Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (2003)87ITD457(Kol.)
..... reads as under : provided always that no deduction shall be made under this clause, if it has already been made under section 7 of this act in the assessment under the indian income-tax act: provided further that in cases of agricultural income from cultivation and manufacture of tea the agricultural income for the purposes of this act shall be deemed to be that portion of the income from cultivation, manufacture and sale which is agricultural income within the meaning of the ..... cit was thus of the view that the order passed by the assessing officer under section 143(3) was erroneous insofar as it is prejudicial to the interests of revenue.3. ..... held that where two views are possible and the ito has taken one view with which the commission does not agree, the order cannot be said to be erroneous insofar as it is prejudicial to the interests of revenue.since the view expressed by us relating to the admissibility of deduction on account of cess is in conformity with the view taken by the assessing officer at best the view expressed by the ld.commissioner may be said to be another possible view. ..... the light of the above position of law, the order of the assessing officer cannot be said to be erroneous insofar as prejudicial to the interests of the revenue.35. ..... (supra), the issue came up for consideration of the supreme court as to whether the interest paid by the assessee engaged in the business of manufacture or sale of sugarcane for the delayed payment of the cess is allowable as a .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (2004)88ITD1(Kol.)
..... however, the provisions of sub-section (4) of section 67, which deals with set off or carry forward of share of loss of a partner in a registered firm do not find place in section 67a, because there are no provisions in the income-tax act for the set off or carry forward of the share of loss of a member in an association or body in his own assessment. ..... following question may be referred to a third member or to pass such orders as the hon'ble president may desire- whether, on the facts and in the circumstances of the case, the order passed under section 263 of the income-tax act, 1961 by the commissioner of income-tax by which it was directed that the loss incurred by the assessee-aop is to be apportioned among the members of the aop as per the profit-sharing rato of the members, is justified in law whereas ..... and the balance ascertained and apportioned among the members in the proportions in which they are entitled to share in the income of the association or body; (b) where the amount apportioned to a member under clause (a) is a profit, any interest, salary, bonus, commission or remuneration aforesaid paid to the member by the association or body in respect of the previous year shall be added to that amount, and the result shall be treated as the member's share in the income of the ..... the purpose to be achieved is that not to allow any portion of income of the aop to escape tax burnt.24. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (2004)89ITD44(Kol.)
..... for the purpose of making investment in certain shares and paid interest thereon during the accounting period relevant to the assessment year but did not receive any dividend on the shares purchased with those monies : held, accordingly, that the interest on monies borrowed for investment in shares which had not yielded any dividend was admissible as a deduction under section 57(iii) of the income-tax act, 1961, in computing its income from dividend under the ..... or held on investment portfolio as an integral part of the business is allowable in its entirety under section 36(1)(iii) of the act, which states that the deduction for the amount of the interest paid in respect of capital borrowed for the purpose of the business or profession shall be allowed in computing the business income referred to in section 28 of the act, and that any portion of that interest is not to be allocated as against income from dividends, though it is assessable under the head "income from other sources". ..... trade would amount to business income notwithstanding the fact that they are otherwise assessable under different heads by virtue of specific provisions of the act, and as such it would be contended that interest paid on the monies borrowed which were utilised for the purchase of shares to be held as stock-in-trade amounts to interest paid for the purpose of the business and, therefore, fully allowable as deduction under section 36(1)(iii) without treating the same as relatable to earning of dividend .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (2005)1SOT205(Kol.)
..... 1 lakh received from two loan creditors as unexplained credit under section 68 of the income tax act in the hands of the appellant firm.2. ..... as we have deleted the addition made on account of unexplained cash credit under section 68 of the act, the disallowance of interest paid on the loans also stands deleted and, accordingly, grounds of appeal are allowed. ..... the loan transactions are through bank and the creditors are existing income-tax assessees and their income-tax assessment file nos. ..... the learned counsel has relied on the confirmation of statement of accounts of the creditors wherein the creditors have confirmed the transactions and have also mentioned their income-tax assessment file nos. ..... this appeal by the assessee for the assessment year 1994-95 is directed against the order of the cit (a). ..... the learned cit (a)-xlx, kolkata erred in confirming the action of the assessing officer in treating of the loans of rs. ..... we find that the assessing officer was informed about the new address of the creditors vide communication of the assessee in writing. ..... the learned counsel argued that the assessing officer had sent summons at the old address, although the new address was furnished by the assessee before the assessing officer. ..... were also furnished to the assessing officer. ..... he argued that the assessee could not discharge its onus since it could not produce the creditors before the assessing officer. ..... the learned cit (a) erred in confirming the disallowance of interest amounting to rs. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1982)1ITD223(Kol.)
..... their lordships were no doubt considering the provisions of section 21(4) of the wealth-tax act but those provisions are analogous to the provisions under the income-tax act and they have full force at page 598 the dictum laid down can be better understood by quoting their lordships : ...the wealth-tax officer has to determine who are the beneficiaries in respect of the remainder on the relevant date and whether their ..... admission of the additional ground the scope of the appeal would get enlarged and the result may be that the assessment would be struck down and the revenue, who is the appellant, would be worse of than what it was before ..... the position has to be seen in the relevant valuation date as if the proceeding life interest had come to an end on that date and if, on that hypothesis, it is possible to determine who precisely would be the beneficiaries and on what determinate shares, sub-section (1) of section 21 must apply and it would be a matter of no consequence that the number of beneficiaries may vary in the future either by reason of some beneficiaries ceasing to exist or some ..... the applicability of sub-section (1) of section 21 to say that the beneficiaries are indeterminate and unknown because it cannot be predicted who would be the beneficiaries in respect of the remainder on the death of the owner of the life interest. ..... learned departmental representative pointing out clause 3(d) states that the interest of the beneficiary is only contingent upon happening of the .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1982)1ITD857(Kol.)
..... these appeals relate to the assessment years 1970-71 to 1975-76 and are directed against the consolidated order of the aac dated 17-9-1980 wherein he held that the taxes deducted at source from the salaries of the employees but remaining unpaid to the credit of the central government for more than 12 months, were not covered by section 2(m)(iii) of the wealth-tax act, 1957, and accordingly deductible in the computation of net wealth. ..... at the outset, we wish to point out that sub-clause (hi) of section 2(m) deals with debts or liabilities by way of tax, penalty or interest payable in consequence of any order passed under or in pursuance of the income-tax act or other acts. ..... items (a) and (b) of section 2(m)(iii) clearly show that the amount of tax, penalty or interest payable could be such that the assessee can claim in appeal, revision or other proceedings as not being payable by him or, although it is not so claimed but nevertheless outstanding for a period of more than 12 months on the valuation date.the preamble of sub-clause (hi) of section 2(m) provides for exclusion of the tax, penalty or interest payable in consequence of any order passed under or in pursuance of the stated acts. ..... according to sub-section (2) of section 201 of the income-tax act, the tax deducted but not paid together with simple interest payable thereon, if any, for delayed payment shall be a charge upon all the assets of the person or the company, as the case may be. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1985)13ITD288(Kol.)
..... members of certain companies on the income deemed to have been distributed as dividend, section 23b deals with assessment in case of departure from taxable territories, section 24b deals with collection of tax out of the estate of deceased persons, section 25 deals with assessment in case of discontinued business, section 25a with assessment after partition of hindu undivided families and sections 29, 31, 33 and 35 deal with the issue of demand notices and the filing of appeals and for reviewing assessment and section 34 deals with assessment of incomes which have escaped assessment. ..... to which, when the process if sought to be enforced against the legal representative in respect of an asset inherited from a dead person only the provisions of sections 14, 15 and 17 of the 1957 act are to apply qua the legal representatives.it is because of the absence of section 18 of the 1957 act in sub-section (3) of section 19 that probably influenced their lordships to hold that the legal representative of an assessee could not be liable for penalty in respect of a default committed by the deceased.the said authority, therefore, is not ..... the assessee in this case was an individual deriving income from salary, interest on security, house property, dividend, etc. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1985)14ITD172(Kol.)
..... this is, therefore, a case where the original assessment, wherein investment allowance under section 32a of the income-tax act, 1961 has been wrongly granted, is erroneous being prejudicial to the interests of the revenue, thereby attracting the provisions under section 263 of the income-tax act, 1961 2. ..... in this case, there is no such processing involved, which alone would entitle the assessee to the granting of investment allowance under section 32a of the income-tax act, 1961 and, in the circumstances, i hold that the assessee-firm's claim for investment allowance on the assets in question should not be considered at the time of making the income-tax assessment. ..... in regard to the granting of investment allowance under section 32a of the income-tax act, 1961, the primary condition that has to be satisfied is that the new machinery or plant installed after the 31st day of march, 1976 is to be engaged for the purposes of business of manufacture or production of any goods or article, which, ..... the assessee was allowed the investment allowance under section 32a of the income-tax act, 1961 ('the act') at rs. ..... , required by a company is a business which consists wholly of 'manufacture of goods' within the meaning of clause (ii) of explanation 2 to section 23a of the indian income-tax act, 1922. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1985)14ITD278(Kol.)
..... income ought to be considered afresh now, notwithstanding the fact that it has already been rejected by the order of the tribunal in the main appeal the case having been assigned by the president to himself under section 255(4) of the income-tax act, 1961 ('the act'), the matter has come up before me as a third member.5. ..... under these circumstances, it is quite possible that the assessee may have been misled in assuming that the claim for interest or part thereof would be allowed by the tribunal against the dividend income and labouring under that misapprehension did not address any further argument on the ..... relevant discussion in the ito's order reads as under : 'the assessee appeared but did not file any assessment (sic) it ought to be accounts as required and argued that even if such loans were utilised for purchasing shares-interest will not be inadmissible for deduction. ..... ' this would seem to suggest that the assessee did seek to claim the interest as a deduction even if the loans were proved to have been utilised for purchasing shares at least ..... ultimately rejected by the bench on the ground that even before the tribunal, the assessee's contention had been that the loans were admittedly used for the purpose of his profession and, consequently, no interest could be allowed as a deduction against dividend income. ..... i am, therefore, of the opinion that in the interest of justice, the assessee may now be given another opportunity to address further arguments on this aspect of the .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1986)19ITD625(Kol.)
..... [1965] 57 itr 185 in which in similar circumstances it was held that title to the assets could not pass till the conveyance was executed and registered and that the word 'transfer' used in section 12b of the indian income-tax act, 1922, was used in addition to the word 'sale' but even then in the context transfer must mean effective conveyance of the capital assets to the transferee. ..... the property in question purchased by shri murarka earlier, shall be taken over by the assessee-company at the cost price and the concessional amount would be treated as loan by shri murarka to the company and the interest will be allowed thereon and that the said property shall be treated as an asset of the company notwithstanding the fact that the title of the property stands in the name of shri murarka.14. ..... ito pointed out that the assessee claimed the ownership of the property whereas in the past the assessment has been completed on the ground that the assessee was not the owner and as such, the property income should be assessed under the head 'income from other sources'. ..... apart, the decisions relied on by the ito has noted in the assessment order, are also to the same effect. ..... , the ito did not accept the contention of the assessee and assessed the income as income from other sources. ..... the ito noted in the assessment order that the assessee submitted that the assessment may be completed as per the appellate order passed by the commissioner (appeals) earlier and the assessee had nothing more to .....
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