DCIT, Circle - 4, Kolkata, Kolkata v. M/s. The Dollaguri Tea Co. Pvt. Ltd., Kolkata

ITA 1995/KOL/2010 | 1998-1999
Pronouncement Date: 11-01-2011

Appeal Details

RSA Number 199523514 RSA 2010
Bench Kolkata
Appeal Number ITA 1995/KOL/2010
Duration Of Justice 2 month(s) 10 day(s)
Appellant DCIT, Circle - 4, Kolkata, Kolkata
Respondent M/s. The Dollaguri Tea Co. Pvt. Ltd., Kolkata
Appeal Type Income Tax Appeal
Pronouncement Date 11-01-2011
Appeal Filed By Department
Bench Allotted A
Tribunal Order Date 11-01-2011
Assessment Year 1998-1999
Appeal Filed On 01-11-2010
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL BENCH : KOLKATA () BEFORE . . . . . . . . !' !' !' !' /AND . .. . . .. .! !! ! # ) [BEFORE HONBLE SRI D. K. TYAGI JM & HONBLE SRI C . D. RAO AM] '$ '$ '$ '$ / IN I.T.A NO. 1995 /KOL/2010 %&' !() %&' !() %&' !() %&' !()/ // / ASSESSMENT YEAR : 1998-99 DEPUTY COMMISSIONER OF INCOME-TAX -VS- M/S. THE D OLLAGURI TEA CO. PVT. LTD. CIRCLE-4 KOLKATA. (PA NO.AAACT 9895 M) (! /APPLICANT ) (+ -/ RESPONDENT ) FOR THE APPLICANT : SRI P. K. MISHRA FOR THE RESPONDENT : N O N E . / ORDER PER D. K. TYAGI JM ( . . . . . . . . ) THIS APPEAL FILED BY THE REVENUE IS DIRECTED AGAINS T THE ORDER PASSED BY THE LD. CIT(A) KOLKATA DATED 26.03.2010 FOR ASSESSMENT YEA R 1998-99 ON THE FOLLOWING GROUND : THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE L D. CIT(A) KOLKATA HAS ERRED IN LAW IN DELETING THE ADDITION OF RS.13 72 491/- ON ACCOU NT OF CESS ON GREEN LEAF WITHOUT CONSIDERING THE FACT THAT EXPENSES ON ACCOUNT OF CE SS ON GREEN LEAF IS RELATED TO 100% AGRICULTURAL OPERATION AND SLP IS PENDING BEFORE TH E HONBLE SUPREME COURT AGAINST THE DECISION OF CALCUTTA HIGH COURT IN THE CASE OF AFT INDUSTRIES LTD. VS. CIT (270 ITR 167) IN THE LIGHT OF WHICH LD. CIT(A) DECIDED THE I SSUE IN FAVOUR OF THE ASSESSEE. 2. THE APPEAL FILED BY THE REVENUE IS DELAYED BY 15 DAYS AND A CONDONATION PETITION HAS BEEN FILED. AFTER HEARING THE LD. DR AND PERUS ING THE CONDONATION PETITION WE FIND THAT THERE IS REASONABLE CAUSE FOR FILING THE APPEA L LATE. THEREFORE THE DELAY IS HEREBY CONDONED AND THE APPEAL IS TAKEN UP FOR HEARING. 3. BRIEFLY STATED FACTS OF THE CASE ARE THAT THE AO DISALLOWED THE EXPENDITURE CLAIMED BY THE ASSESSEE ON ACCOUNT OF CESS ON GREEN LEAF AMOUNTING TO RS.13 72 491/- AND ADDED BACK THE SAME TO THE COMPOSITE INCOME OF THE ASSESSEE BY RELYING ON THE DECISION OF GUWAHATI HIGH COURT IN THE CASE OF JORE HAUT GROUP LTD. VS. AGRICULTURAL INCOME-TAX OFFICER 226 ITR 622. ON APPEAL THE LD. CIT(A) HELD THAT THE ISSUE STANDS 2 SQUARELY COVERED IN FAVOUR OF THE APPELLANT AND THU S FULL DEDUCTION SHOULD BE ALLOWED TO THE ASSESSEE COMPANY IN RESPECT OF THE CESS PAID BY IT ON THE GREEN LEAVES IN VIEW OF DECISION OF AFT INDUSTRIES LTD. 270 ITR 167 (CAL). AGGRIEVED BY THIS ORDER NOW THE REVENUE IS IN APPEAL BEFORE US. 4. AFTER HEARING THE LD. DR AND PERUSING THE MATERI AL AVAILABLE ON RECORD WE FIND THAT THE ISSUE IS SQUARELY COVERED IN FAVOUR OF THE ASSESSEE IN VIEW OF THE DECISION OF AFT INDUSTRIES LTD. 270 ITR 167 (CAL). SINCE THE L D. CIT(A) BY RELYING ON THE AFORESAID DECISION ALLOWED FULL DEDUCTION TO THE AS SESSEE COMPANY IN RESPECT OF THE CESS PAID BY IT ON THE GREEN LEAVES WE FIND NO INFIRMIT Y IN HIS ORDER AND THE SAME IS HEREBY UPHELD. THIS GROUND OF APPEAL OF THE REVENUE IS T HEREFORE DISMISSED. 5. IN THE RESULT THE APPEAL OF THE REVENUE IS DISM ISSED. 6. ORDER IS PRONOUNCED IN THE OPEN COURT. SD/- SD/- . . ! # . . (C. D. RAO) (D. K. TYAGI) ACCOUNTANT MEMBER JUDICIAL MEMBER ( # # # #) )) ) DATED : 11 TH JANUARY 2011 !/0 %&12 %3! JD.(SR.P.S.) . 4 +%%5 65(7- COPY OF THE ORDER FORWARDED TO: 1 . - / APPELLANT DCIT CIRCLE-4 KOLKATA 2 + - / RESPONDENT M/S. THE DOLLAGURI TEA CO. PVT. LTD. 43 FAZLUL HAQUE SARANI KOLKATA-19.. 3 . %.& / THE CIT KOLKATA. 4. %.& ( )/ THE CIT(A) KOLKATA. 5 . !=% +%& / DR KOLKATA BENCHES KOLKATA 5 +%/ TRUE COPY .&>/ BY ORDER ? '2 /DEPUTY REGISTRAR .