Jay Shree Tea & Industries Ltd., Kolkata v. DCIT, Circle - 4, Kolkata, Kolkata

ITA 1539/KOL/2010 | 2005-2006
Pronouncement Date: 13-07-2011 | Result: Allowed

Appeal Details

RSA Number 153923514 RSA 2010
Assessee PAN AAACJ7788D
Bench Kolkata
Appeal Number ITA 1539/KOL/2010
Duration Of Justice 11 month(s) 7 day(s)
Appellant Jay Shree Tea & Industries Ltd., Kolkata
Respondent DCIT, Circle - 4, Kolkata, Kolkata
Appeal Type Income Tax Appeal
Pronouncement Date 13-07-2011
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted A
Tribunal Order Date 13-07-2011
Assessment Year 2005-2006
Appeal Filed On 05-08-2010
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : KOLKATA [ . . . . . . . . . . . . . .. . ! ! ! ! ' ' ' ' ] [BEFORE HONBLE SHRI B. R. MITTAL JM & HONBLE SHRI S.V. MEHROTRA AM] #$ #$ #$ #$ / I.T.A NO. 1539/KOL/2010 %& '() %& '() %& '() %& '()/ // / ASSESSMENT YEAR : 2005-06 JAYSHREE TEA & INDUSTRIES LIMITED -VS.- DY. COMMISSIONER OF INCOME TAX KOLKATA [PAN : AAACJ 7788 D] CIRCLE-IV KOLKATA. [ + + + + /APPELLANT ] ]] ] [ ./+ ./+ ./+ ./+ / // / RESPONDENT ] ]] ] + + + + / FOR THE APPELLANT : SHRI B. K. CHATURVEDI ./+ ./+ ./+ ./+ / FOR THE RESPONDENT : SHRI P. S. DUTTA 0 / ORDER . . . . . .. . ! ! ! ! ' ' ' ' PER S. V. MEHROTRA A. M. THE ASSESSEE HAS FILED THIS APPEAL FOR ASSESSMENT YEAR 2005-06 AGAINST THE ORDER OF THE LD. CIT(A)-XIX KOLKATA DATED 28.06.2010. 2. THE ASSESSEE IN THE RELEVANT ASSESSMENT YEAR W AS ENGAGED IN THE BUSINESS OF GROWING AND MANUFACTURING OF TEA CHEMICALS FERTILIZERS TEA T RADING WAREHOUSING DEVELOPMENT OF REAL ESTATE EDUCATIONAL ACTIVITIES AND CALL CENTRE. THE ASSESSI NG OFFICER NOTICED THAT ASSESSEE HAD CREDITED RS.4 93 67 788/- ON ACCOUNT OF DIVIDEND WHICH WAS T REATED AS EXEMPT U/S. 10(34) & 10(35) OF THE INCOME TAX ACT BUT NO EXPENDITURE HAD BEEN ATTRIBUT ED FOR EARNING THIS EXEMPTED INCOME. HE ESTIMATED 5% OF THE DIVIDEND INCOME TOWARDS ITS EAR NING AND MADE DISALLOWANCE OF RS.24 68 389/-. THE LD. CIT(A) DIRECTED THE ASSESSI NG OFFICER TO RECOMPUTE THE AMOUNT OF DISALLOWANCE AS PER PROVISIONS OF RULE 8D OF THE IN COME TAX RULES. 3. HAVING HEARD BOTH THE PARTIES WE FIND THAT HON BLE MUMBAI HIGH COURT IN THE CASE OF GODREJ & BOYCE MFG. CO. LTD. VS. DCIT [2010] 328 IT R 81 (BOM.) HAS HELD THAT RULE 8D IS PROSPECTIVE AND IS APPLICABLE FROM ASSESSMENT YEAR 2008-09 ONLY. THIS BEING ASSESSMENT YEAR ITA NO. 1539/KOL/20 10 2 2005-06 RULE 8D WAS NOT APPLICABLE. WE THEREFORE RESTORE THE MATTER TO THE FILE OF LD. CIT(A) TO DECIDE THIS GROUND ON MERIT. IN THE RESULT CROSS O BJECTION IS ALLOWED. 4. IN THE RESULT THE APPEAL OF THE ASSESSEE IS ALL OWED FOR STATISTICAL PURPOSES. 0 0 0 0 '1 '1 '1 '1 2 2 2 2 1% 3 4 1% 3 4 1% 3 4 1% 3 4 5' 5' 5' 5' ORDER PRONOUNCED IN THE COURT ON 13.07. 2011. SD/- SD/- [ . . . . . . . . ] [ . . . . . .. . ! ! ! ! ' ' ' ' ] [ B. R. MITTAL ] [ S.V. MEHROTRA ] JUDICIAL MEMBER ACCOUNTANT ME MBER ( (( (5' 5' 5' 5') )) ) DATED : 13.07.2011. 0 8 .9 :9(/ COPY OF THE ORDER FORWARDED TO: 1. + /APPELLANT- JAYSHREE TEA & INDUSTRIES LIMITED 10 CAMAC STREET KOLKATA-700 017. 2 ./+ / RESPONDENT : DY. COMMISSIONER OF INCOME TAX CIRC LE-IV P-7 CHOWRINGHEE SQUAR E KOLKATA-700 069. 3. 0%/ THE CIT 4. 0% ()/ THE CIT(A) KOLKATA. 5. '3 .%/ DR KOLKATA BENCHES KOLKATA [/9 ./ TRUE COPY ] 0%1/ BY ORDER #A /ASSTT REGISTRAR [KKC 'BC %DA E' /SR.PS]