Nellimarla Jute Mills Co. Ltd. v. DCIT, Circle-1(2), Kolkata
[Citation -2019-LL-1001-86]

Citation 2019-LL-1001-86
Appellant Name Nellimarla Jute Mills Co. Ltd.
Respondent Name DCIT, Circle-1(2), Kolkata
Court ITAT-Kolkata
Relevant Act Income-tax
Date of Order 01/10/2019
Assessment Year 2014-15
Judgment View Judgment
Keyword Tags unpaid sales tax liability • deferred payment
Bot Summary: Sh. Radhey Shyam, CIT, appeared on behalf of the Revenue. Date of concluding the hearing September 18th, 2019 Date of pronouncing the order October 1st, 2019 ORDER Per J. Sudhakar Reddy, AM:- This is an appeal filed by the assessee directed against the order of the Commissioner of Income Tax-1, Kolkata for short) dated 26.07.2018 passed u/s 250 of the Income Tax Act, 1961, on the following grounds: 1. That Ld. CIT was wrong in not considering the relevant orders of Govt, of Andhra Pradesh in permitting the deferment of Sales Tax collected by the appellant and same be deemed to have been paid. That the addition of Rs. 1,06,07,911/- made by Ld. A.O. and confirmed by Ld. CIT is contrary to the orders of Govt, of Andhra Pradesh and settled legal position on the issue. We may add, alter, amend or withdraw any grounds of appeal on or before the date of hearing. After hearing rival contentions, we are convinced with the submissions of the parties that the issue has to be restored to the file of the Assessing Officer for fresh adjudication in accordance with law, as the AO may have to make enquiries and examine the orders of the Government of Andhra Pradesh as well as the 2 I.T.A. No. 2131/Kol/2018 Assessment Year: 2014-15 Nellimarla Jute Mills Co. Ltd. latest CBDT circular on this sole issue of deferment of Sales Tax. CIT(A) have not considered the CBDT Circular No. 674 dated 29.12.1993.


IN INCOME TAX APPELLATE TRIBUNAL KOLKATA B BENCH, KOLKATA (Before Sri J. Sudhakar Reddy, Accountant Member & Sri S.S. Godara, Judicial Member) I.T.A. No. 2131/Kol/2018 Assessment Year: 2014-15 Nellimarla Jute Mills Co. Ltd. Appellant [PAN : AABCN 5591 M] Vs. DCIT, Circle- 1(2), Kolkata. Respondent Appearances by: Sh. Subash Agarwal, Adv., appeared on behalf of Assessee. Sh. Radhey Shyam, CIT, appeared on behalf of Revenue. Date of concluding hearing September 18th, 2019 Date of pronouncing order October 1st, 2019 ORDER Per J. Sudhakar Reddy, AM:- This is appeal filed by assessee directed against order of Commissioner of Income Tax (Appeals)-1, Kolkata ( CIT(A) for short) dated 26.07.2018 passed u/s 250 of Income Tax Act, 1961 ( Act for short), on following grounds: 1. That Ld. CIT (Appeals) erred in confirming addition of Rs. 1,06,07,911/- as unpaid Sales Tax invoking Sec 43B of Act, when such payment was allowed to be deferred by Govt, of Andhra Pradesh. 2. That Ld. CIT (Appeals) was wrong in not considering relevant orders of Govt, of Andhra Pradesh in permitting deferment of Sales Tax collected by appellant and same be deemed to have been paid. 3. That addition of Rs. 1,06,07,911/- made by Ld. A.O. and confirmed by Ld. CIT (Appeals) is contrary to orders of Govt, of Andhra Pradesh and settled legal position on issue. 4. We may add, alter, amend or withdraw any grounds of appeal on or before date of hearing. 2. After hearing rival contentions, we are convinced with submissions of parties that issue has to be restored to file of Assessing Officer ( AO for short) for fresh adjudication in accordance with law, as AO may have to make enquiries and examine orders of Government of Andhra Pradesh as well as 2 I.T.A. No. 2131/Kol/2018 Assessment Year: 2014-15 Nellimarla Jute Mills Co. Ltd. latest CBDT circular on this sole issue of deferment of Sales Tax. AO as well as ld. CIT(A) have not considered CBDT Circular No. 674 dated 29.12.1993. 3. ld. DR submitted that, issue may be set aside for examination by AO. 4. In view of above, we restore matter to file of AO for fresh adjudication in accordance with law. 5. In result, appeal of assessee is allowed for statistical purposes. Kolkata, 1st October, 2019. Sd/- Sd/- [S.S. Godara] [J. Sudhakar Reddy] Judicial Member Accountant Member Dated 01.10.2019 Bidhan Copy of order forwarded to 1. Nellimarla Jute Mills Co. Ltd., 3A, Shakespeare Sarani, Kolkata- 700 071. 2. DCIT, Circle- 1(2), Kolkata. 3. CIT(A)-1, Kolkata. (sent through mail) 4. CIT- 5. CIT(DR), Kolkata Benches, Kolkata. (sent through mail) True copy By order Assistant Registrar ITAT, Kolkata Benches Nellimarla Jute Mills Co. Ltd. v. DCIT, Circle-1(2), Kolkata
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