New User   Login      
Tax Management India .com TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

2015 (11) TMI 589 - ITAT JAIPUR

2015 (11) TMI 589 - ITAT JAIPUR - TMI - Disallowance of payment towards Energy conservation Contribution expenses - whether expenditure not incidental to the business of the assessee? - Held that:- The assessee company has nominated as a State Designated Agency of Bureau of Energy Efficiency, Ministry of Power, Government of India on March, 2003 for promote efficient use of energy and its conservation and also enforce the provisions of energy conservation Act, 2001. The company was incorporated .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

nce of power stations and projects and sale of power generated in accordance with the state policy and broad economic consideration. To promote, support assist, sponsor the use of non-conventional energy sources in the country or abroad and disseminate useful knowledge and understanding in the various fields of non-conventional energy among mass. The assessee paid ₹ 5 lacs to perform the object of the company. This amount was paid towards energy conservation contribution fund, which is sta .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ssee but was open to all who wanted to participate could not alter the character of expenses incurred by way of contribution to such fund by the assessee from his benefit to other benefits. Thus we are of the considered view that the assessee has incurred expenses wholly and exclusively for business purposes - Decided in favour of assessee. - ITA No. 983/JP/2013 - Dated:- 30-9-2015 - SHRI T.R.MEENA, AM & SHRI LALIET KUMAR, JM For The Assessee : Shri Mukesh Goyal (CA) For The Revenue : Shri O .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ough wind mills. The assessee company filed its return on 29/09/2008 declaring total income of ₹ 39,73,280/-. The case was scrutinized U/s 143(3) of the Income Tax Act, 1961 (in short the Act). The ld Assessing Officer observed that the assessee had debited ₹ 5 lacs in P&L account towards energy conservation contribution expenses. The Assessing Officer gave reasonable opportunity of being heard on this issue. The assessee submitted before the Assessing Officer that as per the dir .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

t order of the State Government is enclosed herewith for your ready reference. After considering the assessee s reply, it has been held that contribution made by the assessee cannot be said to be incidental to the business of the assessee. These expenses can also not said to be incurred wholly and exclusively for the business purpose of the assessee. Accordingly, he made addition of ₹ 5 lacs in the income of the assessee. 3. Being aggrieved by the order of the Assessing Officer, the assess .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

. Hence, considering the entire facts and circumstances of the case the addition made by the A.O. is fair and reasonable and the same is sustained. The appellant fails on this ground. 4. Now the assessee is appeal before us. The ld AR of the assessee has submitted that the company is State Nodal Agency of Ministry of New & Renewable Energy (MNRE) for development and promotion of Renewable Sources of energy in the State of Rajasthan. The company is nominated as a State Designated Agency (SDA) .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ed Agency to take all measures to create awareness and disseminate information for efficient use of energy and its conservation and for undertaking awareness programme for consumers, industrial and commercial sectors, educational institutions, farmers and others; ii to meet the expenditure incurred by the State Designated Agency for training of personnel and specialists for efficient use of energy and its conservation. iii for promotion of Research and Development in the field of Energy Conserva .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ces and systems. vii to meet the matching grant to the centrally sponsored schemes and schemes of Bureau of Energy Efficiency implemented in the State of Rajasthan. viii to provide subsidy for use of any energy efficient or energy conservation device or machinery notified by the State Government. ix to meet the expenses incurred by the State Designated Agency for implementing the provisions of the Act and x to meet the expenses incurred by the State Designated Agency on staff for dedicated Energ .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ing and preparation of preliminary feasibility and define project reports, construction, generation operation and maintenance of power stations and projects and sale of power generated in accordance with the state policy and broad economic consideration. (ii) To promote, support assist, sponsor the use of nonconventional energy sources in the country or abroad and disseminate useful knowledge and understanding in the various fields of non-conventional energy among mass. He placed reliance on the .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

aterial available on the record. The assessee company has nominated as a State Designated Agency of Bureau of Energy Efficiency, Ministry of Power, Government of India on March, 2003 for promote efficient use of energy and its conservation and also enforce the provisions of energy conservation Act, 2001. The energy Department has constituted Rajasthan State Energy Conservation Fund (RSECF) vide order dated 01/06/2006 as per Section 16 of Energy Conservation Act, 2001 to achieve the object prescr .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version