DCIT, CIR-2(1), KOLKATA, Kolkata V. M/s IXIA Technologies Pvt. Ltd., Kolkata

ITA 586/KOL/2015

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 4580 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 1 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-07-2016
• Appeal Filed By: Department
• Bench Allotted: C
• Next Hearing Date: 27-06-2016
• Assessment Year: 2010-2011
• Appeal Filed On: 11-05-2015
• Court: TRIBUNAL
• Department Lawyers: G MALLIKARJUNA
• Assessee Lawyers: ASHISH JAIN
• Keywords: Transfer pricing; International transaction

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH: KOL KATA [BEFORE SHRI M. BALAGANESH, AM & SHRI S. S. VISWAN ETHRA RAVI, JM] I.T.A NO.448/KOL/2015 ASSESSMENT YEAR: 2010-11 IXIA TECHNOLOGIES PVT. LTD. VS. DEPUTY COMMISSIO NER OF INCOME-TAX, (PAN:AACCC5468K) CIRCLE-2(1), KOLKATA. ( APPELLANT ) ( RESPONDENT ) & I.T.A NO.586/KOL/2015 ASSESSMENT YEAR: 2010-11 DEPUTY COMMISSIONER OF INCOME-TAX, VS. IXIA TECHNO LOGIES PVT. LTD. CIRCLE-2(1), KOLKATA. (APPELLANT) (RESPONDENT) DATE OF HEARING: 27.06.2016 DATE OF PRONOUNCEMENT: 01.07.2016 FOR THE ASSESSEE: SHRI ASHISH JAIN, AR FOR THE REVENUE: SHRI G. MALLIKARJUNA, CIT, DR ORDER PER SHRI M. BALAGANESH, AM: THESE CROSS APPEALS BY ASSESSEE AND REVENUE ARE ARI SING OUT OF ORDER OF DISPUTE RESOLUTION PANEL, KOLKATA VIDE F. NO. DRP/KOL/SECTT /2014-15 DATED 28.11.2014. ASSESSMENT WAS FRAMED BY DCIT, CIRCLE-2(1), KOLKATA U/S. 143(3)/144C OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT ) FOR AY 2010-11 VIDE HIS ORDER DATED 18.02.2015. 2. THE LD. COUNSEL FOR THE ASSESSEE VIDE LETTER DAT ED 19.04.2016 SUBMITTED AS UNDER: THE HEARING FOR THE CAPTIONED APPEAL IS SCHEDULED ON 19 APRIL 2016 WHEREIN I.T.A. NO. 586/KOL/2015 RELATES TO THE APPEAL FILED BY THE REV ENUE AND I.T.A. NO. 448/KOL/2015 RELATES TO THE APPEAL FILED BY THE APPELLANT. IN THIS REGARD, THE APPELLANT WOULD LIKE TO INFORM THAT, IT HAD FILED FOR AN ADVANCE PRICING AGREEMENT ('APA') FOR THE PERIOD BEGINNING FROM FIN ANCIAL YEAR (FY) 2013-14 TO FY 2017-18 WITH THE CENTRAL BOARD OF DIRECT TAXES ('CB DT'). FURTHER, IT ALSO FILED FOR THE ROLLBACK OF THE SAID APA FOR FOUR PREVIOUS YEARS I. E. FY 2009-10 TO FY 2012-13. THE APA HAS NOW BEEN FINALIZED AND SIGNED WITH THE CBDT ON 31ST MARCH 2016. THE COPY OF THE SAME IS ATTACHED HEREWITH AS ANNEXURE 1 TO THE LETT ER. IN THIS REGARD, AS AY 2010-11 FALLS UNDER THE APA P ERIOD AS PER THE ROLL BACK MECHANISM, THE PRICING FOR THE INTERNATIONAL TRANSACTIONS WOUL D BE GOVERNED BY THE TERMS AND CONDITIONS AS AGREED IN THE APA. RULE 10RA(4) AND R ULE 10RA(5) OF THE INCOME-TAX RULES, 1962 REQUIRES THAT ANY APPEAL PENDING BEFORE THE HON'BLE TRIBUNAL NEEDS TO BE WITHDRAWN IN SO FAR AS THE ISSUES ARE COVERED BY TH E APA. 2 ITA NO.448 & 586/K/2015 IXIA TECHNOLOGIES PVT. LTD. AY 2010-11 THE RELEVANT EXTRACT OF THE AFORESAID RULES IS REPR ODUCED BELOW: (4) IF ANY APPEAL FILED BY THE APPLICANT IS PENDIN G BEFORE THE COMMISSIONER (APPEALS), APPELLATE TRIBUNAL OR THE HIGH COURT FOR A ROLLBACK YEAR, ON THE ISSUE WHICH IS THE SUBJECT MATTER OF THE ROLLBACK PROVISION FOR TH AT YEAR, THE SAID APPEAL TO THE EXTENT OF THE SUBJECT COVERED UNDER THE AGREEMENT SHALL BE WI THDRAWN BY THE APPLICANT BEFORE FURNISHING THE MODIFIED RETURN FOR THE SAID YEAR. (5) IF ANY APPEAL FILED BY THE ASSESSING OFFICER OR THE PRINCIPAL COMMISSIONER OR COMMISSIONER IS PENDING BEFORE THE APPELLATE TRIBUN AL OR THE HIGH COURT FOR A ROLLBACK YEAR, ON THE ISSUE WHICH IS SUBJECT MATTER OF THE R OLLBACK PROVISION FOR THAT YEAR, THE SAID APPEAL TO THE EXTENT OF THE SUBJECT COVERED UNDER T HE AGREEMENT SHALL BE WITHDRAWN BY THE ASSESSING OFFICER OR THE PRINCIPAL COMMISSIONER OR THE COMMISSIONER, AS THE CASE MAY BE, WITHIN THREE MONTHS OF FILING OF MODIFIED RETUR N BY THE APPLICANT. IN VIEW OF THIS, THE APPELLANT WOULD HUMBLY LIKE TO WITHDRAW ITA APPEAL NO. 448/KOL/2015 (GROUND NOS. 1 TO 15) FILED ON 20TH AP RIL 2015 SINCE IT RELATES TO ISSUES COVERED IN THE ADVANCE PRICING AGREEMENT. 3. IN VIEW OF THE AFORESAID PROVISIONS OF THE RULE 10RA(4) AND 10RA(5) OF THE I. T. RULES, 1962, WE HEREBY DISMISS THE APPEAL OF ASSESS EE AS WITHDRAWN. SINCE THE ISSUES OF APPEAL OF REVENUE ARE COVERED BY THE ADVANCE PRICIN G AGREEMENT, REVENUES APPEAL ALSO NEEDS TO BE WITHDRAWN AND HENCE, THE SAME IS DISMIS SED. 4. IN THE RESULT, BOTH THE APPEALS OF ASSESSEE AND REVENUE ARE DISMISSED. 5. ORDER IS PRONOUNCED IN THE OPEN COURT ON 01.07.2 016 SD/- SD/- (S.S. VISWANETHRA RAVI) (M. BALAGANESH) JUDICIAL MEMBER ACCOUNTAN T MEMBER DATED : 1ST JULY, 2016 JD.(SR.P.S.) COPY OF THE ORDER FORWARDED TO: 1 . APPELLANT IXIA TECHNOLOGIES PVT. LTD., INFINITY T OWERS-II, BLOCK GP, SALT LAKE CITY, SECTOR V, KOLKATA-700 091. 2 RESPONDENT DCIT, CIRCLE-2(1), KOLKATA. 3 . THE CIT(A), KOLKATA 4. 5. CIT , KOLKATA DR, KOLKATA BENCHES, KOLKATA / TRUE COPY, BY ORDER, ASSTT. REGISTRAR .