Shin Satellite Public Co. Ltd., New Delhi V. DDIT, New Delhi

ITA 3075/DEL/2012

• Counselvise Citation: 307520114 RSA 2012
• Duration Of Justice: 5 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-11-2012
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Next Hearing Date: 23-08-2012
• Assessment Year: 2009-2010
• Appeal Filed On: 18-06-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIJAY BABU VASANTA
• Assessee Lawyers: F V IRANI; ARUN MEHTA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: G : NEW DELHI BEFORE SHRI I. C. SUDHIR, JUDICIAL MEMBER AND SHRI T.S. KAPOOR, ACCOUN TANT MEMBER ITA NO. 3075/DEL/2012 ASSESSMENT YEAR: 2009- 2010 SHIN SATELLITE PUBLIC CO. LTD. VS. VS. DDIT, (NOW KNOWN AS THAICOM PUBLIC CO. LTD.) INTERNATIONAL TAXATION, C/O MOHINDER PURI & CO., CA, 1 A-D, CIRCLE 2 (2) VANDHNA, 11, TOLSTOY MARG, NEW DELHI. NEW DELHI 110 001. (PAN AAGCS4481E) (APPELLANT) (RESPO NDENT) APPELLANT BY : SHRI F.V. I RANI & SHRI ARUN MEHTA, ADVOCATE RESPONDENT BY : SHRI VIJAY BABU VASANTA, DR DATE OF HEARING : 23-08-2012 DATE OF PRONOUNCEMENT : ORDER PER I.C. SUDHIR, JUDICIAL MEMBER AT THE OUTSET OF HEARING THE LD. AR POIN TED OUT THAT THE ISSUE RAISED REGARDING NON-CHARGING OF TAX AS ROYALTY IN INDIA O N THE SERVICE CHARGES RECEIVED BY THE ASSESSEE FROM VARIOUS TV CHANNELS ON ACCOUNT OF PROVIDING FACILITY OF BROADCASTING THEIR PROGRAMMES THROUGH THE TRANSPOND ERS LOCATED IN THE SATELLITE, HAS BEEN DECIDED B THE TRIBUNAL IN THE CASE OF THE ASSESSEE IN ITS FAVOUR IN ASSTT. YEARS 1998-99 TO 2001-02 ( ITA NOS. 2598 TO 2601/DE L/2004 & ORS ORDER DATED 11.3.2011) AND 2007-08 (ITA NO. 5842/DEL/2010 ORDER DATED 22.7.2011). THUS ITA NO. 3075/DEL/2012 2 THE APPEAL MAY BE DISPOSED OFF BY THE BENCH FOLLOWI NG ITS EARLIER DECISION ON IDENTICAL ISSUE UNDER SIMILAR FACTS IN THE CASE OF SAME ASSESSEE. 2. LD. DR DID NOT OBJECT THE ABOVE SUBMISSION. HE HOWEVER PLACED RELIANCE ON THE ORDERS OF THE AUTHORITIES BELOW. 3. SINCE THE ISSUE RAISED IN THE GROUNDS OF THE PRESENT APPEAL, AS DISCUSSED ABOVE, IS FULLY COVERED BY THE EARLIER ORDERS OF TH E TRIBUNAL IN THE CASE OF THE ASSESSEE ITSELF FOR THE ASSTT. YEARS 1998-99 TO 200 1-02 AND 2007-08 (SUPRA), FOLLOWING THE SAME WE HOLD THAT THE SERVICE CHARGES RECEIVED BY THE ASSESSEE FROM VARIOUS TV CHANNELS ON ACCOUNT OF PROVIDING FA CILITY OF BROADCASTING THEIR PROGRAMMES THROUGH THE TRANSPONDERS LOCATED IN THE SATELLITES ARE NOT LIABLE TO BE TAXED AS ROYALTY IN INDIA. THIS DECISION IS GIVE N ON THE BASIS OF THE DECISION OF HONBLE DELHI HIGH COURT IN THE CASE OF ASIA SATELL ITE TELECOMMUNICATION CO. LTD. VS. DIT, ITA NO. 131 OF 2003 PRONOUNCED ON 31.1.201 1. THE CRUX OF THE DECISION OF HONBLE HIGH COURT IN THIS DECISION IS THAT THE RECEIPT RECEIVED BY THE ASSESSEE IS NOT TAXABLE EITHER UNDER SECTION 9 (1) (VI) OR SECTION 9(1)(VII) OF THE IT ACT. CONSEQUENTLY THE ISSUE RAISED IN THE GROUN DS IS DECIDED IN FAVOUR OF THE ASSESSEE WITH DIRECTION TO THE ASSESSING OFFICER TO DELETE THE ADDITION MADE ON ACCOUNT OF RECEIPT FOR PROVIDING FACILITY OF BROADC ASTING PROGRAMMES THROUGH THE SATELLITE TO VARIOUS TV CHANNELS. ITA NO. 3075/DEL/2012 3 4. IN THE RESULT APPEAL IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 22.11.2012. SD/- SD/- (T.S. KAPOOR) ( I.C. SU DHIR ) ACCOUNTANT MEMBER JUDI CIAL MEMBER DATE 22.11.2012 *VEENA COPY OF ORDER FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT(A) 4. CIT 5. DR BY ORDER DEPUTY REGISTRAR, ITAT