ACIT 25(3), MUMBAI v. KEMCO CORPORATION, MUMBAI

ITA 4513/MUM/2009 | 2006-2007
Pronouncement Date: 31-05-2010 | Result: Dismissed

Appeal Details

RSA Number 451319914 RSA 2009
Assessee PAN AACFK3418L
Bench Mumbai
Appeal Number ITA 4513/MUM/2009
Duration Of Justice 10 month(s) 1 day(s)
Appellant ACIT 25(3), MUMBAI
Respondent KEMCO CORPORATION, MUMBAI
Appeal Type Income Tax Appeal
Pronouncement Date 31-05-2010
Appeal Filed By Department
Order Result Dismissed
Bench Allotted A
Tribunal Order Date 31-05-2010
Assessment Year 2006-2007
Appeal Filed On 30-07-2009
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL 'A' BENCH MUMBAI BEFORE SHRI R.V. EASWAR SENIOR VICE-PRESIDENT AND SHRI B. RAMAKOTAIAH ACCOUNTANT MEMBER ITA NO. 4513/MUM/2009 (ASSESSMENT YEAR: 2006-07) ACIT 25(3) M/S. KEMCO CORPORATION C-11 ROOM NO. 308 PRATYAKSHAKAR A-1 APRIL ENCALV E GROUND FLOOR BHAVAN BANDRA-KURLA COMPLEX VS. MAHAVIR NAGAR GREATER BOMBAY CO-OP BANDRA (E) MUMBAI 400051 BANK KANDIVALI (W) MUM BAI 400067 PAN - AACFK 3418 L APPELLANT RESPONDENT APPELLANT BY: SHRI K.K. MAHAJAN RESPONDENT BY: SHRI PRAVIN SARVAIYA O R D E R PER B. RAMAKOTAIAH A.M. THIS APPEAL BY THE REVENUE IS AGAINST THE ORDER OF THE CIT(A) XXV MUMBAI DATED 29.05.2009. 2. THE ONLY ISSUED CONTESTED BY THE REVENUE IN THIS A PPEAL IS THE ALLOWANCE OF KEYMAN INSURANCE PREMIUM OF RS.15 00 0 00/- PAID ON TWO PARTNERS OF THE FIRM. THE A.O. DISALLOWED AN AMOUNT OF RS.16 58 680/- WHEREAS THE CIT(A) ON EXAMINATION NOTICED THAT THE ACTUAL PAYMENT WAS ONLY RS.15 00 000/- AND ACCORDINGLY DIRECTED THE A. O. TO ALLOW THE KEYMAN INSURANCE OF RS.15 00 000/-. THE CIT(A) FOLLOWED TH E PROVISIONS OF SECTION 10(10D) CBDT CIRCULAR 762 DATED 18.02.1998 AND THE DECISION OF THE ITAT B BENCH MUMBAI IN THE CASE OF ITO VS. MODI MOTOR S 27 SOT 476. THE REVENUE IS AGGRIEVED. 3. AT THE OUTSET IT WAS INFORMED THAT THIS ISSUE WAS D ECIDED BY THE HON'BLE BOMBAY HIGH COURT IN THE CASE OF CIT VS. B. N. EXPORTS 323 ITR 178. RESPECTFULLY FOLLOWING THE ABOVE JUDGEMENT WE DO N OT FIND ANY MISTAKE IN THE ORDER OF THE CIT(A) WHO ALLOWED THE INSURANCE P REMIUM PAID FOR THE ITA NO. 4513/MUM/2009 M/S. KEMCO CORPORATION 2 PARTNERS OF KEYMAN INSURANCE POLICY TO INSURE THE L IFE OF THE PARTNERS AS BUSINESS EXPENDITURE . 4. IN THE RESULT APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 31 ST MAY 2010. SD/- SD/- (R.V. EASWAR) (B. RAMAKOTAIAH) SENIOR VICE-PRESIDENT ACCOUNTANT MEMBER MUMBAI DATED: 31 ST MAY 2010 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) XXV MUMBAI 4. THE CIT XXV MUMBAI CITY 5. THE DR A BENCH ITAT MUMBAI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT MUMBAI BENCHES MUMBAI N.P.