DCIT, CHENNAI V. M/s. P.A.Footwear P. Ltd., CHENNAI

ITA 145/CHNY/2011

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 61033 (ITAT-CHENNAI)
• Duration Of Justice: 1 year(s) 3 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-05-2012
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 25-04-2012
• Assessment Year: 2003-2004
• Appeal Filed On: 28-01-2011
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: S SRIDHAR
• Section: 80HHC

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, CHENNAI BEFORE SHRI N.S.SAINI, ACCOUNT ANT MEMBER AND SHRI VIKAS AWASTHY, JUDICIAL MEMBER ITA NO.145/MDS/2011 (ASSESSMENT YEAR : 2003-04) DEPUTY COMMISSIONER OF INCOME TAX, COMPANY CIRCLE-V(1)1, CHENNAI. VS. M/S. P.A.FOOTWEAR P.LTD., 1031A, 44 TH STREET, TVS COLONY, CHENNAI-600 101. PAN: AAACP1923G (APPELLANT) (RESPONDENT) APPELLANT BY : MR. SHAJI P.JACOB, ADDL. CIT RESPONDENT BY : MR. S.SR IDHAR, ADVOCATE DATE OF HEARING : 25 TH APRIL, 2012 DATE OF PRONOUNCEMENT : 4 TH MAY, 2012 O R D E R PER VIKAS AWASTHY, JUDICIAL MEMBER: THE PRESENT APPEAL HAS BEEN PREFERRED BY THE REVENU E AGAINST THE ORDER DATED 8.10.2010 PASSED BY CIT(A) V, CHENNAI RELEVANT TO THE ASSESSMENT YEAR 2003-04. 2. THE DEPARTMENT HAS ASSAILED THE ORDER OF THE CIT (A) ON THE GROUND THAT THE CIT(A) ERRED IN DIRECTING THE A SSESSING OFFICER TO RECOMPUTE THE DEDUCTIBLE AMOUNT UNDER SE CTION 80HHC(3) AS PER THE CALCULATIONS ANNEXED WITH HIS O RDER. THE LEARNED D.R. SUBMITTED THAT SIMILAR ISSUE HAD C OME UP ITA NO.145/MDS/ 2011 2 BEFORE THE TRIBUNAL IN THE ASSESSEES OWN CASE FILE D BY THE REVENUE IN ITA NO.2022/MDS/2010 RELEVANT TO THE ASSESSMENT YEAR 2003-04. THE CO-ORDINATE BENCH OF T HIS TRIBUNAL WAS PLEASED TO ALLOW THE APPEAL OF THE REV ENUE FOR STATISTICAL PURPOSES. 3. THE COUNSEL APPEARING ON BEHALF OF THE ASSESSEE ACCEPTS THE CONTENTION OF THE D.R. 4. THE CO-ORDINATE BENCH OF THE TRIBUNAL IN ITA NO.2022/MDS/2010 VIDE ORDER DATED 1 ST MARCH, 2012 HAD OBSERVED AS UNDER:- 4. WE HAVE PERUSED THE ORDERS AND HEARD THE RIVAL SUBMISSIONS. THE ISSUE RAISED BY THE REVENUE IN THIS APPEAL IS REGARDING THE CLAIM OF TH E ASSESSEE WITH REGARD TO DEPB BENEFITS UNDER SECTION 80HHC(3) OF THE ACT. TREATMENT OF DEPB BENEFITS AT THE TIME OF MAKING THE CLAIM, AND AT TH E TIME OF SALE OF SUCH DEPB LICENCES WERE ALL CONSIDERED BY HONBLE APEX COURT IN THE CASE OF TOPMAN EXPORTS (SUPRA) IN RELATION TO THE DEDUCTION UNDER SECTION 80HHC OF THE ACT. NONE OF THE LOWER AUTHORITIES HAD THE BENEFIT OF THE WISDOM OF THE HONBLE APEX COURTS DECISION WHEN THEY WERE DECIDING THE ISSUE. WE ARE, THEREFORE, O F THE OPINION THAT THE MATTER REQUIRES A RE-VISIT BY THE ASSESSING OFFICER. WE, THEREFORE, SET ASIDE THE ORDER OF AUTHORITIES BELOW IN THIS REGARD AND REMIT IT BACK TO THE ASSESSING OFFICER FOR CONSIDERING THE ITA NO.145/MDS/ 2011 3 CLAIM OF THE ASSESSEE FOR DEDUCTION UNDER SECTION 80HHC(3) OF THE ACT WITH REGARD TO DEPB BENEFITS, IN ACCORDANCE WITH DECISION OF HONBLE APEX COURT IN THE CASE OF TOPMAN EXPORTS (SUPRA) AS WELL AS RELEVANT PROVISIONS OF LAW. ORDERED ACCORDINGLY. 5. IN THE RESULT, APPEAL FILED BY THE REVENUE IS ALLOWED FOR STATISTICAL PURPOSES. 5. RESPECTFULLY FOLLOWING THE ORDER PASSED BY THE C O- ORDINATE BENCH IN THE ASSESSEES OWN CASE WHICH INV OLVES SIMILAR QUESTION, WE ALLOW THE APPEAL OF THE REVENU E AND DIRECT THE ASSESSING OFFICER TO CONSIDER THE ISSUE IN THE LIGHT OF THE DIRECTIONS GIVEN BY THE TRIBUNAL IN THE AFOR ESAID ORDER. 6. IN THE RESULT, THE APPEAL OF THE REVENUE IS ALLO WED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON FRIDAY, THE 4 TH OF MAY, 2012 AT CHENNAI. SD/- SD/- ( N.S. SAINI ) (VIKAS AWASTHY) ACCOUNTANT MEMBER JUDICIAL MEMBER CHENNAI, DATED THE 4 TH MAY, 2012. SOMU COPY TO: (1) APPELLANT (2) RESPONDENT (3) CIT (4) CIT(A) (5) D.R. (6) G.F .