ITO 8(3)(4), MUMBAI V. XS CAD INDIA P.LTD, MUMBAI

ITA 5001/MUM/2013

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 88480 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 8 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-03-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 05-03-2015
• Assessment Year: 2010-2011
• Appeal Filed On: 02-07-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PAVAN KUMAR BEER LA
• Assessee Lawyers: JIGNESH R SHAH
• Keywords: Business income

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL G BE NCH, MUMBAI , ! '# $ $ $ $ , '# % BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER AND SHRI VIVEK VARMA, JUDICIAL MEMBER ./I .T.A. NO. 5001/MUM/2013 ( & & & & / ASSESSMENT YEAR : 2010-11 THE ITO-8(3)-4, AAYAKAR BHAVAN, MUMBAI-400 020 / VS. M/S. XS CAD INDIA PVT. LTD., 311, MAHAVIR INDUSTRIAL ESTATE, OFF. MAHAKALI CAVES ROAD, ANDHERI (E), MUMBAI-400 093 #' ! ./ ( ./ PAN/GIR NO. : AAACX 0304P ( ') / APPELLANT ) .. ( *+') / RESPONDENT ) ') , / APPELLANT BY: SHRI PAVAN KUMAR BEERLA *+') - , / RESPONDENT BY: SHRI JIGNESH R SHAH - ./! / DATE OF HEARING :05.03.2015 01& - ./! / DATE OF PRONOUNCEMENT :05.03.2015 '2 / O R D E R PER N.K. BILLAIYA, AM: WITH THIS APPEAL THE REVENUE HAS CHALLENGED THE CO RRECTNESS OF THE ORDER OF THE LD. CIT(A)-18,MUMBAI DT. 30.4.2013 PER TAINING TO ASSESSMENT YEAR 2010-11. ITA NO. 5001/M/2013 2 2. THE SOLE GRIEVANCE OF THE REVENUE IS THAT THE LD . CIT(A) ERRED IN DIRECTING THE AO TO ALLOW THE ASSESSEES ENHANCED C LAIM OF DEDUCTION U/S. 10A @ 100% AGAINST 50% CLAIMED BY THE ASSESSEE. 3. THE SHORT ISSUE BEFORE US IS THAT THE ASSESSEE H AS WRONGLY CLAIMED DEDUCTION U/S. 10A @ 50% OF BUSINESS INCOME IN PLAC E OF 100% ELIGIBILITY. 4. DURING THE COURSE OF THE ASSESSMENT PROCEEDINGS, THE ASSESSEE FILED A REVISED COMPUTATION OF INCOME CLAIMING 100% DEDUC TION TO WHICH IT WAS ELIGIBLE. THE CLAIM OF THE ASSESSEE WAS DENIED BY THE AO. THE AO DREW SUPPORT FROM THE DECISION OF THE HONBLE SUPRE ME COURT IN THE CASE OF GOETZE INDIA LTD. VS CIT 284 ITR 323. 5. THE MATTER TRAVELLED BEFORE THE LD. CIT(A). THE LD. CIT(A) FOUND THAT THERE IS NO DISPUTE IN SO FAR AS THE ELIGIBILI TY OF THE CLAIM IS CONCERNED. THE ASSESSEE IS VERY MUCH ELIGIBLE FOR 100% DEDUCTION THOUGH IN THE RETURN OF INCOME 50% DEDUCTION WAS CL AIMED. DRAWING SUPPORT FROM VARIOUS DECISIONS, THE LD. CIT(A) DIRE CTED THE AO TO ALLOW THE CLAIM OF DEDUCTION U/S. 10A @ 100% AS CLAIMED B Y THE ASSESSEE. 6. AGGRIEVED BY THIS, REVENUE IS BEFORE US. THIS I SSUE IS NO MORE RES- INTEGRA AS IT HAS BEEN SETTLED IN FAVOUR OF THE ASS ESSEE AND AGAINST THE REVENUE BY THE DECISION OF THE HONBLE JURISDICTION AL HIGH COURT IN THE CASE OF CIT VS PRUTHVI BROKERS & SHAREHOLDERS PVT. LTD. 349 ITR 336 WHEREIN THE HONBLE JURISDICTIONAL HIGH COURT HAS CONSIDERED THE DECISION OF THE HONBLE SUPREME COURT IN THE CASE O F GOETZE INDIA LTD. (SUPRA) AND NATIONAL THERMAL POWER CO. LTD. VS CIT2 29 ITR 383 AND FINALLY CONCLUDED THAT EVEN IF A CLAIM IS NOT MADE BEFORE THE AO, IT CAN BE ITA NO. 5001/M/2013 3 MADE BEFORE THE APPELLATE AUTHORITIES. THE JURISDI CTION OF THE APPELLATE AUTHORITIES TO ENTERTAIN SUCH A CLAIM HAS NOT BEEN NEGATED BY THE SUPREME COURT IN THIS JUDGEMENT. IN FACT, THE SUPREME COUR T MADE IT CLEAR THAT THE ISSUE IN THE CASE WAS LIMITED TO THE POWER OF THE A SSESSING AUTHORITY AND THAT THE JUDGEMENT DOES NOT IMPINGE ON THE POWER OF THE TRIBUNAL U/S. 254 OF THE ACT. 7. RESPECTFULLY FOLLOWING THE RATIO LAID DOWN BY TH E HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF PRUTHVI BR OKERS & SHAREHOLDERS PVT. LTD (SUPRA), WE DECLINE TO INTERFERE WITH THE FINDINGS OF THE LD. CIT(A). 8. IN THE RESULT, THE APPEAL FILED BY THE REVENUE I S DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF H EARING ON 5 TH MARCH, 2015 SD/- SD/- (VIVEK VARMA ) (N.K. BILLAIYA) '# /JUDICIAL MEMBER ! '# / ACCOUNTANT MEMBER MUMBAI; 3' DATED :5 TH MARCH, 2015 . . ./ RJ , SR. PS ITA NO. 5001/M/2013 4 '2 '2 '2 '2 - -- - *. *. *. *. 4&. 4&. 4&. 4&. / COPY OF THE ORDER FORWARDED TO : 1. ') / THE APPELLANT 2. *+') / THE RESPONDENT. 3. 5 ( ) / THE CIT(A)- 4. 5 / CIT 5. 67 *. , , / DR, ITAT, MUMBAI 6. 78 9 / GUARD FILE. '2 '2 '2 '2 / BY ORDER, +. *. //TRUE COPY// : :: : / ; ; ; ; (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI