आयकर अपीलीय अधिकरण, ‘बी’ न्यायपीठ, चेन्नई।

IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH: CHENNAI श्री जॉजज जॉजज के , उपाध्यक्ष, एवं सुश्री पदमावती यस, लेखा सदस्य के समक्ष BEFORE SHRI GEORGE GEORGE K, VICE PRESIDENTAND MS. PADMAVATHY.S, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.2663/Chny/2025 धििाजरण वर्ज /Assessment Year: 2021-22 The India Cements Ltd., The Dy. Commissioner of Income No.827, Anna Salai, Vs. Tax, Anna Road H.O., Corporate Circle-1(1), Chennai – 600 002. Chennai.

PAN: AAACT 1728P ( /Appellant) ( /Respondent)

अपीलार्थी प्रत्यर्थी

अपीलार्थी की ओर से

/ Appellant by : Mr. Vikram Vijayaraghavan, Advocate प्रत्यर्थी की ओर से

/Respondent by : Mr. Shiva Srinivas, CIT सुिवाई की तारीख /Date of Hearing : 07.01.2026 घोर्णा की तारीख /Date of Pronouncement : 13.01.2026 / O R D E R आदेश PER PADMAVATHY.S, A.M:

This appeal by the assessee is against the order of the Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre (NFAC), Delhi, (in short "CIT(A)") passed u/s. 250 of the Income Tax Act, 1961 ( in short "the Act") dated 02.07.2025 for Assessment Year (AY) 2021-22. The grounds raised by the assessee are as under:

“1. On the facts and in the circumstances of the case and in law, the order passed by the learned CIT(A), NFAC, is contrary to the facts on record and the applicable legal provisions, and therefore deserves to be set aside.

2. On the facts and in the circumstances of the case and in law, the NFAC/CIT(Appeals) has erred in confirming the disallowance of deduction claimed under Section 80-IA for an amount of Rs.62,67,41,696, being the market value of electricity generated and supplied from various units of the undertaking for captive consumption. The NFAC /CIT(Appeals) has while accepting the existence of the Hon'ble Supreme Court's positive view on the issue in the case of Jindal Steel & Others (Civil Appeal No. 13771 of 2015) failed to follow the judicial hierarchy despite no dissimilarity in the facts between the two. He failed to appreciate that the market value for supply of power for captive consumption should be determined based on the rate at which electricity is supplied to the consuming units by SEB, and not the rate at which generating units sells excess electricity to third parties or State Electricity Boards.

3. On the facts and in the circumstances of the case and in law, the NFAC/CIT(Appeals) has erred in confirming the disallowance of gratuity and superannuation amounting to Rs.20,45,39,511/- claimed u/s 43B of the Income-tax Act, 1961, by incorrectly applying the due date specified under the relevant welfare Acts. The said amounts represent the employer's contribution, which, as per the provisions of Section 43B(b), is allowable as a deduction if actually paid on or before the due date of filing the return of income u/s 139(1). The CIT(A) failed to appreciate that the payments were made within the prescribed time under the Income-

tax Act and are therefore fully allowable.”

2. The assessee is a public limited company engaged in diverse lines of business primarily related to the manufacture of sale of cement. The assessee filed the return of income for A.Y 2021-22 on 15.03.2022 declaring total income of Rs. 375,88,36,854/-. The return was processed u/s. 143 (1) of the Act determining the total income of the assessee at Rs. 404,90,67,630/-. The case was selected for scrutiny and the statutory notices were duly served at the assessee. A reference was made to the Transfer Pricing Officer (TPO)

since the assessee had specified domestic transactions as tabulated below:

S. No. Name of the AE Nature of the specified Amount MAM domestic transactions (in INR)

1. ICL Cements Plants Sale of power generated at 38,99,17,328 Such Other Sankarnagar, Tamil Nadu method

2. ICL Cementr Plants Sale of power generated at 16,81,29,915 Such Other

2.1 The assessee has arrived at the Arms Length Price (ALP) computation towards captive power supply by the thermal power supply plants (unit eligible for deduction u/s.80IA) to the ce