Assessee filed for grounds of short credit for tax deducted at source.

THE INCOME TAX APPELLATE TRIBUNAL
“E” Bench, Mumbai
 Shri Shamim Yahya (AM) & Shri Pavan Kumar Gadale (JM)

 I.T.A. No. 6283/Mum/2019 (Assessment Year 2011-12)

Transtonnelstory Afcons
Joint Venture
16, Afcons House, Shah
Industrial Estate, Veera
Desai Road, Andheri(W)
Mumbai-400 053
PAN : AACAT0119N
(Appellant) 

Vs. 

DCIT-25(1)
[Earlier JCIT-20(3)]
Room No.202, 2nd Floor,
Kautilya Bhawan, BKC
Bandra(East)
Mumbai-400 051
(Respondent)

Assessee by Shri J.D.Mistry
Department by Vijay Kumar Menon

Date of Hearing 04.05.2021
Date of Pronouncement 01.07.2021

 O R D E R

Per Shamim Yahya (AM) :-

This appeal by the Assessee is directed against the order of learned CIT(A)-53 dated 12.04.2019 and pertains to Assessment Year 2011-12.

2. The grounds of appeal read as under :

1. On the facts and circumstances of the case and in law, the Ld.CIT(A) erred in not condoning the delay in filing of appeal.

2. Without prejudice, the Ld.CIT(A) erred in not adjudicating the case of the appellant on merits.

3. The assessee has also filed following additional grounds read as under:-

1:0 Re.: Short credit for tax deducted at source amounting to Rs. 86,38,553/-:

1 : 1 The Assessing Officer has erred in not granting (short) credit for tax deducted at source to the extent of Rs. 86,38,553/- .

1 : 2 The Appellant submits that considering the facts and circumstances of its case and the law prevailing on the subject it is entitled to a total tax credit of Rs. 2,66,51,427/-being the total tax deducted at source as against Rs. 1,80,12,874/-  granted by the Assessing Officer and the Commissioner of Income-tax (Appeals) ought to have held as such.

1 : 3 The Appellant submits that it ought to be granted credit for tax deducted at source on the mobilization advance received by it and the stand taken by the Assessing Officer in this regard is incorrect.

1 : 4 The Appellant submits that the Assessing Officer be directed to grant full credit for tax deducted at source and to re-compute its tax liability accordingly.

2 : 0 Re.: General:

2 : 1 The Appellant craves leave to add, alter, amend, substitute and/or modify in any manner whatsoever all or any of the foregoing grounds of appeal at or before the hearing of the appeal.

4. Brief facts of the case are that the assessee is a Joint Venture (JV) assessed to tax in the status of Association of Persons. The assessee is engaged in the business of providing EPC services for complex infrastructure projects. The assessee is a JV between AFCONS Infrastructure Limited(AFCONS) and Transtonnelstory Ltd. for the purpose of submitting the bid in respect of the tenders and also for executing the contract. For this purpose, JV agreements were entered into which the AO examined.

Thereafter, he observed that the limited work was carried out by the assessee on Kolkata project. Further, the two contracts relating to Chennai Metro Rail Corporation Ltd. are awarded to the assessee at the far end of the year and therefore, very limited work was carried out by the assessee till 31 March 2011.

He further observed that for financial year 2010-11, the assessee has received mobilisation advance from Chennai Metro Rail Ltd. of Rs.97,41,76,875 on which tax of Rs.1,94,83,538 is deducted and the same is claimed as credit by the assessee.

To know more in details find the attachment file