M/s. Aaren Exports, Jalandhar V. ACIT, Jalandhar

ITA 21/ASR/2009

• Counselvise Citation: [2013] 120 COUNSELVISE.COM (IT) 2245 (ITAT-AMRITSAR)
• Duration Of Justice: 4 year(s) 5 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-06-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2004-2005
• Appeal Filed On: 16-01-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: J S BHASIN
• Section: 80HHC

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH; AMRITSAR. BEFORE SH. H.S. SIDHU, JUDICIAL MEMBER AND SH. B.P.JAIN, ACCOUNTANT MEMBER I.T.A. NOS. 20 & 21(ASR)/2009 ASSESSMENT YEARS: 2003-04 & 2004-05 PAN : AABFA4534A AAREN EXPORTS VS. A.C.I.T., RANGE-II, B-17 FOCAL POINT EXTN., JALANDHAR JALANDHAR. (APPELLANT) (RESPONDENT) APPELLANT BY: SH. J.S. BHASIN, ADVOCATE. RESPONDENT BY: SH. TARSEM LAL, D.R. DATE OF HEARING: 25.06.2013 DATE OF PRONOUNCEMENT: 25.06.2013 ORDER PER BENCH ; THE ASSESSEE HAS FILED THE PRESENT TWO APPEALS AGA INST DIFFERENT IMPUGNED ORDERS OF CIT(A), JALANDHAR, EACH DATED 14 .11.2008 FOR THE ASSESSMENT YEARS 2003-04 & 2004-05. AS THE ISSUES I NVOLVED IN BOTH THE APPEALS ARE IDENTICAL, THESE WERE HEARD TOGETHER AN D ARE BEING DISPOSED OF BY ONE CONSOLIDATED ORDER FOR THE SAKE OF CONVENIENCE. ITA NOS. 20 & 21(ASR)/2009 2 2. IN ITA NO. 20(ASR)/2009 FOR THE A.Y. 2003-04, TH E ASSESSEE HAS RAISED FOLLOWING GROUNDS OF APPEAL: I. THE LEARNED C.I.T.(A), JAL., HAS ERRED IN UPHOLDING THE A.O.S ACTION IN REJECTING APPELLANTS CLAIM U/S 80IB. II. THE LEARNED C.I.T. (A) JAL. HAS ALSO ERRED IN UPHOL DING THE A.O.S ACTION IN REJECTING APPELLANTS CLAIM UN/S 8 0HHC. III. THE LEARNED C.I.T. (A) HAS ERRED IN UPHOLDING THAT PROFITS OF BUSINESS IN CLAUSE (BAA) OF THE EXPLANATION BELOW S ECTION 80HHC (4C) SHOULD BE REDUCED BY THE DEDUCTION ALLOW ED U/S 80 IB FOR THE PURPOSE OF CALCULATING THE DEDUCTION U/S 80HHC. IV. THE IMPUGNED ORDERS OF THE AUTHORITIES BELOW ARE AG AINST LAW AND FACTS OF THE CASE V. THE APPELLANT CRAVES TO RESERVE THE RIGHT TO ALTER, AMEND OR ADD ANY OF THE GROUNDS OF APPEAL BEFORE THE APPEAL IS H EARD AND DISPOSED OFF. 3. IN ITA NO. 21(ASR)/2009 FOR THE A.Y. 2004-05, TH E ASSESSEE HAS RAISED FOLLOWING GROUNDS OF APPEAL : I. THE LEARNED C.I.T.(A), JAL., HAS ERRED IN UPHOLDING THE A.O.S ACTION IN REJECTING APPELLANTS CLAIM U/S 80IB. II. THE LEARNED C.I.T. (A) JAL. HAS ALSO ERRED IN UPHOL DING THE A.O.S ACTION IN REJECTING APPELLANTS CLAIM UN/S 8 0HHC. III. THE IMPUGNED ORDERS OF THE AUTHORITIES BELOW ARE AG AINST LAW AND FACTS OF THE CASE. IV. THE APPELLANT CRAVES TO RESERVE THE RIGHT TO ALTER, AMEND OR ADD ANY OF THE GROUNDS OF APPEAL BEFORE THE APPEAL IS H EARD AND DISPOSED OFF. 4. THE FACTS NARRATED BY THE REVENUE IN BOTH THE AP PEALS ARE NOT DISPUTED BY BOTH THE PARTIES, THEREFORE, THERE IS NOT NEED T O REPEAT THE SAME FOR THE SAKE OF CONVENIENCE. ITA NOS. 20 & 21(ASR)/2009 3 5. AT THE TIME OF HEARING, SH. J.S. BHASIN, LEARNED COUNSEL FOR THE ASSESSEE STATED THAT THE ISSUE INVOLVED IN THE GR OUNDS OF PRESENT APPEALS HAS ALREADY DECIDED BY HONBLE PUNJAB & HARYANA HIGH COURT, IN THE CASE OF M/S. TURBO IMPEX VS. COMMISSIONER OF INCOME TAX-I I, LUDHIANA, VIDE ORDER DATED 20 TH MARCH, 2012 IN ITA NO. 361 OF 2011 (O&M). IN THE SAID APPEAL, THE HONBLE JURISDICTIONAL HIGH COURT HAS A LLOWED THE APPEAL OF THE ASSESSEE IN TERMS OF JUDGMENT OF HONBLE SUPREME CO URT OF INDIA IN THE CASE OF TOPMAN EXPORTS VS. COMMISSIONER OF INCOME TAX, MUMBAI (2012) 3 SCC 593 AND THE HONBLE JURISDICTIONAL HIGH COURT HAS REMANDED THE MATTER BACK TO THE CONCERNED ASSESSING OFFICER WITH THE DIRECTION TO COMPUTE THE DEDUCTION UNDER SECTION 80HHC OF THE AC T IN ACCORDANCE WITH LAW AND IN THE LIGHT OF THE JUDGMENT OF HONBLE S UPREME COURT, IN THE CASE OF TOPMAN EXPORTS VS. COMMISSIONER OF INCOME TAX, MUMBAI, (2012) 3 SCC 593. HE FURTHER REQUESTED THAT AS THE ISSU E IN DISPUTE IS EXACTLY THE SAME AND SIMILAR DIRECTION MAY BE ISSUED TO THE ASSESSING OFFICER, AS ISSUED BY THE HONBLE JURISDICTIONAL HIGH COURT I N THE AFORESAID CASE. THIS BENCH HAS ALSO FOLLOWED THE AFORESAID DECISION OF H ON'BLE PUNJAB AND HARYANA HIGH COURT IN VARIOUS CASES INCLUDING I.T.A . NO. 136 & 137 (ASR)/2009 AND REMANDED THE MATTER BACK TO THE A SSESSING OFFICER WITH THE ITA NOS. 20 & 21(ASR)/2009 4 SAME DIRECTION AS GIVEN BY HON'BLE PUNJAB AND HARYA NA HIGH COURT IN THE CASE OF M/S. TURBO IMPEX (SUPRA). 6. ON THE CONTRARY, THE LD. DR HAS NOT RAISED ANY O BJECTION TO THE REQUEST MADE BY THE LD. COUNSEL FOR THE ASSESSEE. 7. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE R ELEVANT MATERIAL AVAILABLE ON RECORD. WE HAVE THOROUGHLY GONE THROUG H THE ORDER OF THE HONBLE JURISDICTIONAL HIGH COURT, IN THE CASE OF T URBO IMPEX VS. CIT-II, LUDHIANA, IN ITA NO.361 OF 2011 (O&M), WHERE THE HO NBLE JURISDICTIONAL HIGH COURT HAS REMANDED THE MATTER BACK TO THE A.O. WITH A DIRECTION TO COMPUTE THE DEDUCTION U/S 80HHC OF THE ACT IN ACCOR DANCE WITH LAW AND IN THE LIGHT OF THE JUDGMENT OF THE HONBLE SUPREME CO URT IN THE CASE OF TOPMAN EXPORTS (SUPRA). 8. RESPECTFULLY FOLLOWING THE AFORESAID ORDER OF TH E HONBLE JURISDICTIONAL HIGH COURT, DATED 20 TH MARCH, 2012 IN THE CASE OF TURBO IMPEX (SUPRA), WE REMAND THE MATTER BACK TO THE ASS ESSING OFFICER WITH THE DIRECTION TO COMPUTE DEDUCTION UNDER SECTION 80HHC OF THE ACT IN ACCORDANCE WITH LAW AND IN THE LIGHT OF JUDGMENT OF THE HONBLE SUPREME COURT IN THE CASE OF TOPMAN EXPORTS (SUPRA) AFTER A FFORDING REASONABLE OPPORTUNITY TO THE ASSESSEE. ACCORDINGLY, THE APPEA LS FILED BY THE ASSESSEE ARE PARTLY ALLOWED FOR STATISTICAL PURPOSES. ITA NOS. 20 & 21(ASR)/2009 5 9. IN THE RESULT, BOTH THE APPEALS OF THE ASSESSEE ARE PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 25 TH JUNE, 2013. SD/./- SD/./- (B.P. JAIN) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 25 TH JUNE, 2013 /RK/ COPY OF THE ORDER FORWARDED TO: 1. THE ASSESSEE: AAREN EXPORTS, B-17 FOCAL POINT EXTN. , JALANDHAR 2. THE ACIT, RANGE-II, JALANDHAR 3. THE CIT(A), JALANDHAR. 4. THE CIT, JALANDHAR 5. THE SR DR, ITAT, AMRITSAR. TRUE COPY BY ORDER (ASSISTANT REGISTRAR) INCOME TAX APPELLATE TRIBUNAL, AMRITSAR BENCH: AMRITSAR.