Mumbai Court August 2005 Judgments

Commissioner of Income-tax Vs. Mandovi Hotel Pvt. Ltd.

Court: Mumbai

Reported in: 2006(3)BomCR352; (2006)203CTR(Bom)56

Lodha R.M., J.1. This appeal is at the instance of the revenue and it raises the following substantial question of law:Whether on the facts and in the circumstances of the case, the amount of Rs. 1,34,678/-paid by the Assessee to the retiring partners is in the nature of revenue expenditure or capital expenditure?The aforesaid question arises in the facts and circumstances that may be briefly noticed by us:M/s. Apurva Enterprises was a partnership firm constituted under the instrument of Partnership Deed dated 12th July, 1982. The partnership firm had three partners, namely (i) Narcinva Purxotoma Quenim; (ii) Smt. Crisnabai Vaman Quenim and (iii) Mandovi Hotels Private Limited. The partnership firm came into effect from 1st April, 1982 and was engaged in the business of running hotels. Vide Memorandum of Understanding entered into between the parties on 6th August, 1990, the parties decided that the two partners, namely Narcinva Purxotoma Quenim and Smt. Crisnabai Vaman Quenim would di...

Shriram Industries Vs. State of Maharashtra and ors.

Court: Mumbai

Reported in: 2006(1)ALLMR180; 2006(2)BomCR794

Dharmadhikari B.P., J.1. By this petition under Articles 226 and 227 of the Constitution of India, the petitioner an Industrial Unit challenges the notice dt. 12-7-1993 issued by the respondent No. 3 Sub-Registrar, calling upon the petitioner to pay the deficit amount of stamp duty and also registration fees. This Court has on 20-8-1993 issued Notice before admission and on 14-9-1993 Rule was made returnable early. However, this Court has not stayed the said notice. 2. Advocate Kaptan, who appears for petitioner invites attention of the Court to the notification dated 19-3-1990, by which the Government had remitted stamp duty in exercise of powers under Section 9(a) of the Bombay Stamp Act, 1958. He points out that if the loan is advanced for the purpose of purchasing fixed assets, such as machinery, lands and buildings, for the purpose of starting any new industrial unit or for extending or expanding and or diversifying any existing industrial unit, the said remission becomes applicab...

Cit Vs. Mandovi Hotel (P) Ltd.

Court: Mumbai

Reported in: [2006]284ITR129(Bom); [2006]152TAXMAN361(Bom)

R.M. Lodha, J. This Appeal is at the instance of the revenue and it raises the following substantial question of law :-'Whether on the facts and in the circumstances of the case, the amount of Rs. 1,34,678 paid by the assessee to the retiring partners is in the nature of revenue expenditure or capital expenditure?'The aforesaid question arises in the facts and circumstances that may be briefly noticed by us :M/s. Apurva Enterprises was a partnership firm constituted under the instrument of Partnership Deed dated 12-7-1982. The partnership firm had three partners, namely (i) Narcinva Purxotoma Quenim; (ii) Smt. Crisnabai Vaman Quenim; and (iii) Mandovi Hotels Private Limited. The partnership firm came into effect from 1-4-1982 and was engaged in the business of running hotels. Vide Memorandum of Understanding entered into between the parties on 6-8-1990, the parties decided that the two partners, namely Narcinva Purxotoma Quenim and Smt. Crisnabai Vaman Quenim would disassociate from th...

Commissioner of Customs, Acc Vs. India Extrusion

Court: Customs Excise and Service Tax Appellate Tribunal CESTAT Mumbai

Reported in: (2005)(190)ELT445Tri(Mum.)bai

1. Revenue is in appeal. The Respondents have imported various consignments of Cable Sealing Systems and filed refund claims on the ground that the item was correctly assessable under CTH 8547. Along with other such importers, a Writ Petition in 1989 on the classification of the said item was filed in the Bombay High Court. The refund in this appeal pertain to the period prior to the filing of the said Writ petition. By Order dated 2/3-3-1993 the Hon'ble Bombay High Court held the item to be classified under CTH 8547. The refund claims were therefore, required to be decided; the respondents herein had filed a consolidated refund claim vide their letter dated 6-7-1989 and this consolidated refund claim letter filed separately has not been considered by the Revenue on the ground that - (a) not filed within time prescribed under Section 27 of the Customs Act, 1962; (b) since this letter was addressed to Asstt. Commissioner, Customs, Airport, Sahar, Mumbai and not to Asstt. Commissioner C...

Himson Textiles Engg. Indus. P. Vs. Commr. of C. Ex.

Court: Customs Excise and Service Tax Appellate Tribunal CESTAT Mumbai

Reported in: (2005)(190)ELT449Tri(Mum.)bai

1. The dispute between the appellant and the revenue was settled by the Tribunal in favour of the appellant vide its Order No. 470/2000/B, dated 29-3-2000 when their appeal was allowed with consequential relief. As such, appellant became entitled to refund of Rs. 3,20,473/- which was sanctioned by the Deputy Commissioner vide his order dated 8-4-2002. However, they were not given any interest on the said refunded amount. Being aggrieved with the said order on the point of interest appellant filed an appeal before Commissioner (Appeals).Appellate authority observed that the appellate did not make any request for grant of interest at the time of filing refund claim and as the order of Deputy Commissioner did not discuss the issue of interest, appeal on the said point cannot be entertained.2. However, I feel that entitlement to interest is not dependent upon the appellant making a request to that effect. Interest is integrally associated with the claim of refund, and in case of grant of ...

Lakhanpal National Ltd. Vs. Commr. of C. Ex.

Court: Customs Excise and Service Tax Appellate Tribunal CESTAT Mumbai

1. The issue relates to whether freight and insurance charges incurred while transporting the goods from the factory gate to the depots from where the goods are sold, should be added to the assessable value of the goods after Section 4 of Central Excise Act was amended w.e.f.28-9-1996 or not. The said amendment inter alia enabled the Department to charge Central Excise duty on the value at which goods are cleared from a depot.2. The appellants were clearing their goods into domestic market from their depots. After the amendment to Section 4 w.e.f. 28-9-96, they started including the freight and transit insurance expenses incurred by them while transporting the excisable goods from the factory gate to the depots, in the assessable value and discharged Central Excise duty accordingly. The appellants claim that they were compelled to do so and paid the said duty under protest.3. The appellant filed applications for refund dated 30-4-97 for Rs. 5,28,397.58 and Rs. 9,34,903.62 being the am...

Indian Plywood Manufacturing Co. Vs. Commr. of C. Ex.

Court: Customs Excise and Service Tax Appellate Tribunal CESTAT Mumbai

2. The applicants were manufacturers of plywood falling under erstwhile item 16B of the First Schedule to the Central Excise and Salt Act, 1944 and thereafter under Chapter 44 of the New Tariff. The appellants were availing pro-forma credit under Notification No. 201/79, dated 4-6-1979 in respect of duty paid veneers, falling under erstwhile Item 68 and thereafter under Chapter 44 of the Tariff, used in the manufacture of Plywood up to 28-2-1986. The Central Government issued Notification No.225/86 dated 3-4-1986, which was amended by the Notification No.338/86, dated 11-6-1986. The appellants were having huge quantity or duty paid veneers in stock and were eligible to take set off of duty paid on veneers, which was in stock on 11-6-1986. The veneers were received from 3-3-1986 to 5-6-1998.3. The appellants filed refund claim for a sum of Rs. 1,08,675.19, which was rejected by the Asst. Collector of Central Excise, Hubli. The appellants filed appeal against the said order, which was r...

Maharashtra State Government Vs. Ito Ward 29(4)

Court: Income Tax Appellate Tribunal ITAT Mumbai

Reported in: (2005)4SOT795(Mum.)

This is a bunch of nine appeals, five filed by the assessee and four filed by the department. The fact matrix is common and issues raised are also common, i.e., whether interest income earned on fixed deposits will be taxable in the hands of the assessee who is a confederation of various unions/ associations of Maharashtra State Government Employees.Each of these employees deposited funds ranging from Rs. 20,000 to Rs. 35,000 with the confederation for the purposes of house building and such funds were deposited by the confederation in the bank which fetched interest. The assessing officer had taxed entire interest received in the hands of the confederation in various assessment years treating it as an AOP. The CIT(A) had allowed relief of the interest paid back to the members who had opted out from the scheme. The assessee is in appeal against that portion of interest income sustained by the CIT(A) as its income whereas the department is in appeal against the relief allowed by the CI...

Dy. Cit. Vs. Excel Industries Ltd.

Court: Income Tax Appellate Tribunal ITAT Mumbai

Reported in: (2006)5SOT235(Mum.)

These four appeals, two by the department and two by the assessee involve common issue of collection of deficit tax under section 201 and interest under section 201(1A) on non-deduction of tax at source by the employer (i.e. M/s. Excel Industries Ltd., the assessee) on payment of salary by not including therein conveyance allowance paid by it to its employees. Since facts are common, they are disposed off by this common order for convenience.The facts of the case are that : for the assessment year 1996-97, the assessee filed annual return of salary under section 206 read with.Rule 36 on 30-5-1996 declaring total TDS at Rs. 71,74,672. On being asked to furnish the details in respect of salaries paid as well as to explain the nature of perquisites and allowances paid, the assessee submitted the details from time to time. One of the details so furnished was as under : "The calculation of income-tax by disallowing the conveyance allowance in respect of Employees of the company amounting t...

Maharashtra State Government Vs. Income Tax Officer

Court: Income Tax Appellate Tribunal ITAT Mumbai

Reported in: (2005)98TTJ(Mum.)993

1. This is a bunch of nine appeals, five filed by the assessee and four filed by the Department. The fact matrix is common and issues raised are also common, i.e., whether interest income earned on fixed deposits will be taxable in the hands of the assessee who is a confederation of various unions/associations of Maharashtra State Government employees.Each of these employees deposited funds ranging from Rs. 20,000 to Rs. 35,000 with the confederation for the purposes of house building and such funds were deposited by the confederation in the bank which fetched interest. The AO had taxed entire interest received in the hands of the confederation in various assessment years treating it as an AOP. The CIT(A) had allowed relief of the interest paid back to the members who had opted out from the scheme. The assessee is in appeal against that portion of interest income sustained by the CIT(A) as its income whereas the Department is in appeal against the relief allowed by the CIT(A). For the...