Southern Cashew Exporters, Kollam V. DCIT, Kollam

ITA 299/COCH/2010

• Counselvise Citation: [2011] 119 COUNSELVISE.COM (IT) 7056 (ITAT-COCHIN)
• Duration Of Justice: 1 year(s) 7 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-12-2011
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 20-12-2011
• Assessment Year: 2002-2003
• Appeal Filed On: 06-05-2010
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: IYPE MATHEW
• Assessee Lawyers: VIJAYAPRABHA
• Keywords: Retrospective amendment
• Section: 80HHC; 147; 148; 154

Judgement Text

1 ITA NO.299 & 300-COCH-2010 IN THE INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH, COCHIN BEFORE SHRI N.R.S. GANESAN (JM) AND SHRI SANJAY ARO RA (AM) I.T.A. NO. 299 & 300/COCH/2010 (ASSESSMENT YEARS 2002-03 & 2003-04) M/S SOUTHERN CASHEW EXPORTERS VS THE DY.CIT, CIR.1 CHANDANATHJOPE, KOLLAM KOLLAM PAN : AAEFM2115N (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI IYPE MATHEW ASSESSEE BY : MS. VIJAYAPRABHA DATE OF HEARING : 20-12-2011 DATE OF PRONOUNCEMENT : 20-12-2011 O R D E R PER N.R.S. GANESAN (JM) BOTH THE APPEALS OF THE ASSESSEE ARE DIRECTED AGAI NST THE TWO INDEPENDENT ORDERS OF THE COMMISSIONER OF INCOME-TAX(A)-I, TRIVANDRUM FOR THE ASSESSMENT YEARS 2002-03 AND 2003-04. SINCE COMMON ISSUE IS INVOLVED WE HEARD THESE APPEA LS TOGETHER AND DISPOSING OF THE SAME BY THIS COMMON ORDER. 2. THE ONLY ISSUE ARISES FOR CONSIDERATION IS WITHD RAWAL OF DEDUCTION U/S 80HHC IN RESPECT OF DEPB LICENCE AFTER REOPENING THE ASSESSMENT. 3. WE HEARD SHRI IYPE MATHEW, THE LD.REPRESENTATIVE FOR THE ASSESSEE AND MS. VIJAYAPRABHA, THE LD.DR. 4. THE ONLY CONTENTION OF THE LD.REPRESEENTATIVE FO R THE ASSESSEE IS THAT BASED UPON THE RETROSPECTIVE AMENDMENT OF SECTION 80HHC DEDUCTION / EXEMPTION CANNOT BE WITHDRAWN IN RESPECT OF DEPB INCENTIVE. 2 ITA NO.299 & 300-COCH-2010 5. ON THE CONTRARY, THE LD.DR, MS. VIJAYAPRABHA SUB MITTED THAT THE JURISDICTIONAL HIGH COURT UPHELD THE EARLIER ORDER OF THE ASSESSING OFF ICER IN RESPECT OF RECTIFICATION U/S 154. THEREFORE, ACCORDING TO THE LD.DR, WHEN THE ORDER C AN BE RECTIFIED U/S 154 IT CAN VERY WELL BE ASSESSED AS INCOME ESCAPED U/S 147 OF THE ACT ALSO. 6. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND ALS O PERUSED THE MATERIAL AVAILABLE ON RECORD. AS RIGHTLY SUBMITTED BY THE LD.DR, THE JUR ISDICTIONAL HIGH COURT UPHELD THE ORDER OF THE ASSESSING OFFICER U/S 154 WITHDRAWING THE DEDUCTION IN RESPECT OF DEPB INCENTIVE ON THE BASIS OF THE SUBSEQUENT AMENDMENT TO SECTION 80HHC RETROSPEC TIVELY. THEREFORE, WHEN THE DEDUCTION U/S 80HHC CAN BE WITHDRAWN BY AN ORDER U/S 154, IN OUR OPINION, IT CAN VERY WELL BE REOPENED U/S 147 BY ISSUING A NOTICE U/S 148 OF THE ACT. TH EREFORE, WE DO NOT FIND ANY INFIRMITY IN THE ORDER OF LOWER AUTHORITY. WE UPHOLD THE SAME. 7. IN THE RESULT, BOTH THE APPEAL OF THE ASSESSEE S TAND DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF HEARING ON THE 20 TH DAY OF DECEMBER, 2011. SD/- SD/- (SANJAY ARORA) (N.R.S. GANESAN) ACCOUNTANT MEMBER JUDICIAL MEMBER COCHIN, DT : 20 TH DECEMBER, 2011 PK/- COPY TO: 1. M/S SOUTHERN CASHEW EXPORTERS, CHANDANATHOPE, KOLLA M 2. A.C.I.T., CIR.1, KOLLAM 3. THE COMMISSIONER OF INCOME-TAX(A)-I, TRIVANDRUM 4. THE COMMISSIONER OF INCOME-TAX, TRIVANDRUM 5. THE DR (TRUE COPY) BY ORDER ASSTT. REGISTRAR, INCOME-TAX APPELLATE TRIBUNAL, COCHIN BENCH 3 ITA NO.299 & 300-COCH-2010 1. DATE OF DICTATION : 20-12-2011 2. DATE OF PLACING THE DRAFT ORDER BEFORE THE MEMBER : 20-12-2011 3. DATE OF PLACING THE PROPOSED ORDER BEFORE THE OTHER MEMBER : 4. DATE OF RETURN OF THE ORDER TO PS AFTER APPROVAL : 5. DATE OF PRONOUNCEMENT : 6. DATE ON WHICH THE FILE ALONG WITH THE ORDER SENT TO BC :