Ltd. Vs Bharuch, Above Bank Of P.O. Narmada Nagar, Dist. Baroda, Station Road, Bharuch-392015 Pan : Aaacg 8372 Q Bharuch-320001 अपीलाथ"/Appellant ""यथ" /Respondent/Co- Objector

section 40(a)(ia) of the IT Act considering discount given to the dealers is not in the nature of commission liable for deduction of tax at sources u/s 194H of the IT Act. 3. On the facts and in the circumstances of the case and in law, the Ld. CIT (Appeals) erred by deleting the disallowance of Rs.4

ASSISTANT COMMISSIONER OF INCOME TAX, VALSAD CIRCLE, VALSAD vs. M/S. MANGALDEEP, VALSAD

In the result, appeals in ITA No

Bench: Shripawan Singh, Jm &Dr. A.L.Saini, Am आयकरअपीलसं./Ita No.699/Srt/2018 ("नधा"रणवष" / Assessment Years: (2015-16) (Virtual Court Hearing) The Acit, Valsad Circle, Vs. M/S. Mangaldeep, 1St Floor, Shankeshwar Complex, Valsad. Dhobiwad, Valsad, Valsad-396001. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aahfm7130L (Appellant) (Respondent) Cross Objection No.11/Srt/2021 [Arising In Ita No.699/Srt/2018] ("नधा"रणवष" / Assessment Years: (2015-16) (Virtual Court Hearing) M/S. Mangaldeep, Vs. The Acit, Valsad Circle, 1St Floor, Shankeshwar Complex, Valsad. Dhobiwad, Valsad, Valsad-396001. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aahfm7130L (Applicant-Co-Objector) (Respondent)

disallowance of Rs.1,54,98,765/- as per section 40(b)(iv) of the Act was also deleted by ld CIT(A). 13.We also find merit in the arguments advanced by Shri Rajesh Upadhyay, Learned Counsel for the assessee, to the effect that ‘income of all the partners are taxable at the maximum marginal rate, hence there is no loss

SHREE NARMADA KHAND UDYOG SAHKARI MANDALI LTD.,NARMADA vs. INCOME TAX OFFICER, WARD - 2(1), BHARUCH

In the result, the grounds of appeal raised by the assesse are allowed

Bench: Shri Pawan Singh & Dr. Arjun Lal Saini

Section 43(2) is an allowable expense in mercantile system of accounting. 10. The ld. Senior Counsel for the assessee further submits that the Hon’ble Supreme Court recently in Kolhapur Zilla Sahkari Dudh Utpadak Sangh Ltd. [2023] 152 taxmann.com 129 (SC)/[2023] 293 Taxman 603 (SC), while affirming the decision of Hon’ble Bombay High Court in the case

SHREE NARMADA KHAND UDYOG SAHKARI MANDALI LTD.,NARMADA vs. INCOME TAX OFFICER, WARD - 2(1), BHARUCH

In the result, the grounds of appeal raised by the assesse are allowed

Bench: Shri Pawan Singh & Dr. Arjun Lal Saini

Section 43(2) is an allowable expense in mercantile system of accounting. 10. The ld. Senior Counsel for the assessee further submits that the Hon’ble Supreme Court recently in Kolhapur Zilla Sahkari Dudh Utpadak Sangh Ltd. [2023] 152 taxmann.com 129 (SC)/[2023] 293 Taxman 603 (SC), while affirming the decision of Hon’ble Bombay High Court in the case

SHREE NARMADA KHAND UDYOG SAHKARI MANDALI LTD.,NARMADA vs. INCOME TAX OFFICER, WARD - 2(1), BHARUCH

In the result, the grounds of appeal raised by the assesse are allowed

Bench: Shri Pawan Singh & Dr. Arjun Lal Saini

Section 43(2) is an allowable expense in mercantile system of accounting. 10. The ld. Senior Counsel for the assessee further submits that the Hon’ble Supreme Court recently in Kolhapur Zilla Sahkari Dudh Utpadak Sangh Ltd. [2023] 152 taxmann.com 129 (SC)/[2023] 293 Taxman 603 (SC), while affirming the decision of Hon’ble Bombay High Court in the case

THE DCIT, CIRCLE-2(3),, SURAT vs. M/S. PRIME DEVELOPERS,, SURAT

In the result, all the Nine Appeals of various assessee’s as listed above table at page 1 & 2 filed by the Revenue are dismissed

293 (Del). Ld.AR also submitted that the reliance placed by the Revenue on the 11. decision in the case of Mak Data Pvt. Ltd. vs. CIT [2013] 358 ITR 593 (SC), is misplaced in the present case. In the said case, a survey was conducted more than 10 months before and the disclosure was made by the assessee later during

THE DCIT, CENTRAL CIRCLE-3,, SURAT vs. M/S. MILESTONE DEVELOPERS,, SURAT

In the result, all the Nine Appeals of various assessee’s as listed above table at page 1 & 2 filed by the Revenue are dismissed

293 (Del). Ld.AR also submitted that the reliance placed by the Revenue on the 11. decision in the case of Mak Data Pvt. Ltd. vs. CIT [2013] 358 ITR 593 (SC), is misplaced in the present case. In the said case, a survey was conducted more than 10 months before and the disclosure was made by the assessee later during

THE DCIT, CIRCLE-3,, SURAT vs. M/S. MILESTONE BUILDERS,, SURAT

In the result, all the Nine Appeals of various assessee’s as listed above table at page 1 & 2 filed by the Revenue are dismissed

293 (Del). Ld.AR also submitted that the reliance placed by the Revenue on the 11. decision in the case of Mak Data Pvt. Ltd. vs. CIT [2013] 358 ITR 593 (SC), is misplaced in the present case. In the said case, a survey was conducted more than 10 months before and the disclosure was made by the assessee later during

THE ITO, WARD-2(3)(1),, SURAT vs. M/S. AVANTIS ENTERPRISE,, SURAT

In the result, all the Nine Appeals of various assessee’s as listed above table at page 1 & 2 filed by the Revenue are dismissed

293 (Del). Ld.AR also submitted that the reliance placed by the Revenue on the 11. decision in the case of Mak Data Pvt. Ltd. vs. CIT [2013] 358 ITR 593 (SC), is misplaced in the present case. In the said case, a survey was conducted more than 10 months before and the disclosure was made by the assessee later during

THE DCIT, CENTRAL CIRCLE-3,, SURAT vs. M/S. SHANTINATH DEVELOPERS,, SURAT

In the result, all the Nine Appeals of various assessee’s as listed above table at page 1 & 2 filed by the Revenue are dismissed

293 (Del). Ld.AR also submitted that the reliance placed by the Revenue on the 11. decision in the case of Mak Data Pvt. Ltd. vs. CIT [2013] 358 ITR 593 (SC), is misplaced in the present case. In the said case, a survey was conducted more than 10 months before and the disclosure was made by the assessee later during

THE DCIT, CENTRAL CIRCLE-3,, SURAT vs. M/S. SHAH & DESAI CONSTRUCTION,, SURAT

In the result, all the Nine Appeals of various assessee’s as listed above table at page 1 & 2 filed by the Revenue are dismissed

293 (Del). Ld.AR also submitted that the reliance placed by the Revenue on the 11. decision in the case of Mak Data Pvt. Ltd. vs. CIT [2013] 358 ITR 593 (SC), is misplaced in the present case. In the said case, a survey was conducted more than 10 months before and the disclosure was made by the assessee later during

THE DCIT, CIRCLE-2(3),, SURAT vs. M/S. VIP CORPORATION,, SURAT

In the result, all the Nine Appeals of various assessee’s as listed above table at page 1 & 2 filed by the Revenue are dismissed

293 (Del). Ld.AR also submitted that the reliance placed by the Revenue on the 11. decision in the case of Mak Data Pvt. Ltd. vs. CIT [2013] 358 ITR 593 (SC), is misplaced in the present case. In the said case, a survey was conducted more than 10 months before and the disclosure was made by the assessee later during

THE DCIT, CENTRAL CIRCLE-3,, SURAT vs. M/S. MILESTONE CONSTRUCTION,, SURAT

In the result, all the Nine Appeals of various assessee’s as listed above table at page 1 & 2 filed by the Revenue are dismissed

293 (Del). Ld.AR also submitted that the reliance placed by the Revenue on the 11. decision in the case of Mak Data Pvt. Ltd. vs. CIT [2013] 358 ITR 593 (SC), is misplaced in the present case. In the said case, a survey was conducted more than 10 months before and the disclosure was made by the assessee later during

THE DCIT, CENTRAL CIRCLE-3,, SURAT vs. M/S. CHHAYA ASSOCIATES,, SURAT

In the result, all the Nine Appeals of various assessee’s as listed above table at page 1 & 2 filed by the Revenue are dismissed

293 (Del). Ld.AR also submitted that the reliance placed by the Revenue on the 11. decision in the case of Mak Data Pvt. Ltd. vs. CIT [2013] 358 ITR 593 (SC), is misplaced in the present case. In the said case, a survey was conducted more than 10 months before and the disclosure was made by the assessee later during

RAJVI CORPORATION,SURAT vs. DCIT, CIRLCE-3(2), SURAT

In the result, appeal of the assessee is allowed on ground No

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकरअपीलसं./Ita No. 12/Srt/2020 ("नधा"रणवष" / Assessment Years: (2013-14) (Physical Court Hearing) M/S. Rajvi Corporation, Vs. The Dcit, Circle-3(2)(2), D-3, Om Final Plot No. 108, Bombay Surat. Food Compound Kasanagar Road, Nr. Idbi Bank Katargam, Surat-395004. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aaofr0631E (Appellant) (Respondent) Assessee By : Shri Ronak Parekh, Ar Revenue By : Shri Deependra Kumar, Sr. Dr सुनवाईक"तार"ख/ Date Of Hearing : 28/04/2022 घोषणाक"तार"ख/Date Of Pronouncement : 24/06/2022 आदेश / O R D E R Per Dr. A. L. Saini, Am: Captioned Appeal Filed By The Assessee, Pertaining To Assessment Year (Ay) 2013-14, Is Directed Against The Order Passed By The Learned Commissioner Of Income Tax (Appeals)-3, Surat [In Short “The Ld. Cit(A)”] In Appeal No. Cit(A),-3/10473/2016-17 Dated 19.07.2019, Which In Turn Arises Out Of Penalty Order Passed By The Assessing Officer Under Section 271(1)(C) Of The Income Tax Act, 1961 [Hereinafter Referred To As The “Act”].

section 271(1)(c) of the Act on ad hoc disallowances. It is settled principle of law that on ad hoc disallowances the penalty should be levied. For that, reliance can be placed on the judgment of the Co-ordinate Bench in ITA No. 293