Akken Technologies Pvt Ltd., Hyderabad V. Dy.CIT, Circle-1(1), Hyderabad

ITA 1194/HYD/2014

• Counselvise Citation: 119422514 RSA 2014
• Duration Of Justice: 10 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-04-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 10-03-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 06-06-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAJAT MITRA
• Assessee Lawyers: V RAGHAVENDRA RAO
• Keywords: Additional evidence
• Section: 148; 154; 143(3)

Judgement Text

ITA NO.1194 OF 2014 AKKEN TECHNOLOGIES PVT LTD HYDE RABAD PAGE 1 OF 3 IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD B BENCH, HYDERABAD BEFORE SHRI P.M. JAGTAP, ACCOUNTANT MEMBER & SMT.ASHA VIJAYARAGHAVAN, JUDICIAL MEMBER ITA NO. 1194/HYD/2014 (ASSESSMENT YEAR: 2008-09) M/S. AKKEN TECHNOLOGIES PRIVATE LIMITED HYDERABAD PAN- AACCA 8988 J VS. DY. COMMISSIONER OF INCOME TAX, CIRCLE 1(1) HYDERABAD (APPELLANT) (RESPONDENT) FOR ASSESSEE : SHRI V. RAGHAVENDRA RAO FOR REVENUE : SHRI RAJAT MITRA, DR DATE OF HEARING : 10/03/2015 DATE OF PRON OUNCEMENT : 08 /04/2015 O R D E R PER SMT. ASHA VIJAYARAGHAVAN, J.M. THIS IS AN APPEAL FILED BY THE ASSESSEE DIRECTED AG AINST THE ORDER OF THE CIT (A)-II HYDERABAD DATED 13.03.2014 PASSED FOR A.Y 2008-09 U/S 143(3) R.W.S. 147 OF THE I.T. ACT, 1961. 2. BRIEFLY STATED THE ASSESSEE COMPANY M/S AKKEN TECHNOLOGIES LTD FILED ITS E-RETURN OF INCOME FOR T HE A.Y 2008-09 ON 25.09.2008 ADMITTING NIL INCOME AFTER CLAIMING D EDUCTION U/S 10A AT RS.2,28,47,320. THE RETURN HAS BEEN PROC ESSED U/S 143(1) OF THE I.T. ACT. THE ASSESSEE HAD LIABILITY UNDER THE MAT PROVISIONS ONLY. THE RETURN HAS BEEN PROCESSED U/S 143(1) OF THE I.T. ACT. LATER IT WAS RECTIFIED U/S 154 OF THE I.T . ACT ON 26.8.2010. SUBSEQUENTLY THE PROCEEDINGS U/S 147 OF THE I.T. ACT WAS INITIATED BY ISSUE OF A NOTICE U/S 148 OF THE A CT ON 13.08.2010. NOTICE U/S 143(1) AND 143(2) WERE ALSO ISSUED AND ITA NO.1194 OF 2014 AKKEN TECHNOLOGIES PVT LTD HYDE RABAD PAGE 2 OF 3 THE RE-ASSESSMENT WAS COMPLETED BY THE ORDER DATED 27.12.2011 DETERMINING THE INCOME AT RS.2,28,47,320 WHICH WAS ARRIVED AT BY DISALLOWING THE CLAIM U/S 10A OF THE ACT. THE AS SESSMENT WAS REOPENED ON THE GROUND THAT THE ASSESSEE HAD RECEIV ED FOREIGN EXCHANGE ON EXPORTS AFTER THE PERMITTED TIME OF 30. 09.2008. HENCE THE AO FELT THAT THE ASSESSEE WAS NOT ENTITLE D TO RELIEF U/S 10A. 3. ON APPEAL THE CIT (A) CONFIRMED THE REOPENING U/ S 147 ON THE GROUND THAT THE ORIGINAL RETURN WAS PROCESSED O NLY UNDER SECTION 139(1) AND THEREFORE, THE REOPENING U/S 148 AND THAT TOO WITHIN A PERIOD OF 4 YEARS IS VALID. 4. THE NEXT ISSUE IS REGARDING THE DISALLOWANCE OF DEDUCTION U/S 10A. THE ASSESSEE SUBMITTED BEFORE THE CIT (A) THAT OUT OF THE EXPORT TURNOVER OF RS.4,12,43,200 THE SALES PRO CEEDS WERE NOT RECEIVED WITHIN 6 MONTHS FROM THE END OF THE FI NANCIAL YEAR. HOWEVER, BY THE DATE OF THE ASSESSMENT ALL THE AMOU NTS EXCEPT US$ 1,43,643 HAS BEEN RECEIVED. THEY ALSO SUBMITTED THAT THEY COULD NOT GET THE LETTER GRANTING PERMISSION FOR EX TENSION OF TIME FOR RECEIVING FOREIGN EXCHANGE, EVEN THOUGH THEY WE RE PURSUING WITH THE AUTHORIZED DEALER. HOWEVER, THE CIT (A) DI D NOT ACCEPT THE SUBMISSION OF THE ASSESSEE AND SUSTAINED THE DI SALLOWANCE OF RELIEF U/S 10A ON THE GROUND THAT ALL THE EXPORT PR OCEEDS WERE NOT RECEIVED WITHIN 6 MONTHS. 5. AGGRIEVED THE ASSESSEE IS IN APPEAL BEFORE US. 6. IN THE COURSE OF APPELLATE PROCEDINGS, THE ASSES SEE FILED LETTERS FROM CITI BANK OF INDIA DATED 30.12.2013, 1 1.03.2014 AND 18.02.2014 CONVEYING THE APPROVAL FOR THE REALIZATI ON OF THE EXPORTS. THESE LETTERS COULD NOT HAVE FILED BY THE ASSESSEE BEFORE ITA NO.1194 OF 2014 AKKEN TECHNOLOGIES PVT LTD HYDE RABAD PAGE 3 OF 3 THE LOWER AUTHORITIES BECAUSE THE AUTHORISED DEALER OF RESERVE BANK OF INDIA DID NOT REPLY IN TIME FOR BEING SUBMI TED BEFORE THE LOWER AUTHORITIES. IN THIS VIEW OF THE MATTER, WE A DMIT THE ADDITIONAL EVIDENCE IN THE FORM OF LETTERS FROM CIT I BANK AND RESERVE BANK OF INDIA AND REMIT THE ISSUE FOR GRANT ING RELIEF U/S 10A TO THE FILES OF THE AO AND DIRECT HIM TO RECOMP UTE THE RELIEF U/S 10A TAKING INTO ACCOUNT THE LETTERS OF APPROVAL FOR DELAYED REALIZATION OF FOREIGN EXCHANGE OBTAINED BY THE ASS ESSEE AND FURNISHED BEFORE US IN COMPUTING RELIEF U/S 10A. TH E AO WILL RECOMPUTE THE DEDUCTION PERMISSIBLE U/S 10A IN ACCO RDANCE WITH LAW BASED ON THE DIRECTIONS, AFTER GIVING REAS ONABLE OPPORTUNITY TO THE ASSESSEE. 7. IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS A LLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 8 TH APRIL, 2015. S D/ - S D/ - ( P.M. JAGTAP ) ( ASHA VIJAYARAGHAVAN) ACCOUNTANT MEMBER JUDICIAL MEMBER HYDERABAD, DATED APRIL, 2015. VNODAN/SPS COPY TO: 1. M/S. AKKEN TECHNOLOGIES PRIVATE LIMITED, 8-2-686/K/ 1 & 2, KIMTEE SQUARE, NEAR RELIANCE DIGITAL, ROAD NO.12 , BANJARA HILLS, HYDERABAD 2. DY. CIT CIRCLE 1(1) AAYAKAR BHAVAN, BASHEERBAGH HYDERABAD 500001 3. THE CIT(A) - II HYDERABAD 4. THE CIT 1, HYDERABAD 5. THE DR, ITAT, HYDERABAD 6. GUARD FILE BY ORDER