ACIT Circle-10(2), New Delhi V. Graziano Trasmissioni India Pvt Ltd, New Delhi

ITA 1612/DEL/2020

AI Insights

The case involves an appeal by the ACIT Circle -10 (2), New Delhi against Graziano Transmissioni India Pvt. Ltd. concerning the assessment year 2011-12. The primary issue was the disallowance of Rs.1,54,34,792 made on account of non-deduction of TDS on payments made to M/s. Graziano Transmission North America, USA, which were treated as commission by the assessee but were argued to be fees for technical services by the revenue. The CIT(A) had deleted this disallowance, a decision which was contested by the revenue in this appeal. The Tribunal, referencing its earlier decisions in similar cases, upheld the CIT(A)'s decision.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 116214 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 4 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-02-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 14-02-2023
• Assessment Year: 2011-2012
• Appeal Filed On: 22-09-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: TDS

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘D’, NEW DELHI BEFORE SH. N. K. BILLAIYA, ACCOUNTANT MEMBER AND SH. ANUBHAV SHARMA, JUDICIAL MEMBER ITA No.1612/Del/2020 Assessment Year: 2011-12 ACIT Circle -10 (2) New Delhi Vs Graziano Transmissioni India Pvt. Ltd. 510-511, Floor, DLF Tower-B, Jasola New Delhi PAN NO. AAACG4258M (APPELLANT) (RESPONDENT) Appellant by Sh. Sanjay Kumar, Sr. DR Respondent by Sh. Anubhav Rastogi, Advocate Date of hearing: 15/02/2023 Date of Pronouncement: 15/02/2023 ORDER PER N. K. BILLAIYA, AM: This appeal by the revenue is preferred against the order of the CIT(A)-36, Delhi dated 20.02.2020 pertaining to A.Y.2011-12. 2. The solitary grievance of the revenue read as under :- 1. Whether on the facts and in the circumstances of the case and in law Ld. CIT(A) is correct in deleting the disallowance of Rs.1,54,34,792/- made on account of non-deduction of TDS on 2 the payment made to M/s. Graziano Transmission North America, USA holding the same as commission ignoring the fact that the payment is actually in the nature of fee for technical services and the assessee only named the same as commission o enjoy tax benefit. 3. At the very outset the Counsel for the assessee stated that the impugned issue has been decided by this Tribunal in assessee’s own case in earlier assessment years by the coordinate Bench and the CIT(A) while allowing the appeal of the assessee has followed the decision of the Tribunal. The DR fairly conceded to this. 4. We have carefully perused the orders of the authorities below. The impugned issue relates to the disallowance on account of non deduction of tax on export commission paid to M/s. Graziano Transmission India Private Limited, North America USA. Similar disallowances were made in A.Y.2010-11, 2012-13 and 2013-14 and the matter travelled up to the Tribunal and the coordinate Bench in ITA No.2575/Del/2016 for A.Y.2010-11, 1820/Del/2018 and 1821/Del/2018 for A.Y.2012-13 and 2013- 14 has considered the quarrel and decided the issue in favour of the assessee. The relevant findings given by the coordinate Bench in A.Y.2010-11 in ITA No.2575/Del/2016 read as under:- 3 5. In A.Y.2012-13 and 2013-14 the coordinate Bench has followed the decision given in A.Y.2010-11. 4 6. Since the CIT(A) has followed the decision of the Tribunal while allowing the appeal of the assessee. We do not find any reason to interfere with the findings of the CIT(A). The appeal of the revenue is dismissed. 7. Decision announced in the open court on 15.02.2023. Sd/- Sd/- [ANUBHAV SHARMA] [N.K. BILLAIYA] JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: .02.2023 *Neha* Copy forwarded to: 1. Appellant 2. Respondent 3. CITi 4. CIT(A) 5. DR Asst. Registrar ITAT, New Delhi