Jones Lang LaSalle Property Consultants (India) Private Limited, New Delhi V. Deputy Commissioner of Income-tax, New Delhi

ITA 2143/DEL/2015

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 7276 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 9 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-01-2019
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: I1
• Next Hearing Date: 05-06-2017
• Assessment Year: 2010-2011
• Appeal Filed On: 10-04-2015
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SANJAY I BARA
• Keywords: Transfer pricing; Initiation of penalty proceedings; Competent authority
• Section: 143(3); 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH : I-1 : NEW DELHI BEFORE SHRI R.K. PANDA, ACCOUNTANT MEMBER AND SMT. BEENA A. PILLAI, JUDICIAL MEMBER ITA NOS.2143/DEL/2015, 882/DEL/2016, 398/DEL/2017 & 3290/DEL/2017 ASSESSMENT YEARS: 2010-11, 2011-12, 2012-13 & 2013- 14 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT. LTD., 1110, ASHOKA ESTATE, BARAKHAMBA ROAD, CONNAUGHT PLACE, NEW DELHI. PAN: AAACL2089B VS. ADDL. CIT, SPECIAL RANGE-5, NEW DELHI. (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI PARTH, ADVOCATE REVENUE BY : SHRI SANJAY I BARA, CIT, DR DATE OF HEARING : 10.01.2019 DATE OF PRONOUNCEMENT : 10.01.2019 ORDER PER BENCH: THE ABOVE FOUR APPEALS FILED BY THE ASSESSEE ARE DI RECTED AGAINST THE SEPARATE ORDERS PASSED U/S 143(3) R.W.S. 144C(3) OF THE IT A CT, 1961FOR THE ASSESSMENT YEAR 2010-11 TO ASSESSMENT YEAR 2013-14 RESPECTIVELY. FOR THE SAKE OF CONVENIENCE, ALL THESE APPEALS WERE HEARD TOGETHER AND ARE BEING DIS POSED OF BY THIS COMMON ORDER. ITA NOS.2143/DEL/2015, 882/DEL/2016, 398/DEL/2017 & 3290/DEL/2017 2 2. AT THE TIME OF HEARING, THE LD. COUNSEL FOR THE ASSESSEE FILED APPLICATION FOR EACH OF THE APPEALS SEEKING PERMISSION OF THE BENCH TO W ITHDRAW THE APPEALS FILED BY THE ASSESSEE. FOR THE SAKE OF CONVENIENCE, THE CONTENT S OF THE APPLICATION FOR ASSESSMENT YEAR 2010-11, VIDE ITA NO.2143/DEL/2015 IS REPRODUC ED AS UNDER:- DECEMBER 31, 2018 TO, HON'BLE PRESIDENT, THE INCOME TAX APPELLATE TRIBUNAL, BENCH I-1, 10 TH FLOOR, LOK NAYAK BHAWAN, KHAN MARKET, NEW DELHI 110003 DEAR SIR, RE: JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PRIVATE LIMITED (THE COMPANY' OR THE APPELLANT') PAN NO. AAACL2089B APPEAL NOS.: 2143/DEL/2015 (AY 2010-11) NDOH 10 .01.2019 RESOLUTION REACHED UNDER MUTUAL AGREEMENT PROCEDU RE UNDER ARTICLE 27 OF THE INDIA - SINGAPORE DOUBLE TAXATION AVOIDANCE A GREEMENT WE, AS AUTHORIZED REPRESENTATIVES OF APPELLANT, SUB MIT THE FOLLOWING FOR YOUR HONOUR'S KIND CONSIDERATION. SUBJECT APPEAL HAS BEEN FILED BY APPELLANT, UNDER S ECTION 253(1) OF INCOME TAX ACT, 1961 ('THE ACT') AGAINST ASSESSMENT ORDER DATE D 10 FEBRUARY 2015 PASSED BY DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 13(2) FOR AY 2010-11. COPY OF GROUNDS OF APPEAL FILED BEFORE HON'BLE INCOME TAX A PPELLATE TRIBUNAL, DELHI BENCHES ('HON'BLE TRIBUNAL') IS ATTACHED HEREWITH A S ANNEXURE 1. DURING THE FINANCIAL YEAR UNDER CONSIDERATION, APPE LLANT HAD ENTERED INTO TRANSACTION PERTAINING TO BUSINESS ADVISORY AND SUP PORT SERVICES WITH ITS ASSOCIATED ENTERPRISES WHICH IS SUBJECT MATTER OF TRANSFER PRI CING ADJUSTMENT. THE APPELLANT HAS ALSO FILED AN APPLICATION UNDER M UTUAL AGREEMENT PROCEDURE ('MAP') BEFORE THE COMPETENT AUTHORITY ON SEEKING A SSISTANCE UNDER ARTICLE 27 OF THE INDIA - SINGAPORE DOUBLE TAXATION AVOIDANCE AGR EEMENT. ITA NOS.2143/DEL/2015, 882/DEL/2016, 398/DEL/2017 & 3290/DEL/2017 3 IN THIS REGARD, ADDITIONAL COMMISSIONER OF INCOME T AX, SPECIAL RANGE - 5, NEW DELHI ('LEARNED AO') HAS ISSUED A NOTICE DATED 12 N OVEMBER 2018, INFORMING THE APPELLANT ABOUT THE RESOLUTION UNDER THE MAP PROCEE DING. COPY OF NOTICE IS ENCLOSED HEREWITH AS ANNEXURE 2. THE MAP RESOLUTION (COPY ENCLOSED AS ANNEXURE 3) HAS SPECIFIED THE MANNER IN WHICH THE INCOME DER IVED BY THE APPELLANT FROM ITS CLIENTS SHOULD BE ASSESSED. IN THIS REGARD, THE LEA RNED AO BY ABOVE NOTICE AND IN VIEW OF RULE 44H OF INCOME TAX RULES, 1962, HAS ALS O GIVEN AN OPPORTUNITY TO ACCEPT THE MAP RESOLUTION AND ALSO TO WITHDRAW THE RELEVANT GROUNDS. WE, ON BEHALF OF APPELLANT, RESPECTFULLY SUBMIT THA T ABOVE MENTIONED MAP RESOLUTION IS ACCEPTABLE TO APPELLANT. IN VIEW OF R ULE 44H OF THE INCOME TAX RULES, 1962, WE HUMBLY REQUEST YOUR HONOUR TO ALLOW US TO WITHDRAW GROUND NOS. 1 TO 5, INCLUDING ANY SUB-GROUNDS, OF APPEAL ON THE ISSUE W HICH WAS THE SUBJECT MATTER FOR ADJUDICATION UNDER MAP PROCEEDINGS. IN ADDITION TO THE ABOVE, WE ALSO SEEK YOUR HONOUR'S PERMISSION TO WITHDRAW GROUND NO. 6, ALONG WITH ANY SUB GROUND, PERTAINING TO DISALLOWANCE OF EXPENDITURE UNDER SEC TION 14A WITHOUT ACCEPTING THE CONTENTIONS OF LEARNED AO NOTED WHILE PASSING FINAL ASSESSMENT ORDER, AND GROUND NO. 7 & 8, ALONG WITH ANY SUB GROUNDS, BEING CONSEQ UENTIAL IN NATURE, PERTAINING TO INITIATION OF PENALTY PROCEEDINGS UNDER SECTION 271 (L)(C) AND LEVY OF INTEREST UNDER SECTION 234D AND WITHDRAWAL OF INTEREST UNDER SECTI ON 244 A OF THE ACT. ACCORDINGLY, WE CONVEY OUR ACCEPTANCE OF THE MAP RE SOLUTION REACHED AND WITHDRAW THE GROUNDS OF APPEAL MENTIONED ABOVE. THANKING YOU, YOURS FAITHFULLY, FOR JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PRIVATE LIMITED SD/- AUTHORIZED REPRESENTATIVE ENCL: AS ABOVE 3. IDENTICAL APPLICATIONS HAVE BEEN FILED BY THE AS SESSEE FOR THE OTHER THREE YEARS. THE LD. COUNSEL FOR THE ASSESSEE, REFERRING TO THE ABOVE APPLICATIONS REQUESTED THE BENCH TO PERMIT THE ASSESSEE TO WITHDRAW THE APPEAL S FOR THE ABOVE FOUR ASSESSMENT YEARS. ITA NOS.2143/DEL/2015, 882/DEL/2016, 398/DEL/2017 & 3290/DEL/2017 4 4. IN ABSENCE OF ANY OBJECTION FROM THE SIDE OF THE LD. DR, THE REQUEST OF THE ASSESSEE SEEKING PERMISSION OF THE BENCH TO WITHDRA W THE ABOVE APPEALS ARE ACCEPTED. THE APPEALS FILED BY THE ASSESSEE ARE ACCORDINGLY D ISMISSED AS WITHDRAWN. 5. IN THE RESULT, THE APPEALS ARE DISMISSED. THE DECISION WAS PRONOUNCED IN THE OPEN COURT AT T HE TIME OF HEARING ITSELF I.E., ON 10.01.2019. SD/- SD/- (BEENA A. PILLAI) (R.K. PANDA) JUDICIAL MEMBER ACCOUNTANT MEMFBER DATED: 10 TH JANUARY, 2019 DK COPY FORWARDED TO 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR ASSTT. REGISTRAR, ITAT, NEW DELHI