Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

Citizen Credit Co-operative Bank Limited Versus DCIT-Range-1 (2) , Mumbai

2016 (7) TMI 702 - ITAT MUMBAI

Denial of deduction u/s. 36(1) (viii) - FAA rejected the claim made by the assessee, that in the AY 2012-13, in similar circumstances the CPC had accepted the claim made by the assessee - Held that:- FAA is empowered to entertain a new claim, even if a fresh return of income is not filed by the assessee . It is also a fact that for the subsequent year the CPC has allowed the similar claim of deduction made by it. Therefore, we are of the opinion that in the interest of justice, matter should be .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ut denial of deduction of ₹ 1. 42 Crores, u/s. 36(1) (viii)of the Act. Brief Facts : 2. Assessee-bank filed its return of income on 28. 09. 2011, declaring income of ₹ 24. 91 Crores. As per the acknowledgement generated, on return electronically transmitted, the income was same. Central Processing Center (CPC)vide its intimation issue u/s. 143(1)of the Act, determined the income of the assessee at ₹ 27. 12 Crores. Thus, there was difference of ₹ 2. 20 Crores between the i .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ount of deduction u/s. 36(1)(viii) of the Act (Rs. 1. 42 Crores)and double disallowance of investment depreciation allowance(Rs. 78. 93 lakhs). The AO while completing the assessment did not accept both the claims for the reason that supporting documents were not filed by the assessee . 3. Aggrieved by the order of the AO, the assessee preferred an appeal before the First Appellate Authority (FAA). Before him, the assessee reiterated the facts which had been narrated by us in the earlier paras. .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ure at ₹ 24, 91, 05, 826/- as against the figure of ₹ 26. 92 crores, shown in the original return, that such a change in data was not accepted because it did not match with the other relevant data already filed for the purpose of arriving at the net profit from the business/profession, that a perusal of the columns of the e-return revealed that there was no specific claim made u/s. 36(1)(viii), that no deduction was claimed in the relevant columns for an amount of ₹ 1. 42 crore .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e course of hearing before us, the Authorised Representative (AR) contended that deduction u/s. 361)(viii) was allowable to a co-operative bank to the extent of 25% of the income assessed under the head business or profession if it was carried to the reserve account, that in the e-return of income there was no separate column for specifying the deduction u/s. 36(1)(viii) to the amount carried to special reserve, that the only column provided was title, transfer to reserve and surplus, that accor .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

of deduction u/s. 36(1)(viii), that an application filed by the assessee for rectification intimation was revised and the original returned income was accepted (Pg-115-118 of the PB), he relied upon the case of Pruthvi Brokers and Shareholders Pvt. Ltd. (349ITR336), of the Hon'ble Bombay High Court. The Departmental Representative(DR)argued that the assessee had not filed a revised return for the new claim, that the AO had rightly negated the claim. 5. We have heard the rival submissions and .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

lect due taxes for State Exchequer. For collecting the taxes and assessing the income, procedure has been laid down. It is true that without following a certain procedure, no system can work. But, the procedure cannot take place of substance. The Act contain provisions that deal with assessment, re-assessment and rectification of mistakes/revision of orders etc. The basic purpose of all these exercises is that Sovereign is not deprived of its share of taxes and the taxpayers are not fastened wit .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

rs, did not allow the correction of mistake. The stand taken by the AO and the CPC resulted in non adjudication of an issue that would have been decided, had there been no CPC. We are unable to understand as to whether the computerisation is meant for making the life of a common taxpayer easier or to complicate the assessment procedure. Leaving the discussion behind, we would like to hold that the stand taken by the FAA cannot be endorsed. As an appellate authority and a senior officer of the de .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     bird's eye view     ↓  


|| 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