ACIT, New Delhi V. M/s Shorewala Overseas, New Delhi

ITA 1651/DEL/2010

• Counselvise Citation: 165120114 RSA 2010
• Duration Of Justice: 1 year(s) 6 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-10-2011
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: G
• Next Hearing Date: 29-09-2011
• Assessment Year: 2003-2004
• Appeal Filed On: 13-04-2010
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: B R R KUMAR
• Section: 80HHC

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH G DELHI) BEFORE SHRI G.E. VEERABHADRAPPA, HONBLE PRESIDENT AND SHRI A.D. JAIN, JUDICIAL MEMBER ITA NO. 1651(DEL)2010 ASSESSMENT YEAR: 2003-04 ASSTT.COMMISSIONER OF INCOME TAX, M/S. SH OREWALA OVERSEAS, CIRCLE 29(1), NEW DELHI. V. 4543, KRISHNA BAZAR, CLOTH MARKET, DELHI. (APPELLANT) ( RESPONDENT) APPELLANT BY: SHRI B.R.R. KUMAR, DR RESPONDENT BY: SHRI K. SAMPATH, ADVOCATE ORDER PER A.D. JAIN, J.M. THIS IS DEPARTMENTS APPEAL FOR THE ASSESSMENT YEAR 2003-04 AGAINST THE ORDER DATED 26.02.2010 PASSED BY THE LEARNED CO MMISSIONER OF INCOME TAX(APPEALS)XXV, CONTENDING THAT THE LD. CIT(A) HAS ERRED IN DIRECTING THE AO TO COMPUTE DEDUCTION U/S 80 HHC OF THE I.T. ACT INCONFORMITY WITH THE DECISION OF THE SPECIAL BENCH OF THE TRIBUNAL IN THE CASE OF TOPMAN EXPORT V. ITO, 33 SOT 337(MUM)(SB). ITA 1651(DEL)2010 2 2. THE AO, WHILE DENYING ALL THE CLAIMS RELATING TO DEPB TO THE ASSESSEE U/S 80HHC OF THE I.T. ACT, OBSERVED THAT THE EXPORT INCENTIVES RECEIVED BY THE ASSESSEE WERE IN THE NATURE OF DUTY DRAW BACK A ND DEPB. THE LD. CIT(A), BY VIRTUE OF THE IMPUGNED ORDER, DIRECTED T HE AO TO COMPUTE DEDUCTION U/S 80 HHC OF THE ACT INCONFORMITY WITH T HE SPECIAL BENCH DECISION OF THE TRIBUNAL IN THE CASE OF TOPMAN EX PORT V. ITO (SUPRA). 3. BEFORE US, IT HAS BEEN CONTENDED THAT IN ITA NO. 2074/2010. CIT V. SHOREWALA OVERSEAS (COPY PLACED ON RECORD), VIDE O RDER DATED 18.06.2010, FOR ASSESSMENT YEAR 2003-04, THE HONBLE JURISDICTI ONAL HIGH COURT HAS REMITTED THE MATTER TO THE FILE OF THE TRIBUNAL, TO BE DECIDED ON MERITS, AFTER TAKING INTO ACCOUNT THE FACTUAL POSITION. 4. TOPMAN EXPORT V. ITO (SUPRA), IT IS SEEN, AS O BSERVED BY THE HONBLE HIGH COURT, HAS BEEN REVERSED BY THE HONBL E BOMBAY HIGH COURT IN CIT V. KALPATARU COLOURS AND CHEMICALS, 328 IT R 451(BOM). 5. IN VIEW OF THE ABOVE, THIS MATTER IS REMITTED TO THE FILE OF THE AO TO BE DECIDED AFRESH IN ACCORDANCE WITH LAW, PARTICULARLY IN ACCORDANCE WITH KALPATARU COLOURS AND CHEMICALS(SUPRA), AS AGREED TO BY BOTH THE PARTIES. ITA 1651(DEL)2010 3 6. IN THE RESULT, FOR STATISTICAL PURPOSES, THE APP EAL OF THE DEPARTMENT IS TREATED AS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 25.10.2011. SD/- SD/- (G.E. VEERABHADRAPPA) (A.D. JAIN) PRESIDENT JUDICIAL MEMBER DATED: 25.10.2011 *RM COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR TRUE COPY BY ORDER DEPUTY REGISTRAR