Dy. Commissioner of Income Tax , Circle-16(2), Hyderabad V. Ocean Sparkles Limited, Hyderabad

ITA 815/Hyd/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 7556 (ITAT-HYDERABAD)
• Duration Of Justice: 11 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-04-2019
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: DB-A
• Next Hearing Date: 14-02-2019
• Assessment Year: 2014-2015
• Appeal Filed On: 02-05-2018
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: VARSHA CHAWDA
• Assessee Lawyers: NILANJAN DEY
• Keywords: Set aside
• Section: 143(3); 80IA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH A, HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER ITA NO. 815/HYD/2018 ASSESSMENT YEAR: 2014-15 DCIT, CIRCLE 16(2), HYDERABAD. VS. M/S. OCEAN SPARKLES LTD., HYDERABAD. PAN AAACO2519H (APPLICANT) (RESPONDENT) ASSESSEE BY : SHRI NILANJAN DEY REVENUE BY : MS. VARSHA CHAWDA DATE OF HEARING : 14-02-2019 DATE OF PRONOUNCEMENT : 18-03-2019 ORDER PER P. MADHAVI DEVI, J.M.: THIS IS REVENUES APPEAL AGAINST THE ORDER OF THE CIT(A)-4, HYDERABAD, DATED 13.02.2018. THE GROUNDS RAISED BY THE REVENUE ARE AS UNDER: 1. THE CIT(A) ERRED IN DELETING THE DISALLOWANCE OF DEDUCTION U/S 80IA OF THE ACT OF RS. 1,38,63,710/-. 2. THE CIT(A) ERRED IN IGNORING THE FACT THAT REVENUS APPEALS ON IDENTICAL ISSUE IN THE ASSESSEES OWN CASE FOR THE A.Y 2009-10 & 2010-11 ARE PENDING BEFORE THE HONBLE HIGH COURT. 3. ANY OTHER GROUND THAT MAY BE URGED AT THE TIME OF HEARING. 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE COMPANY, ENGAGED IN THE BUSINESS OF OPERATING SHIPS AND PORT SERVICES, FILED ITS RETURN OF INCOME FOR THE A.Y 2014-15 ON 2 ITA.NO. 815/HYD/2018 M/S. OCEAN SPARKLES LTD., HYD. 30.11.2014 ADMITTING TOTAL INCOME OF RS. 10,85,79,080/-. DURING THE ASSESSMENT PROCEEDINGS U/S 143(3) OF THE ACT THE A.O DISALLOWED THE CLAIM OF DEDUCTION U/S 80IA OF THE ACT ON THE GROUND THAT THE ASSESSEES ACTIVITY IS ONLY EXECUTION OF CONTRACT WORKS. ON APPEAL, THE CIT(A) ALLOWED THE ASSESSEES CLAIM BY FOLLOWING THE ITAT ORDER IN ASSESSEES OWN CASE FOR THE A.YS. 2009-10 AND 2010-11. THUS, AGGRIEVED, THE REVENUE IS IN APPEAL BEFORE US. 3. FROM THE GROUNDS OF APPEAL RAISED BY THE REVENUE ITSELF, IT IS SEEN THAT THE REVENUE IS ALREADY IN APPEAL BEFORE THE HONBLE HIGH COURT AGAINST THE ORDER OF THE ITAT IN THE EARLIER ASSESSMENT YEARS, AND IT HAS NOT BEEN BROUGHT TO OUR NOTICE BY THE LD. DR THAT THE ORDER OF THE ITAT HAS BEEN SUSPENDED OR SET ASIDE BY THE HONBLE HIGH COURT. IN VIEW OF THE SAME, RESPECTFULLY FOLLOWING THE DECISIONS OF COORDINATE BENCHES OF THE TRIBUNAL IN THE ASSESSEES OWN CASE FOR THE EARLIER ASSESSMENT YEARS, THE APPEAL OF THE REVENUE IS DISMISSED. 4. IN THE RESULT, THE APPEAL FILED BY THE REVENUE IS DISMISSED. PRONOUNCED IN THE OPEN COURT ON 18 TH APRIL, 2019. SD/- SD/- (S. RIFAUR RAHMAN) (P. MADHAVI DEVI) ACCOUNTANT MEMBER JUDICIAL MEMBER HYDERABAD, DATED: 18 TH APRIL, 2019 3 ITA.NO. 815/HYD/2018 M/S. OCEAN SPARKLES LTD., HYD. KRK 1) M/S. OCEAN SPARKLES LTD., 126, SRINAGAR COLONY, HYDERABAD 500 073.. 2) DCIT, CIRCLE 16(2) HYDERABAD. 3) CIT(A)-4, HYDERABAD. 4) PR.CIT-4, HYDERABAD. 5) THE DEPARTMENTAL REPRESENTATIVE, I.T.A.T., HYDERABAD. 6) GUARD FILE.