A.C.I.T. RANGE-11(1), MUMBAI V. M/S. STAR INDIA PVT.LTD., MUMBAI

ITA 6385/MUM/2008

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 0582 (ITAT-MUMBAI)
• Duration Of Justice: 10 year(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-11-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: K
• Assessment Year: 2003-2004
• Appeal Filed On: 03-11-2008
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PAVAN KUMAR BEER LA; JAYANT KUMAR
• Assessee Lawyers: DINESH CHAWLA
• Section: 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL J , BENCH MUMBAI BEFORE SHRI R.C.SHARMA, AM & SHRI RAM LAL NEGI , JM ITA NO. 6385 / MUM/20 08 ( ASSESSMENT YEAR : 2003 - 04 ) ACIT, RANGE 11(1) ROOM NO.439, AAYAKAR BHAVAN, M.K. MARG MUMBAI 400 020 VS. M/S. STAR INDIA PVT LTD., STAR HOUSE, 3 RD FLOOR DR. E. MOSES ROAD MAHALAXMI, MUMBAI - 11 PAN/GIR NO. AACCS4452P ( APPELLANT ) .. ( RESPONDENT ) REVENUE BY SHRI JAYANT KUMAR AND SHRI PAVAN KUMAR BEERLA ASSESSEE BY SHRI PORUS KAKA AND SHRI DINESH CHAWLA DATE OF HEAR ING 30 / 11 /201 8 DATE OF PRONOUNCEMENT 30 / 11 /201 8 / O R D E R PER R.C.SHARMA (A.M) : THIS IS AN APPEAL FILED BY THE REVENUE AGAINST THE ORDER OF CIT(A) - XXXII DATED 24/09/2008 FOR A.Y.2003 - 04 IN THE MATTER OF ORDER PASSED U/S.143(3 ) OF THE IT ACT. 2. RIVAL CONTENTIONS HAVE BEEN HEARD AND RECORD PERUSED. FACTS IN BRIEF ARE THAT ASSESSEE IS ENGAGED IN PRODUCING AND PROCURING TELEVISION PROGRAMMES AND SUPPLYING THEM TO OVERSEAS MEDIA COMPANIES, AGENTS FOR ADVERTISEMENT, AND SALES FOR O VERSEAS MEDIA COMPANIES AND CARRIES ON CHANNEL SUBSCRIPTION BUSINESS. DURING THE COURSE OF ASSESSMENT ITA NO. 6385/MUM/2008 M/S. STAR INDIA PVT. LTD., 2 U/S.143(3), THE AO DISALLOWED ASSESSEES CLAIM OF LICENCE FEE WHICH WAS DELETED BY CIT(A) AFTER HAVING A DETAILED OBSERVATION AT PARA 4.1 TO 4.12. 3. WE FOUND THAT THIS APPEAL OF THE REVENUE WAS DECIDED BY THE TRIBUNAL VIDE ITS ORDER DATED 20/05/2016. THEREAFTER, ASSESSEE FILED MISCELLANEOUS PETITION WHEREIN ISSUE WITH REGARD TO DEDUCTION OF LICENSE FEE WAS ALLEGED TO BE NOT DECIDED AS PER TRIBUNAL ORDER I N ASSESSEES OWN CASE. ACCORDINGLY, VIDE M.A. ORDER DATED 12/07/2017 ONLY ISSUE WITH REGARD TO DEDUCTIBILITY OF LICENSE FEE WAS RECALLED. ACCORDINGLY, WE ARE DECIDING THE ONLY GROUND WITH REGARD TO DEDUCTIBILITY OF LICENSE FEE. 4 . AT THE OUTSET, LEARNED AR PLACED ON RECORD THE ORDER OF THE TRIBUNAL IN ASSESSEES OWN CASE FOR THE A.Y.2001 - 02 WHEREIN EXACTLY SIMILAR ISSUE HAS BEEN DECIDED BY THE TRIBUNAL IN ASSESSEES FAVOUR. DEPARTMENT FILED APPEAL BEFORE THE HONBLE HIGH COURT AND THE HONBLE HIGH COURT HAS DISMISSED THE DEPARTMENTS APPEAL. EVEN SLP FILED BY THE DEPARTMENT IN THE HONBLE SUPREME COURT WAS DISMISSED. MOREOVER, WE FOUND THAT IN THE A.Y.2003 - 04 AND 2004 - 05 ALSO, THE TRIBUNAL HAVE DECIDED TH IS ISSUE IN ASSESSEE S FAVOUR. FROM THE RECORD, WE AL SO FOUND THAT IN THE A.Y.2005 - 06 AND 2006 - 07, AO HIMSELF HAS ALLOWED CLAIM OF DEDUCTION ON ACCOUNT OF LICENSE FEE AT THE ASSESSMENT STAGE ITSELF. IN VIEW OF THE ABOVE AND RESPECTFULLY FOLLOWING THE ORDER OF THE TRIBUNAL, IN ASSESSEES OWN CASE, WE DO NOT F IND ANY INIFIRMITY IN THE ORDER OF CIT(A) FOR ALLOWING ASSESSEES CLAIM OF DEDUCTION ON ACCOUNT OF LICENSE FEE. ITA NO. 6385/MUM/2008 M/S. STAR INDIA PVT. LTD., 3 5. IN THE RESULT, APPEAL FILED BY THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 30 / 11 /201 8 SD/ - ( RAM LAL NEGI ) SD/ - (R.C.SHARMA) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI ; DATED 30 / 11 /201 8 KARUNA SR. PS COPY OF THE ORDER FORWARDED TO : BY ORDER, ( ASSTT. REGISTRAR) ITAT, MUMBAI 1. THE APPELLANT 2. THE RESPONDENT. 3. T HE CIT(A), MUMBAI. 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE. //TRUE COPY//