DCIT(E), Circle- 1(1), New Delhi V. ERNET India , Delhi

ITA 4233/DEL/2018

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 1018 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 1 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-07-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2015-2016
• Appeal Filed On: 01-06-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH B, NEW DELHI BEFORE SH. N. K. BILLAIYA, ACCOUNTANT MEMBER AND SH. AMIT SHUKLA, JUDICIAL MEMBER (THROUGH VIDEO CONFERENCING) ITA NO.4233/DEL/2018 ASSESSMENT YEAR: 2015-16 DCIT (E) CIRCLE 1 (1) NEW DELHI VS ERNET INDIA 5 TH FLOOR, BLOCK-I, A-WING, DMRC, IT PARK, SHASTRI PARK, DELHI-110053 PAN NO. AAATE0202A (RESPONDENT) APPELLANT BY SH. MAHESH THAKUR, SR. DR RESPONDENT BY MS. DEEPASHREE RAO, CA SH. KARAN JAIN, CA DATE OF HEARING: 08/07/2021 DATE OF PRONOUNCEMENT: 08/07/2021 ORDER PER N. K. BILLAIYA, AM: THIS APPEAL BY THE REVENUE IS PREFERRED AGAINST TH E ORDER OF THE CIT(A)-40, DELHI DATED 22.03.2018 PERTAINING TO A.Y. 2015- 16. 2 2. THE ONLY GRIEVANCE OF THE REVENUE READ AS UNDER :- (I) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE A ND IN LAW, THE LD. CIT(A) HAS ERRED IN. ALLOWING THE APPEAL OF THE ASSESSEE BY IGNORING THE FACT THAT EVEN THOUGH THE OBJECTS OF THE SOCIETY MAY HAVE BEEN CHARITABLE BUT THE ACTIVI TIES CARRIED OUT BY THE SOCIETY WHICH YIELDED INCOME TO THE SOCIET Y WERE COMMERCIAL IN NATURE. (II) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AN D IN LAW, THE LD. CIT(A) HAS ERRED IN IGNORING THE FACT T HAT ASSESSEE WAS EARNING HUGE PROFITS BY PROVIDING DATA CONNECTI VITY TO ITS SUBSCRIBERS IN LIEU OF CONSIDERATION AS PER ITS OBJE CTS AND NOWHERE CHARITY CAN BE SEEN IN THE WHOLE PROCESS. 3. AT THE VERY OUTSET THE COUNSEL FOR THE ASSESSEE STATED THAT THE ISSUES RAISED BY THE REVENUE HAVE BEEN DECIDED BY THIS TRIBUNAL IN ASSESSEES OWN CASE FOR A.Y.2009-10 AND 2010-11 IN ITA NO.2873 AND 2874/DEL/2014 WHICH HAS BEEN UPHELD BY THE HONBLE DELHI HIGH COURT IN ITA NO.637 OF 2018 AND 642 OF 2018. THE LD. DR FAIRLY CONCEDED TO THIS. 4. WE HAVE CAREFULLY CONSIDERED THE ORDERS OF THE A UTHORITIES BELOW AND HAVE ALSO CONSIDERED THE DECISION OF THE COORDINATE 3 BENCH AND OF THE HONBLE HIGH COURT WHICH ARE PLACE D IN THE FORM OF PAPER BOOK BEFORE US. THE RELEVANT FINDINGS OF THE COORDINATE BENCH READ AS UNDER :- 5. AND THE RELEVANT FINDINGS OF THE HONBLE HIGH CO URT IN ITA NO.637/2018 READ AS UNDER :- 4 6. THE RELEVANT FINDINGS OF THE HONBLE HIGH COURT IN ITA NO.642/2018 READ AS UNDER :- 5 7. AS THE ISSUE IS WELL SETTLED IN FAVOUR OF THE A SSESSEE AND AGAINST THE REVENUE NO INTERFERENCE IS CALLED FOR. THE APPEAL FILED BY THE REVENUE IS ACCORDINGLY DISMISSED. 8. IN THE RESULT, THE APPEAL FILED BY THE REVENUE IS DISMISSED. 6 9. DECISION ANNOUNCED IN THE OPEN COURT IN THE PRE SENCE OF BOTH THE REPRESENTATIVES ON 08.07.2021. SD/- SD/- (AMIT SHUKLA) (N. K. BILLAIYA) JUDICIAL MEMBER A CCOUNTANT MEMBER *NEHA* DATE:-08.07.2021 COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGI STRAR ITAT NEW DELHI DATE OF DICTATION 0 8 .07.2021 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 0 8 .07.2021 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER 0 8 .07.2021 DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR.PS/PS 0 8 .07.2021 DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT 0 8 .07.2021 DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/ PS 0 8 .07.2021 DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT 0 8 .07.2021 DATE ON WHICH THE FILE GOES TO THE BENCH CLERK DATE ON WHICH FILE GOES TO THE HEAD CLERK. THE DATE ON WHICH FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER