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TMI Blog2016 (7) TMI 1269X X X X Extracts X X X X X X X X Extracts X X X X ..... yn Shipping & Transport (supra) continues to bind the Coordinate Benches till the time the same is not overruled by the Hon’ble High Court wherein held that the provisions of section 40(a)(ia) are applicable only to the expenditure which is payable as on the balance sheet date and cannot be applied on the expenditure already during the year Further, it is noted that the special Bench decision in case of M/s Merilyn Shipping & Transport (supra) has been approved and referred by the Allahabad High Court in case of Vector Shipping Services (P) Ltd.[2013 (7) TMI 622 - ALLAHABAD HIGH COURT ]. At the same time, there are decisions of Calcutta High Court in case of Crescent Exports Syndicate [2013 (5) TMI 510 - CALCUTTA HIGH COURT] and Sikandar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2. Briefly, the facts of the case are that the appellant is a company engaged in the business of manufacturing of textile home furnishing. The appellant company filed its return of income for the assessment year 2009-10 declaring total income of ₹ 51,03,870/-. The assessment was completed u/s 143(3) vide order dated 23.12.2011 wherein the AO disallowed a sum of ₹ 14,14,534/- u/s 40(a)(ia) of the IT Act, 1961 on account of non-deduction of TDS. Being aggrieved, the appellant carried the matter in appeal. The appellant submitted that the whole of the amount of ₹ 14,14,534 has been paid during the relevant previous year. Further, the appellant relied upon the decision of the Special Bench of the Tribunal in case of Merilyn ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... No. 2293/Mum/2013 (Mum Trib.) and also by the Jaipur Bench in cases of Girdharilal Bargoti in ITA No. 757/JP/2012 dated 10.04.2015 and K.Y. Continental Interiors (P) Ltd. in ITA No. 595/JP/2013 dated 14.12.2015. 2.4 The ld AR further submitted that the Hon ble Andhra Pradesh High Court in case of Janapriya Engineers Syndicate vide its order dated 24.06.2014 has clarified the issue of interim stay granted by it in case of Merilyn Shipping and Transport (supra) and submitted that the order of the Special Bench is still binding on the Coordinate Benches of the Tribunal. It was also brought to our notice the decision of the Coordinate Bench in case of Shri Amit Naresh shah in ITA No. 4154/Mum/2013 dated 10.09.2014 wherein the Coordinate Benc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by Mr. Narasimha Sarma, learned counsel, to remand on the ground of pendency on the same issue before this court, overlooking and overruling, by necessary implication, the decision of the Special Bench. We simply say that it is not permissible under quasi judicial discipline. Under the circumstances, we set-aside the impugned judgement and order, and restore the matter to the file of the Tribunal which will decide the issue in accordance with law and it would be open to the Tribunal either to follow the Special Bench decision or not to follow. If the special Bench decision is not followed, obviously remedy lies elsewhere. 2.6 Subsequently, the Coordinate Bench in case of Shri Amit Naresh Shah in ITA No. 4154/Mum/2013 dated 10.09.2014 t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Merilyn Shipping Transport (supra) has been approved and referred by the Allahabad High Court in case of Vector Shipping Services (P) Ltd. At the same time, there are decisions of Calcutta High Court in case of Crescent Exports Syndicate and Gujarat High Court in case of Sikandarkhan N Tanvar where the High Courts have disagreed with the view of the Special Bench in case of M/s Merilyn Shipping Transport (supra). It is thus evident that the view of the Allahabad High Court and other two High Courts are in direct conflict with each other. The question that arises for consideration is where there is no decision of a jurisdictional High Court and there are conflicting views of the different High Court, which view should be followed. In thi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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