ACIT CEN CIR 14, MUMBAI v. CHAIN-N-CHAIN, MUMBAI

ITA 1404/MUM/2010 | 2004-2005
Pronouncement Date: 30-12-2010 | Result: Dismissed

Appeal Details

RSA Number 140419914 RSA 2010
Assessee PAN AAAFK4838L
Bench Mumbai
Appeal Number ITA 1404/MUM/2010
Duration Of Justice 10 month(s) 9 day(s)
Appellant ACIT CEN CIR 14, MUMBAI
Respondent CHAIN-N-CHAIN, MUMBAI
Appeal Type Income Tax Appeal
Pronouncement Date 30-12-2010
Appeal Filed By Department
Order Result Dismissed
Bench Allotted C
Tribunal Order Date 30-12-2010
Assessment Year 2004-2005
Appeal Filed On 19-02-2010
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL 'C' BENCH MUMBAI BEFORE SHRI R.S. PADVEKAR JUDICIAL MEMBER AND SHRI B. RAMAKOTAIAH ACCOUNTANT MEMBER ITA NO. 1404/MUM/2010 (ASSESSMENT YEAR: 2004-05) ACIT CENTRAL CIRCLE 14 M/S. CHAIN-N-CHAIN ROOM NO. 1102 11TH FLOOR 167/171 GHAMBIR BHAVAN OLD CGO ANNEX BLDG VS. 1ST FLOOR ZAVERI BAZAR MUMBAI 400020 MUMBAI 400002 PAN - AAAFK 4838 L APPELLANT RESPONDENT APPELLANT BY: SMT. REENA JHA TRIPATHI RESPONDENT BY: SHRI AJAY NAGPAL O R D E R PER B. RAMAKOTAIAH A.M. THIS APPEAL BY THE REVENUE IS AGAINST THE ORDER OF THE CIT(A) 37 MUMBAI DATED 22.12.2009. 2. REVENUE HAS RAISED THE FOLLOWING SOLITARY GROUND: - ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW THE LD. CIT(A) WAS NOT JUSTIFIED IN HOLDING THAT KEYMAN INS URANCE POLICY PAYMENT FOR INSURING THE LIFE OF THE PARTNERS WAS A LLOWABLE BY RELYING ON HON'BLE ITAT DECISION IN THE CASE OF ITO VS. MODI M OTORS (2009) 27 SOT 476 (MUM) WHEREAS IN THIS CASE INSURANCE PAYMENT W AS GIVEN FOR INSURING THE LIFE OF INDIVIDUALS WHO WERE NOT PARTN ERS. 3. THIS APPEAL BY THE REVENUE IS AGAINST THE ORDER U/ S 153A IN WHICH THE AO ADOPTED THE ADDITIONS MADE IN EARLIER ORDER U/S 143(3) WITH OUT ANY DISCUSSION AS THAT ORDER WAS PENDING ADJUDICATION B EFORE CIT(A). ONE SUCH ADDITION MADE WAS ADDITION OF ` 19 84 300/- TO THE INCOME OF THE ASSESSEE BY DISALLOWING KEYMAN INSURANCE PREMIUM PAID ON THE PRETEXT THAT THE PAYMENT WAS GIVEN FOR INSURING THE INDIVIDUALS WHO ARE NOT PARTNERS. ON APPEAL THE CIT(A) FOLLOWING THE ORDER OF THE ITAT IN THE ASSESSEE CASE ON THE ORDER DATED 29/12/2006 IN ITA 7570/MUM/07 DT. 2 3-09-09 DELETED THE ADDITION. REVENUE IS IN APPEAL. 4. WE HAVE HEARD THE LEARNED D.R. AND THE LEARNED COUN SEL. ITA NO. 1404/MUM/2010 M/S. CHAIN-N-CHAIN 2 5. THERE IS NO NEED TO INTERFERE WITH THE ORDER OF THE CIT(A) AS HE ONLY FOLLOWED THE ITAT DECISION IN ASSESSEE OWN CASE FOR THE SAME YEAR ON THE SAME ISSUE. FURTHER THE ISSUE IS NOW COVERED BY TH E DECISION OF THE HON'BLE JURISDICTIONAL HIGH COURT IN THE CASE OF CIT VS. B. N. EXPORTS 323 ITR 178 TO THE EXTENT OF ALLOWING THE AMOUNT IN THE HANDS OF P ARTNER EVEN. THE GROUND RAISED IS DISMISSED. 6. IN THE RESULT APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 30 TH DECEMBER 2010. SD/- SD/- (R.S. PADVEKAR) (B. RAMAKOTAIAH) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI DATED: 30 TH DECEMBER 2010 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 37 MUMBAI 4. THE CIT CENTRAL-I MUMBAI CITY 5. THE DR C BENCH ITAT MUMBAI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT MUMBAI BENCHES MUMBAI N.P.