Commissioner of Income-tax, Kolkata-II v. M/s. Vinson Brothers (P) Ltd
[Citation -2015-LL-0511-12]

Citation 2015-LL-0511-12
Appellant Name Commissioner of Income-tax, Kolkata-II
Respondent Name M/s. Vinson Brothers (P) Ltd.
Court HIGH COURT OF CALCUTTA
Relevant Act Income-tax
Date of Order 11/05/2015
Assessment Year 2003-04
Judgment View Judgment
Keyword Tags speculation business • speculation loss • written off • bad debt
Bot Summary: Loss on speculation business can be set off only from the income of speculation business Whether on the facts and in the circumstances of the case Income Tax Appellate Tribunal erred in deleting the disallowances on account of additional claim made by the assessee company as Bad Debt written off for Rs.20,34,724/- It would appear from a comparison of question nos. Since the money could not be recovered during the relevant previous year the aforesaid 3 sum was written off. Once the sum was written off there can be no further question of the appeal being entertained with regard to those two questions. Iii) is concerned it appears that the learned Tribunal has restored the matter to the file of the assessing officer for further enquiry and for a finding in accordance with law. We are told that the exercise has been completed and thereafter the matter once again is before the learned Tribunal. Ii) is concerned we find that on behalf of Revenue an admission was made before the learned Tribunal that the point is covered in favour of the assessee. Iii) is once again before the learned Tribunal after the matter has been examined by the assessing officer, it will also be proper that the Tribunal shall reconsider the question no.


ORDER SHEET ITAT 7 OF 2011 IN HIGH COURT AT CALCUTTA Special Jurisdiction (Income Tax) ORIGINAL SIDE COMMISSIONER OF INCOME TAX, KOLKATA-II Versus M/S. VINSON BROTHERS (P) LTD. BEFORE: Hon'ble JUSTICE GIRISH CHANDRA GUPTA Hon'ble JUSTICE ARINDAM SINHA Date : 11th May, 2015. For appellant : Mr.R.N.Bandyopadhyay,Advocate Mr.P.Dhudheria,Advocate For Respondent/assessee : Mr.R.K.Murarka,Advocate Mrs.Sutapa Roychowdhury,Advocate Court : appeal was presented in year 2010. Thereafter, no steps were taken until matter was listed suo motu by Court. Copy has been served.Mr.Murarka has appeared on behalf of assessee. appeal is directed against judgement and order dated 18th March, 2010 pertaining to assessment year 2003-2004. revenue/appellant has suggested following questions : (i) Whether on facts and circumstances of case Ld.Income Tax Appellate Tribunal erred in law in upholding order of Commissioner of Income Tax (Appeal) deleting addition of accrued 2 interest amount of Rs.20,34,274/- without appreciating provision contained in section 5(1)(b) of Income Tax Act, 1961 ? (ii) Whether on facts and circumstances of case Ld.Income Tax Appellate Tribunal erred in Law in upholding order of Commissioner of Income Tax (Appeal) deleting disallowance of NPA for Rs.59,88,087/- treating same as allowable expenditure ? (iii) Whether on facts and circumstances of case Ld.Income Tax Appellate Tribunal erred in law in upholding order of Commissioner of Income Tax (Asppeal) allowing adjustment of speculation loss with dividend income i.e. income from other sources without appreciating fact that as per section 73(1) of Income Tax Act, 1961. Loss on speculation business can be set off only from income of speculation business ? (iv) Whether on facts and in circumstances of case Income Tax Appellate Tribunal erred in deleting disallowances on account of additional claim made by assessee company as Bad Debt written off for Rs.20,34,724/-? It would appear from comparison of question nos.(i) and (iv) that both of them relate to addition of sum of Rs.20,34,274/- on account of interest. It appears from findings recorded by CIT (Appeal) that aforesaid sum was actually credited by assessee during financial year 2000-01. Since money could not be recovered during relevant previous year aforesaid 3 sum was written off. dispute was sought to be raised as regards actual writing off of aforesaid amount. Both CIT (Appeal) and learned Tribunal have come to concurrent finding that sum was, in fact, written off by assessee. Once sum was written off there can be no further question of appeal being entertained with regard to those two questions. question nos.(i) and (iv), thus, are disposed of. In so far as question no.(iii) is concerned it appears that learned Tribunal has restored matter to file of assessing officer for further enquiry and for finding in accordance with law. We are told that exercise has been completed and thereafter matter once again is before learned Tribunal. In so far as question no.(ii) is concerned we find that on behalf of Revenue admission was made before learned Tribunal that point is covered in favour of assessee. But revenue made summersault and has now preferred appeal. Mr.Murarka with some justification submitted that this practice cannot be allowed. submission advanced by Mr.Murarka may have some substance but at same time if litigant is represented by inefficient lawyer it cannot be said that he does not have right to judgement in accordance with law. Therefore, question needs to be considered in accordance with law. 4 Since question no.(iii) is once again before learned Tribunal after matter has been examined by assessing officer, it will also be proper that Tribunal shall reconsider question no.(ii) in accordance with law. appeal is thus disposed of. (GIRISH CHANDRA GUPTA, J.) (ARINDAM SINHA, J.) ssaha AR(CR) Commissioner of Income-tax, Kolkata-II v. M/s. Vinson Brothers (P) Ltd
Report Error