ITO v. Centrum Capital limited ( 2020) BCAJ-November -P. 55 (Mum) (Trib)

S. 253 : Appellate Tribunal – Cross objection- Ground can be raised for the first time which was not taken even in an appeal before CIT(A) [ S.14A, 254(1) R.8D ,Form 36A , Code of Civil Procedure , 1908 , Order, 9 , Rule, 3 ]

The revenue preferred an appeal contending that CIT (A) erred in restricting the disallowance u/s 14A  to Rs . 22, 82 187 being the amount suo motu disallowed by the assessee . The Assessee fied a cross objection contending that the CIT (A) ought to have restricted the disallowance to the exempt income of Rs 44,250 instead observing that the disallowance should be restricted to Rs .22,82, 187  being suo motu disallowance done by the assessee.  Tribunal held that ground can be raised for the first tine which was not taken in  appeal before CIT (A) .  ( Referred CIT v. Delight Enterprises (ITA  No. 110 /2009 dt dt.26 -2 -2009 ( Bom) (HC), www.itatonline.org   Tata Industries Ltd v.ITO ( 2016) 181 TTJ 600 (Mum) (Trib) , Goetzge(India ) Ltd v. CIT ( 2006 284 ITR 323 (SC), CIT v. V.MR .P. Firm ( 1965) 56 ITR 67 (SC)  Shelly products  (2003 ) 129 taxman 271 (SC)  CBDT Circular No 14 (XL-35 of 1953 dt 11-4 -1955)    ( ITA No. 497/Mum/2019 and cross objection dt 5 -10 -2020) (AY. 2013-14)