KARSSONDAS EXPORTS, MUMBAI V. ACIT RG 25(3), MUMBAI

ITA 563/MUM/2009

• Counselvise Citation: [2009] 115 COUNSELVISE.COM (IT) 1625 (ITAT-MUMBAI)
• Duration Of Justice: 9 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-11-2009
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2001-2002
• Appeal Filed On: 28-01-2009
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: VIKRAM GAUR
• Assessee Lawyers: ISHWAR P RODHI
• Keywords: Set aside
• Section: 80HHC; 28

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH A,MUMBAI BEFORE SHRI G.D.AGARWAL,VICE PRESIDENT& SHRI G.C.GUPTA (J.M) ITA NO.563/MUM/2009(A.Y. 2001-02) M/S. KARSSONDAS EXPORTS, UNIT NO.103, 1 ST FLOOR, SOLITARE BUILDING, S.V.ROAD, SANTACRUZ(W), MUMBAI 54. PAN:AAAFK 1397E (APPELLANT) VS. THE ACIT, RANGE 25(3), C-11, 3 RD FLOOR, PRATYAKSHKAR BHAVAN, BANDRA KURLA COMPLEX, BANDRA (E), MUMBAI - 51 (RESPONDENT) APPELLANT BY : SHRI. ISHWAR P. RODHI RESPONDENT BY : SHRI VIKRAM GAUR ORDER PER G.C.GUPTA,J.M THIS APPEAL BY THE ASSESSEE FOR THE ASSESSMENT YEAR 2001-0 2 IS DIRECTED AGAINST THE ORDER OF CIT(A). THE ONLY GROU ND OF APPEAL OF THE ASSESSEE IS AS UNDER:- 1. THE LEARNED ASSESSING OFFICER HAS ERRED IN NOT ALLO WING DEDUCTION U/S. 80HHC ON SALE OF DEPB LICENCE AND THE A.O HAS FAILED TO GRANT DEDUCTION AMOUNTING TO RS. 1,47,42,286/- WITHOUT APPR ECIATING THE FACT THAT AS PER SECTION 28 (IIID) ONLY PROFIT REALIZE D FROM SALE OF DEPB LICENSE WHICH IS RS. 1,97,862/- WILL NOT BE ELIGIBLE FOR DEDUCTION U/S. 80 HHC AND NOT THE FULL SALE CONSIDERATION RECEIVED ON DEPB LICENCE AND THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) ERRED IN CONFIRMING THE SAME. 2. THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE ISSU E IN THE GROUND OF APPEAL OF THE ASSESSEE REGARDING DEDUCTION UND ER SECTION 80 HHC ON SALE OF DEPB LICENCE IS COVERED WITH THE DECISION OF TH E SPECIAL BENCH OF ITA NO. 563/M/09(A.Y 2001-02) 2 THE MUMBAI TRIBUNAL IN THE CASE OF M/S. TOPMAN EXPORT S, ITA NO.5769/MUM/06 ORDER DATED 11/8/09. THE LD. D.R SU BMITTED THAT THE PARA- 89 OF THE ORDER OF THE SPECIAL BENCH OF MUMBAI TRIBUNAL IN M/S. TOPMAN EXPORTS IS APPLICABLE AND THE A.O MAY BE DIREC TED TO DECIDE THE ISSUE ACCORDINGLY. THE LD. COUNSEL FOR THE ASSESSEE HAS NO OB JECTION TO THE SUBMISSION OF THE LD. D.R. 3. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. THE ISSUE OF DEDUCTION UNDER SECTION 80 HHC ON SALE OF DEPB LICENCE IS COVERED WIT H THE DECISION OF THE SPECIAL BENCH OF MUMBAI TRIBUNAL IN M/S. TOPMAN E XPORTS (SUPRA) AND ACCORDINGLY THE ISSUE IS SET ASIDE TO THE FILE OF THE A.O WITH DIRECTION TO DECIDE THE SAME AFRESH IN ACCORDANCE WITH LAW AND IN ACCOR DANCE WITH THE DECISION OF THE TRIBUNAL IN M/S. TOPMAN EXPORTS (SUPRA ) AND IN PARTICULAR THE PARA- 89 THEREOF, AFTER ALLOWING REASONABLE OPPORTUN ITY OF HEARING TO THE ASSESSEE. WE DIRECT ACCORDINGLY. 4. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWED F OR STATISTICAL PURPOSES. ORDER PRONOUNCED ON THE 23RD DAY OF NOV., 2009. SD/- SD/- (G.D.AGARWAL) (G.C.GUPTA) VICE PRESIDENT JUDICIAL MEMBER MUMBAI, DT. 23RD NOV. 2009 ITA NO. 563/M/09(A.Y 2001-02) 3 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A)XXV 4. THE CIT.XXV,MUMBAI 5. THE D.RA BENCH. (TRUE COPY) BY ORDER ASST. REGISTRAR, ITAT , MUMBAI BENCHES MUMBAI. VM. ITA NO. 563/M/09(A.Y 2001-02) 4 DETAILS DATE INITIALS DESIGNATION 1 DRAFT DICTATED ON 23.11.09 SR.PS/PS 2 DRAFT PLACED BEFORE AUTHOR SR.PS/PS 3 DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4 DRAFT DISCUSSED/APPROVED BY SECOND MEMBER JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS/PS 6. KEPT FOR PRONOUNCEMENT ON SR.PS/PS 7. FILE SENT TO THE BENCH CLERK SR.PS/PS 8 DATE ON WHICH THE FILE GOES TO THE HEAD CLERK 9 DATE OF DISPATCH OF ORDER ITA NO. 563/M/09(A.Y 2001-02) 5 ITA NO. 563/M/09(A.Y 2001-02) 6