The DCIT, Circle-1,, Ahmedabad v. Anjani Fabrics Ltd., Ahmedabad

ITA 1025/AHD/2007 | 2003-2004
Pronouncement Date: 30-04-2010 | Result: Dismissed

Appeal Details

RSA Number 102520514 RSA 2007
Assessee PAN AABCA7883M
Bench Ahmedabad
Appeal Number ITA 1025/AHD/2007
Duration Of Justice 3 year(s) 1 month(s) 22 day(s)
Appellant The DCIT, Circle-1,, Ahmedabad
Respondent Anjani Fabrics Ltd., Ahmedabad
Appeal Type Income Tax Appeal
Pronouncement Date 30-04-2010
Appeal Filed By Department
Order Result Dismissed
Bench Allotted C
Tribunal Order Date 30-04-2010
Date Of Final Hearing 11-03-2010
Next Hearing Date 11-03-2010
Assessment Year 2003-2004
Appeal Filed On 08-03-2007
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD BENCH C BEFORE SHRI T.K.SHARMA JUDICIAL MEMBER AND SHRI D.C.AGRAWAL ACCOUNTANT MEMBER DATE OF HEARING : 16/3/10 DRAFTED ON: 1 7/03/10 ITA NO.1025/AHD/2007 ASSESSMENT YEAR : 2003-04 DCIT AHMEDABAD CIRCLE-1 AHMEDABAD VS. ANJANI FABRICS LTD. 252 NEW CLOTH MARKET AHMEDABAD PAN/GIR NO. : AABCA 7883 M (APPELLANT) .. (RESPONDENT) APPELLANT BY : SHRI M.C. PANDIT SR. D.R. RESPONDENT BY: SHRI GAURAV NAHTA O R D E R PER SHRI T.K.SHARMA JUDICIAL MEMBER : THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST TH E ORDER DATED 08/12/2006 PASSED BY THE LEARNED CIT(APPEALS)-V AH MEDABAD DELETING THE DISALLOWANCE OF RS.24 14 101/- MADE OU T OF INTEREST EXPENSES U/S.36(1)(III) FOR ASSESSMENT YEAR 2003-04. 2. BRIEFLY STATED THE FACTS ARE THAT THE ASSESSEE I S A COMPANY ENGAGED IN PROCESSING OF CLOTH OF ITS OWN AND ON JOB. FOR THE ASSESSMENT YEAR UNDER APPEAL IT FILED THE RETURN OF INCOME DECLARI NG TOTAL LOSS AT RS.29 57 793/-. THE A.O. FRAMED ASSESSMENT U/S.143 (3) ON 28/03/2006 WHEREIN HE DISALLOWED INTEREST EXPENSE OF RS.24 14 101/- AFTER GIVING A DETAILED REASON IN THE ASSESSMENT ORDER WHICH READS AS UNDER:- ITA NO.1025/A HD/2007 DCIT VS. ANJANI FABRICS LTD. ASST.YEAR - 2003-04 - 2 - I HAVE GONE THROUGH THE SUBMISSIONS MADE BY THE ASSESSEE AND IT IS NOTICED THAT THE EXPLANATION FURNISHED BY THE ASSESSEE IS GENERAL IN NATURE AND DOES NOT SUPPORT WITH ANY FACTS AND FIGURES TO SHOW HOW THE BORROWED FUNDS ARE DEPLOYED AND UTILIZED. A DETAILED ANALYSIS OF THE ACCOUNTS OF T HE ASSESSEE WILL REVEAL THAT BORROWED FUNDS ARE UTILIZED FOR MA KING INVESTMENTS TO HAVE CONTROLLING EFFECTS TO THE SIST ER/GROUP CONCERNS. THE COMPANY HAD COME OUT WITH A PUBLIC I SSUE IN FEBRUARY 1994. THE PUBLIC ISSUE WAS OF 36 00 000 EQUITY SHARES OF RS.10 EACH FOR CASH AT PART AGGREGATING RS.3 60 00 000/-. THE MAIN OBJECTS FOR THE PUBLIC OFFER AS PER THE PROSPECTUS WAS; A) TO AUGMENT LONG TERM RESOURCES FOR FINANCING THE COMPANIES EXPANSION PROJECT B) TO MEET THE ISSUE EXPENSES C) TO LIST THE SHARES OF THE COMPANY ON RECOGNIZED STO CK EXCHANGE IT IS PERTINENT TO MENTION HERE THAT IN THE CASE OF ANJANI SYNTHETICS LTD. THE GROUP CONCERN OF THE ASSESSEE THE LD. CIT(A) HAS CONFIRMED THE SIMILAR DISALLOWANCES MADE BY THE A.O. IN A.Y. 2002-03 BUT HOWEVER HE HAS DIRECTED TO RESTRICT THE RATE OF INTEREST AT 9% INSTEAD OF 15% DISALLOWE D BY THE A.O. BUT THE DEPARTMENT HAS NOT ACCEPTED THE ABOVE DECIS ION OF THE LD. CIT(A) AND FILED SECOND APPEAL AGAINST THE DIRE CTIONS OF THE LD. CIT(A) FOR TAKING 9% INTEREST INSTEAD OF 15 % CHARGED BY THE ASSESSING OFFICER. IN THE FACTS AND CIRCUMSTANCES OF THE CASE AND LEGA L POSITION AS LAID DOWN IN THE ACT THE ASSESSEE HAS NOT DISCHA RGED ITS BURDEN CAST UPON U/S.36(1)(III) OF THE ACT. THE F ACT REMAINS THAT THERE IS A DIVERSION OF BORROWED FUNDS FOR NON BUSINESS PURPOSES. AT THE END OF THE YEAR THERE ARE LOANS AND ITA NO.1025/A HD/2007 DCIT VS. ANJANI FABRICS LTD. ASST.YEAR - 2003-04 - 3 - ADVANCES OF RS.2 31 67 995/- ON WHICH THE ASSESSEE HAS NOT CHARGED ANY INTEREST. THE SAME IS NOW WORKED OUT WHICH COMES AT RS.34 75 199/- HOWEVER AS THE TOTAL INTE REST PAYMENT IS SHOWN AT RS.24 14 101/- THE DISALLOWANC E IS RESTRICTED TO THIS AMOUNT ONLY THE SAME IS DISALLO WED AND ADDED BACK TO THE TOTAL INCOME OF THE ASSESSEE. 3. ON APPEAL IN THE IMPUGNED ORDER THE LEARNED CI T(APPEALS) OBSERVED THAT THE SAME ISSUE AROSE IN ASSESSEES OW N CASE IN THE ASSESSMENT YEAR 2002-03 AND THE LEARNED CIT(APPEALS ) DELETED THE ADDITION BY OBSERVING AS UNDER:- 10. I HAVE CAREFULLY CONSIDERED THE RELEVANT FACTS AND PROVISIONS OF LAW WITH REGARD TO THE ISSUE INVOLVED . I FIND THAT THE SIMILAR ISSUE WAS INVOLVED IN THE PRECEDING YEA R AND THE CONSEQUENTIAL ADDITION MADE BY THE AO WAS DELETED BY THE CIT(A)-III AHMEDABAD VIDE APPELLATE ORDER DATED 7. 7.2004 IN APPEAL NO.CIT(A)-III/C.WD.2(1)/11/04-05 IN ACCORDAN CE WITH THE FOLLOWING OBSERVATION IN PARA 5.1 OF THE APPELL ATE ORDER. 5.1. I HAVE CONSIDERED THE FACTS OF THE CASE ASSE SSMENT ORDER & THE SUBMISSION MADE BY THE APPELLANT. I FIND TH AT THE DISALLOWANCE OUT OF INTEREST AMOUNTING TO RS.21 45 000/- IS NOT JUSTIFIED. THERE IS NO DISPUTE THAT APPELLANT IS AUTHORIZED UNDER THE COMPANIES ACT AND BY ITS MEMORANDUM TO INVEST I N SHARES OF COMPANIES. THERE IS ALSO NO MATERIAL ON RECORD TO SHOW THAT INVESTMENTS WERE NOT FOR BUSINESS PURPOSE. I ALSO FIND THAT INVESTMENTS AS ON 31-3-2000 AND 31-3-2001 WERE SAME AT RS.3.29 CRORES WHICH IMPLIES THAT NO INVESTMENT WA S MADE BY THE APPELLANT DURING THE YEAR UNDER CONSIDERATION. THE DECISION OF SRIDEV ENTERPRISE 192 ITR 165 RENDERED BY HON'B LE KARNATAKA HIGH COURT IS ALSO APPLICABLE TO THE FACT S OF THE APPELLANT. I ALSO FIND THAT NO EFFORT HAS BEEN MA DE BY THE A.O. TO BRING ON RECORD ANY NEXUS BETWEEN THE BORROWED M ONEY AND INVESTMENT MADE FOR NON-BUSINESS PURPOSE. THE VAR IOUS ITA NO.1025/A HD/2007 DCIT VS. ANJANI FABRICS LTD. ASST.YEAR - 2003-04 - 4 - DECISIONS RELIED UPON BY THE APPELLANT INCLUDING OF JURISDICTIONAL TRIBUNAL AND HIGH COURT ALSO SUPPORT THE CASE OF TH E APPELLANT. CONSIDERING THE TOTALITY OF FACTS AND LEGAL DECISIO N AS REFERRED ABOVE I AM INCLINED TO AGREE WITH THE APPELLANT AN D DIRECT TO DELETE THE DISALLOWANCE MADE OUT OF INTEREST AMOUNT ING TO RS.21 45 000/-. THE APPELLANT ACCORDINGLY GETS REL IEF OF RS.21 45 000/-. 101. I FIND THAT THERE WAS NO MATERIAL CHANGE IN TH E FACTS BECAUSE THERE WERE NO FRESH INVESTMENTS BY THE APPE LLANT DURING THE RELEVANT PREVIOUS YEAR. I ALSO FIND TH AT WHILE WORKING OUT THE INVESTMENT IN SHARES THE AO HAS A PPLIED TOTAL AMOUNT OF RS.6.02 CRORES CONSISTING OF SHARE CAPITAL AND RESERVE AND SURPLUSES TOWARDS BUSINESS REQUIREMENTS WHICH APPEARS TO BE QUITE ILLOGICAL BECAUSE IT WAS ALSO P ART OF THE BUSINESS ACTIVITIES OF THE APPELLANT TO HAVE CONTRO LLING INTEREST OF SISTER CONCERNS AND EVEN IF FUNDS MUSTERED BY TH E APPELLANT THROUGH PUBLIC ISSUE WERE NOT UTILIZED IN THE MANNE R AS INDICATED IN THE PROSPECTUS IT WAS NOT FOR THE REV ENUE TO TAKE COGNIZANCE OF THE SAME AND SIT ON THE JUDGEMENT OF THE APPELLANT COMPANY TO ADJUDICATE AS TO WHAT WAS PROP ER LINE OF DEPLOYMENT OF FUNDS AT A PARTICULAR POINT OF TIME. FURTHER TO ABOVE ON AN ANALYSIS OF INVESTMENT OF THE APPELLAN T COMPANY IN SHARES OF SISTER CONCERNS I FIND THAT THE BASIS INVESTMENT WAS MADE BY THE APPELLANT COMPANY IN THE FINANCIAL YEAR ENDING 31.03.1996 WHEN THE INVESTMENT ROSE TO RS.5 49.56 CRORES AS AGAINST RS.79.25 CRORES IN THE PRECEDING YEAR. AT THE SAME TIME THERE WAS NO INCREASE IN BORROWINGS IN THE RELEVANT FINANCIAL YEAR WHICH IS OBVIOUS FROM THE F ACT THAT AS ON 31.3.96 THE BORROWINGS WERE RS.2.258 CORRES AS AGAINST RS.2.61 CRORES A ON 31.3.95. IT IS THUS OBVIOUS T HAT THE INVESTMENT CAME FROM SHARE CAPITAL AND RESERVES AND SURPLUSES AND NOT FROM THE BORROWINGS. AFTER THE FINANCIAL YEAR 1995-96 THERE IS NO INCREASE IN INVESTMENT. THE INVESTMENT HAS DECLINED PROGRESSIVELY AND IN THE RE LEVANT PREVIOUS YEAR INVESTMENT WAS OF RS.328.55 LAKHS AS AGAINST INVESTMENT OF RS.328.80 LAKHS IN THE PRECEDING YEAR . I ITA NO.1025/A HD/2007 DCIT VS. ANJANI FABRICS LTD. ASST.YEAR - 2003-04 - 5 - THEREFORE FIND THAT THERE WAS NO FRESH INVESTMENT BY THE APPELLANT IN THE RELEVANT PREVIOUS YEAR WHICH COUL D BE SUBJECT MATTER OF SCRUTINY BY THE AO. ONCE THE FUNDS WERE STUCK UP IN INVESTMENTS IT WAS QUITE NATURAL FOR THE APPELLANT TO BORROW FUNDS TO CARRY OUT THE BUSINESS ACTIVITIES AND INTE REST OF SUCH BORROWED FUNDS WAS DIRECTLY LINKED TO BUSINESS ACTI VITIES AND THEREFORE WAS ALLOWABLE AS DEDUCTION. VARIOUS JUDI CIAL PRONOUNCEMENTS RELIED UPON BY THE AO HAVE BEEN DULY DISTINGUISHED BY THE LD. COUNSEL FOR THE PAP IN THE WRITTEN SUBMISSIONS RE-PRODUCED ABOVE AND THEREFORE DO NO T REQUIRE FURTHER DISCUSSION. THE RATIO LAID DOWN BY THE HO N'BLE ITAT DELHI A BENCH IN THE CASE OF MARUTI UDHYOG LTD. VS. DCIT REPORTED IN 92 TTJ 987 WAS ALSO APPLICABLE IN THE C ASE OF THE APPELLANT AS THE INTEREST FREE FUNDS OF RS.6.02 CRO RES WERE AVAILABLE WITH THE APPELLANT WHICH WERE FOR IN EXCE SS TO THE INVESTMENT OF RS.3.28 CRORES. I THEREFORE FIND THAT THE AO WAS NOT JUSTIFIED IN MAKING THE DISALLOWANCE. IN T HIS REGARD THEREFORE I AM IN FULL AGREEMENT WITH THE OBSERVAT IONS OF MY PREDECESSOR IN THE CASE OF THE APPELLANT IN THE PRE CEDING ASSTT.YEAR. THE CONSEQUENTIAL ADDITION OF RS.19 0 5 000/- MADE BY THE AO IS THEREFORE DELETED. THESE TWO G ROUNDS OF APPEAL ARE THEREFORE TREATED AS ALLOWED. 3.1. TO SUM UP LEARNED CIT(APPEALS) HELD THAT THE I SSUE IS SQUARELY COVERED BY THE DECISION OF CIT(A)-III/C. W D.2(1)154/04- 05 DATED 07/03/2006 IN ASSESSEES OWN CASE FOR ASSE SSMENT YEAR 2002-03. FOLLOWING THE SAME HE DELETED THE DISALL OWANCE TO THE TUNE OF RS.24 14 101/- FOR ASSESSMENT YEAR UNDER AP PEAL. AGGRIEVED BY THE ORDER OF THE LD. CIT(APPEALS) THE REVENUE IS IN APPEAL BEFORE US. ITA NO.1025/A HD/2007 DCIT VS. ANJANI FABRICS LTD. ASST.YEAR - 2003-04 - 6 - 5. AT THE TIME OF HEARING ON BEHALF OF REVENUE SH RI M.C. PANDIT LEARNED DEPARTMENTAL REPRESENTATIVE APPEARE D AND CONTENDED THAT LD. C.I.T.(A) DELETED THE ADDITIONS BECAUSE ANALYSIS OF ACCOUNTS OF THE ASSESSEE REVEALED THAT BORROWED FUND WERE UTILIZED FOR MAKING INVESTMENT TO HAVE A CONTROLLIN G INTEREST OF SISTER/GROUP-CONCERN WHICH IS ALSO PART OF BUSINESS ACTIVITY OF THE ASSESSEE COMPANY. THE LEARNED DEPARTMENTAL REPRESEN TATIVE FURTHER SUBMITTED THAT COMPANY HAD COME OUT WITH A PUBLIC ISSUE IN FEBRUARY-1994 OF 36 LACS EQUITY SHARES OF RS.10/- E ACH FOR CASH AT PAR AGGREGATING TO RS.3 60 00 000/-. THE MAIN OBJ ECTS OF PUBLIC OFFER AS PER THE PROSPECTUS WAS - (A) TO AUGMENT LONG TERM RESOURCES FOR FINANCING T HE COMPANIES. (B) TO MEET THE ISSUE EXPENSES (C) TO LIST THE SHARES OF THE COMPANY ON RECOGNIZED STOCK EXCHANGE. 5.1. CONTINUING HIS SUBMISSIONS THE LEARNED DEPART MENTAL REPRESENTATIVE SUBMITTED THAT IN THE CASE OF ANJANI SYNTHETICS LTD. THE GROUP CONCERN OF THE ASSESSEE THE LEARNED CIT( APPEALS) HAS CONFIRMED THE SIMILAR DISALLOWANCES MADE BY THE ASS ESSING OFFICER IN ASSESSMENT YEAR 2002-03 BUT HOWEVER HE HAS D IRECTED TO RESTRICT THE RATE OF INTEREST AT 9% INSTEAD OF 15% DISALLOWED BY THE ASSESSING OFFICER. THE A.O. ACCORDINGLY MADE THE AD DITION OF 24 14 101/- AND THE LEARNED CIT(APPEALS) IS NOT JUS TIFIED IN DELETING THE SAME. ITA NO.1025/A HD/2007 DCIT VS. ANJANI FABRICS LTD. ASST.YEAR - 2003-04 - 7 - 6. ON THE OTHER HAND SHRI GAURAV NAHTA LEARNED AU THORISED REPRESENTATIVE OF THE ASSESSEE APPEARED AND REITERA TED THE SUBMISSIONS AS WERE MADE BEFORE THE LEARNED CIT(APP EALS). THE LEARNED AUTHORISED REPRESENTATIVE OF THE ASSESSEE FURTHER SUBMITTED THAT APPEAL OF THE REVENUE FOR ASSESSMENT YEAR 2002-03 IS DISMISSED IN LIMINE VIDE ORDER OF LD. CIT(A)-III AHMEDABAD IN APPEAL NO. CIT(A)-III/C. WD.2(1)/154/04-05 DATED 07 /03/2006 FOLLOWING THE JUDGEMENT OF HON'BLE DELHI HIGH COURT IN THE CASE OF CIT VS. MANGLAM RICINUS LTD. (2008) 174 TAXMAN 186) (DEL.). THE LEARNED AUTHORISED REPRESENTATIVE OF THE ASSESSEE A CCORDINGLY SUBMITTED THAT EITHER THE APPEAL OF THE REVENUE FOR THIS ASSESSMENT YEAR BE DISMISSED OR THE ORDER OF THE LEARNED CIT(A PPEALS) BE UPHELD. 7. AGAINST THIS THE LEARNED DEPARTMENTAL REPRESENT ATIVE SUBMITTED THAT FOR THIS ASSESSMENT YEAR THE APPEAL CANNOT BE DISMISSED IN LIMINE BECAUSE THE TAX EFFECT IS MORE THAN RS.1 LAC. 8. AFTER HEARING BOTH THE SIDES WE HAVE CAREFULLY GONE THE ORDERS OF THE LOWER AUTHORITIES. THE ABOVE ADDITION OF RS .24 14 101/- IN OUR CONSIDERED OPINION THE TAX EFFECT IS MORE THAN RS.1 LAC. IN SUPPORT OF THIS RELIANCE CAN ALSO BE PLACED ON INS TRUCTION NO.5 OF 2008 DATED 15 TH MARY-2008 WHEREIN CBDT IN PARAGRAPH NO.4 HAS ITA NO.1025/A HD/2007 DCIT VS. ANJANI FABRICS LTD. ASST.YEAR - 2003-04 - 8 - STATED THAT IN LOSS CASES NOTIONAL TAX EFFECT SHOUL D BE TAKEN INTO ACCOUNT. ADMITTEDLY THE NOTATIONAL TAX EFFECT INVO LVED IN THIS APPEAL IS MORE THAN RS.1 LAC THEREFORE THE APPEAL OF THE REVENUE CANNOT BE DISMISSED. IN VIEW OF THIS THE PLEA OF THE LEARNED AUTHORISED REPRESENTATIVE OF THE ASSESSEE TO DISMISS THE REVEN UES APPEAL IN LIMINE CANNOT BE ACCEPTED. WE THEREFORE PROCEED TO DEC IDE THIS APPEAL ON MERITS. 8.1. IT IS PERTINENT TO NOTE THAT IN THE ASSESSMENT YEAR 2002-03 SIMILAR DISALLOWANCE WAS MADE AND THE LD. C.I.T.(A) - III/C.WD.2(1)/154/04-05 DELETED THE SAME VIDE HIS O RDER DATED 07- 03-2006. 9. ADMITTEDLY IN THE ASSESSMENT YEAR UNDER APPEAL THERE IS NO MATERIAL CHANGE IN THE FACTS BECAUSE NO FRESH INVES TMENT HAVE BEEN MADE BY THE ASSESSEE IN THE RELEVANT PREVIOUS ASSES SMENT YEAR. IN THE ASSESSMENT YEAR 2002-03 THE LD. CIT(A) HAS RECO RDED A FINDING OF FACT THAT IT IS ALSO A PART OF THE BUSINESS ACTI VITY TO HAVE CONTROLLING INTEREST OF SISTER/GROUP CONCERN AND EV EN IF THE FUND MUSTERED BY APPELLANT THROUGH PUBLIC ISSUE WERE NOT UTILIZED IN THE MANNER AS INDICATED IN THE PROSPECTS IT WAS NOT COG NIZANCE TO SIT IN THE DETAILS OF THE APPELLANT COMPANY TO ADJUDICATE WHATEVER HAS BEEN DEPLOYMENT OF FUND AT A PARTICULAR POINT OF TIME. T HE LD. C.I.T.(A) HAS ALSO RECORDED A FINDING OF FACT THAT INVESTMENT S WERE MADE BY ITA NO.1025/A HD/2007 DCIT VS. ANJANI FABRICS LTD. ASST.YEAR - 2003-04 - 9 - THE ASSESSEE-COMPANY FOR THE F.Y. ENDING 31-3-1996 WHEN INVESTMENTS AROSE TO RS.549.56 CRORES AS AGAINST RS .79.25 CRORES IN THE PRECEDING YEAR. AT THE SAME TIME THERE WAS NO INCREASE IN BORROWINGS IN THE RELEVANT FINANCIAL YEAR WHICH IS OBVIOUS FROM THE FACT THAT AS ON 31.3.1996 THE BORROWINGS WERE RS.2 .58 CRORES AS AGAINST RS.2.61 CRORES AS ON 31.3.95. IT IS THUS OB VIOUS THAT THE INVESTMENT CAME FROM SHARE CAPITAL AND RESERVES AND SURPLUSES AND NOT FROM THE BORROWINGS. AFTER THE FINANCIAL YEAR 1 995-96 THERE IS NO INCREASE IN INVESTMENT. THE INVESTMENT HAS DECLI NED PROGRESSIVELY AND IN THE RELEVANT PREVIOUS YEAR IN VESTMENT WAS OF RS./328.55 LAKHS AS AGAINST INVESTMENT OF RS.328.80 LAKHS IN THE PRECEDING YEAR. I THEREFORE FIND THAT THERE WAS NO FRESH INVESTMENT BY THE APPELLANT IN THE RELEVANT PREVIOUS YEAR WHI CH COULD BE SUBJECT MATTER OF SCRUTINY BY THE A.O. ONCE THE FUN DS WERE STUCK UP IN INVESTMENTS IT WAS QUITE NATURAL FOR THE APPELL ANT TO BORROW FUNDS TO CARRY OUT THE BUSINESS ACTIVITIES AND INTEREST O F SUCH BORROWED FUNDS WAS DIRECTLY LINKED TO BUSINESS ACTIVITIES AN D THEREFORE WAS ALLOWABLE AS DEDUCTION. THERE IS NO MATERIAL BROUGH T TO OUR NOTICE TO DIVER THESE FINDINGS RECORDED BY THE LD. C.I.T.(A). WE ARE THEREFORE OF THE VIEW THAT LD. C.I.T.(A) HAS GIVEN COGENT REA SON FOR DELETING THE DISALLOWANCE OF RS.24 14 101/- MADE BY A.O. OUT OF INTEREST EXPENSE U/S. 36(1)(III). WE ARE THEREFORE INCLINED TO UPHOLD THE ORDER OF THE LD. C.I.T.(A). ITA NO.1025/A HD/2007 DCIT VS. ANJANI FABRICS LTD. ASST.YEAR - 2003-04 - 10 - 10. RESULTANTLY THE APPEAL OF THE REVENUE IS DISMI SSED. PRONOUNCED IN THE OPEN COURT ON 30 -0 4-2010. SD/- SD/- ( D.C.AGRAWAL ) ( T.K.SHARMA ) ACCOUNTANT MEMBER JUDICIAL MEMBER AHMEDABAD. DATED 30/04/2010 T.C. NAIR COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT CONCERNED 4. THE LD. CIT(APPEALS)-V AHMEDABAD 5. THE DR AHMEDABAD BENCH 6. THE GUARD FILE. BY ORDER //TRUE COPY// (DY./ASSTT.REGISTRAR) ITAT AHMEDABAD