DCIT Circle 1, Tirupur v. Eastman Exports Global Clothing (P) Limited, Tirupur

MA 307/CHNY/2019 | 2016-2017
Pronouncement Date: 19-03-2021 | Result: Partly Allowed

Appeal Details

RSA Number 30721724 RSA 2019
Assessee PAN AACCC0952E
Bench Chennai
Appeal Number MA 307/CHNY/2019
Duration Of Justice 1 year(s) 3 month(s) 7 day(s)
Appellant DCIT Circle 1, Tirupur
Respondent Eastman Exports Global Clothing (P) Limited, Tirupur
Appeal Type Miscellaneous Application
Pronouncement Date 19-03-2021
Appeal Filed By Department
Order Result Partly Allowed
Bench Allotted A
Tribunal Order Date 19-03-2021
Last Hearing Date 24-01-2020
First Hearing Date 19-03-2021
Assessment Year 2016-2017
Appeal Filed On 12-12-2019
Judgment Text
IN THE INCOME-TAX APPELLATE TRIBUNAL A BENCH CHENNAI . . BEFORE SHRI DUVVURU RL REDDY JUDICIAL MEMBER & SHRI G. MANJUNATHA ACCOUNTANT MEMBER M.P. NO. 307/CHNY/2019 [IN I.T.A. NO. 1677/CHNY/2019] / ASSESSMENT YEAR: 2016-17 THE DEPUTY COMMISSIONER OF INCOME TAX CIRCLE I NO. 121 ADAMS BUILDING 60 FEET ROAD TIRUPUR 641 602. VS. M/S. EASTMAN EXPORTS GLOBAL CLOTHING P. LTD. NO. 10 12 2 ND STREET KUMAR NAGAR (SOUTH) TIRUPUR 641603. [PAN:AACCC0952E] ( /APPELLANT) ( /RESPONDENT) / APPELLANT BY : SHRI G. JOHNSON ADDL. CIT / RESPONDENT BY : SHRI T. BANUSEKAR C.A. / DATE OF HEARING : 19.03.2021 /DATE OF PRONOUNCEMENT : 19.03.2021 / O R D E R PER DUVVURU RL REDDY JUDICIAL MEMBER: BY MEANS OF PRESENT MISCELLANEOUS PETITION THE REVENUE SEEKS TO ADJUDICATE THE ISSUE RAISED IN THE APPEAL OF THE REVENUE IN I.T.A. NO. 1677/CHNY/2019 WHICH WAS CLAIMED TO HAVE BEEN OMITTED WHILE PASSING THE COMMON ORDER BY THE TRIBUNAL IN THE APPEALS FILED BY THE REVENUE IN I.T.A. NOS. 1676 & 1677/CHNY/2019 DATED 12.09.2019 FOR THE ASSESSMENT YEARS 2013-14 & 2016-17. THE LD. DR HAS SUBMITTED THAT IN THE APPEAL OF THE REVENUE FOR THE ASSESSMENT YEAR 2016-17 THE DEPARTMENT HAS RAISED TWO GROUNDS VIZ. (I) WHETHER THE INCENTIVE RECEIVED FROM THE GOVERNMENT FOR EXPLORING NEW MARKET M.P. NO. 307/CHNY/19 2 IS CAPITAL RECEIPT OR REVENUE RECEIPT AND (II) DELETION OF DISALLOWANCE OF COST OF CONSTRUCTION OF THE BUILDING ON THE LEASEHOLD LAND. IT WAS THE SUBMISSION OF THE LD. DR THAT THE GROUND RELATES TO THE DELETION OF DISALLOWANCE OF COST OF CONSTRUCTION OF THE BUILDING ON THE LEASEHOLD LAND WAS NOT ADJUDICATED AND PLEADED THAT THE ISSUE MAY BE ADJUDICATED AND PASS SUITABLE ORDER. 2. PER CONTRA THE LD. COUNSEL FOR THE ASSESSEE HAS SUBMITTED THAT THE TRIBUNAL HAS PASSED COMMON ORDER IN I.T.A. NOS. 1676 & 1677/CHNY/2019 DATED 12.09.2019 FOR THE ASSESSMENT YEARS 2013-14 & 2016-17 WHEREIN THE ISSUE CLAIMED TO HAVE NOT BEEN ADJUDICATED IN THE ASSESSMENT YEAR 2016-17 WAS ALSO RAISED IN THE APPEAL FOR THE ASSESSMENT YEAR 2013-14 AND THE TRIBUNAL HAS ADJUDICATED AND PASSED DETAILED ORDER FROM PARA 2 TO 7 OF ITS COMMON ORDER DATED 12.09.2019. IT WAS THE SUBMISSION THAT THERE IS NO NEED FOR ANY RE- ADJUDICATION OF THE SAME GROUND WHICH WAS ALREADY ADJUDICATED FOR THE ASSESSMENT YEAR 2013-14 AND THE SAME WAS ALSO RAISED IN THE APPEAL FOR THE ASSESSMENT YEAR 2016-17. IT WAS FURTHER SUBMISSION THAT UTMOST THE TYPOGRAPHICAL ERROR IN NOT MENTIONING BOTH THE ASSESSMENT YEARS AGAINST THE ISSUE MAY BE RECTIFIED. 3. WE HAVE HEARD BOTH THE SIDES AND PERUSED THE COMMON ORDER PASSED BY THE TRIBUNAL IN I.T.A. NOS. 1676 & 1677/CHNY/2019 DATED 12.09.2019 FOR THE ASSESSMENT YEARS 2013-14 & 2016-17. IT IS AN UNDISPUTED FACT THAT IN BOTH THE ASSESSMENT YEARS THE REVENUE HAS RAISED THE GROUND RELATING TO DELETION OF M.P. NO. 307/CHNY/19 3 DISALLOWANCE OF COST OF CONSTRUCTION OF THE BUILDING ON THE LEASEHOLD LAND. HOWEVER IN THE ORDER AT PARA 2 BY OVERSIGHT IT WAS MENTIONED AS UNDER: 2. LETS FIRST TAKE ASSESSMENT YEAR 2013-14. THE ONLY ISSUE ARISES FOR CONSIDERATION IS DISALLOWANCE OF COST OF CONSTRUCTION OF THE BUILDING ON THE LEASEHOLD LAND. THE ABOVE PARA 2 IS RECTIFIED AS UNDER: 2. THE ONLY COMMON ISSUE RAISED IN BOTH THE ASSESSMENT YEARS FOR CONSIDERATION IS RELATING TO DISALLOWANCE OF COST OF CONSTRUCTION OF THE BUILDING ON THE LEASEHOLD LAND. 4. THE OTHER PART OF THE ORDER ON THE ABOVE ISSUE REMAINS SAME FOR BOTH THE ASSESSMENT YEARS. AS HAS BEEN THE SUBMISSIONS OF THE LD. COUNSEL FOR THE ASSESSEE FRESH ADJUDICATION OF THE SAME ISSUE AS CLAIMED BY THE REVENUE IN THE MISCELLANEOUS PETITION WHICH WAS ADJUDICATED IN THE ASSESSMENT YEAR 2013-14 IS UNWARRANTED OTHERWISE IT WOULD TANTAMOUNT TO READJUDICATION OF THE GROUND WHICH WAS ALREADY ADJUDICATED IN THE APPEAL ORDER WHEN NO APPARENT MISTAKE WAS CREPT IN THE OPERATIVE PORTION OF THE APPEAL ORDER. 5. IN THE RESULT THE MP FILED BY THE REVENUE IS PARTLY ALLOWED. ORDER PRONOUNCED ON THE 19 TH MARCH 2021 IN CHENNAI. SD/- SD/- (G. MANJUNATHA) ACCOUNTANT MEMBER (DUVVURU RL REDDY) JUDICIAL MEMBER CHENNAI DATED 19.03.2021 VM/- M.P. NO. 307/CHNY/19 4 /COPY TO: 1. /APPELLANT 2. / RESPONDENT 3. ( )/CIT(A) 4. /CIT 5. /DR & 6. /GF.