Golden Cross Pharma Pvt. Ltd. 12, Gunbow Street, Fort Mumbai-400 001. Vs. The Asstt. Commissioner of Income tax, Range-6(3) 5th Floor, Aayakar Bhavan, Room No.509/562 M.K. Road Mumbai-400 020.
April, 15th 2014
IN THE INCOME TAX APPELLATE TRIBUNAL
"G" Bench, Mumbai
Before Shri Vijay Pal Rao, Judicial Member and
Shri N.K. Billaiya, Accountant Member
ITA No. 448/Mum/2013
(Assessment year: 2009-10)
Golden Cross Pharma Pvt. Ltd. The Asstt. Commissioner of
12, Gunbow Street, Fort Income tax, Range-6(3)
Mumbai-400 001. 5th Floor, Aayakar Bhavan,
Permanent Account No. : AABCG 0541 J
Assessee by : Shri V. Mohan
Revenue by : Shri R.K. Sahu
Date of hearing : 02/04/2014
Date of Pronouncement : 09/04/2014
Per Vijay Pal Rao, Judicial Member:
This appeal by the Assessee is directed against the order dated
30/10/2012 of CIT(A) for the assessment year 2009-10. The Assessee
has raised the following grounds :-
"1. The CIT(A)-12, Mumbai erred in not deleting the addition of
unutilized Modvat credit on closing stock of Rs.20,25,489/- made by
the ld. ACIT, Circle 6(3).
2. The CIT(A) erred in restoring the issue of deduction for Modvat
on opening stock at Rs.584/- as against appellant's claim of
Rs.84,24,682/- (being unutilized Modvat credit added to closing
stock by AO in AY 2008-09 u/s. 145A)
2 ITA No.448/M/13
3. The ld. CIT(A) has erred in not giving direction to Assessing
Officer for allowing consequential deduction u/s. 80IB of the Act on
the additions confirmed by her on account of unutilized Modvat
credit of Rs.20,25,489/-"
2. At the time of hearing the ld. Authorized Representative of the
Assessee stated that the Assessee does not want to press Ground No.1
and 2 and the same may be dismissed as not pressed. The ld. DR raised
no objection if Ground No.1 and 2 of assessee's appeal are dismissed as
not urged. Accordingly ground No.1 and 2 are dismissed being not
3. Ground No.3 is regarding consequential deduction u/s. 80IB of the
Act on the addition confirmed by CIT(A) on account of unutilized modvat
4. We have heard the ld. Authorized Representative of the Assessee as
well as the ld. DR and considered relevant material on record. The ld.
CIT(A) has dealt with this issue in para 7.1 of the impugned order as
"Being consequential this ground of appeal does not need any
adjudication. The AO to take action regarding calculation of
deduction under section 80IB of the Income tax Act, 1961
The ld. AR of the assessee has submitted that the CIT(A) has not
adjudicated this issue to allow deduction under section 80IB, but simply
mentioned that the AO is to take action as this issue is consequential.
Thus, it is urged that specific direction be given to the AO in this regard.
5. We find that, from the order of CIT(A) the only inference that can
be drawn is that the deduction under section 80IB(10) in respect of the
addition made on account of unutilized modvat credit is allowable.
3 ITA No.448/M/13
Accordingly the AO is directed to allow the claim of the assessee to the
extent of addition made on account of unutilized modvat credit.
6. In the result the appeal is partly allowed.
Order pronounced in the open court on 09th April, 2014.
(N.K. Billaiya) (Vijay Pal Rao )
ACCOUNTANT MEMBER JUDICIAL MEMBER
Mumbai, Dated: 09/04/2014
Copy to: The Appellant
The CIT, Concerned, Mumbai
The CIT(A) Concerned, Mumbai
The DR " " Bench
Dy/Asstt. Registrar, ITAT, Mumbai.
4 ITA No.448/M/13
S.No. Details Date Initials Designation
1 Draft dictated on 02/04/14 JM/AM
2 Draft Placed before 02/04/14 JM/AM
3 Draft proposed & JM/AM
placed before the
4 Draft JM/AM
by Second Member
5. Approved Draft comes Sr.PS/PS
to the Sr.PS/PS
6. Kept for Sr.PS/PS
7. File sent to the Bench Sr.PS/PS
8 Date on which the file
goes to the Head clerk
9 Date of Dispatch of
10. Draft/shorthand Yes
script enclosed in file