M/s Super LPG Appliances, Solan V. DCIT, Parwanoo

MA 144/CHANDI/2018

• Counselvise Citation: [2019] 111 COUNSELVISE.COM (IT) 2878 (ITAT-CHANDIGARH)
• Duration Of Justice: 9 month(s) 25 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 23-04-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2014-2015
• Appeal Filed On: 28-06-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: SANJEEV GUPTA
• Section: 80IC; 80IC

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, CHANDIGARH , . '.., # $, %& BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER AND DR. B.R.R. KUMAR, ACCOUNTANT MEMBER M.A. NO. 144/CHD/2018 ( ARISING OUT OF ITA NO. 461/CHD/2017-DECIDED VIDE O RDER 16.10.2017) M/S SUPER LPG APPLIANCES, VILL JHARMAJRI, P.P.BAROTIWALA, BADDI, DISTT.SOLAN SOLAN THE DCIT, CIRCLE, PARWANOO. ./PAN NO: ABDFS7491K APPELLANT /RESPONDENT /ASSESSEE BY : SH. SANJEEV GUPTA / REVENUE BY : SH. RAJESH KUMAR ! ' /DATE OF HEARING : 23.04. 2019 #$%&'( ' / DATE OF PRONOUNCEMENT : 23.04.2019 %(/ ORDER PER SANJAY GARG, JUDICIAL MEMBER: THE PRESENT MISC. APPLICATION DATED 28.6.2018 ARISI NG OUT OF ITA NO. 461/CHD/2017 HAS BEEN MOVED BY THE ASSESSEE PLE ADING THEREIN FOR RECALLING THE ORDER DATED 16.10.2017 OF THE TRIBUNA L. 2. IT WAS POINTED OUT THAT THE ISSUE INVOLVED IN TH E MAIN APPEAL WAS RELATING TO THE ALLOWANCE OF DEDUCTION U/S 80IC OF THE INCOME TAX ACT, 1961(HEREINAFTER REFERRED TO AS 'ACT') @ 100% OF TH E ELIGIBLE PROFITS, ON SUBSTANTIAL EXPANSION UNDERTAKEN BY THE ASSESSEE EV EN THOUGH THE ASSESSEE HAD ALREADY AVAILED THE DEDUCTION @ 100% FOR 5 YEAR S U/S 80IC OF THE ACT ON ESTABLISHMENT OF THE UNIT. THAT EARLIER THE ITA T HAD ALLOWED THE APPEAL M.A. NO.144-C-2018 IN ITA 461-C-2017 M/S SUPER LPG APPLIANCES, BADDI, 2 OF THE REVENUE FOLLOWING THE DECISION DATED 20.8.20 18 OF THE HON'BLE SUPREME COURT DECIDED IN FAVOUR OF THE REVENUE IN T HE GROUP OF CASES WITH THE LEAD CASE AS CIT VS. M/S CLASSIC BINDING INDUS TRIES, IN CIVIL APPEAL NO(2) 7208 OF 2018. IT IS FURTHER SUBMITTED BY T HE LD. COUNSEL FOR THE ASSESSEE THAT THE ISSUE NOW STANDS COVERED WITH TH E RECENT JUDGMENT OF HON'BLE SUPREME COURT PASSED IN CASE OF PR CIT VS. AARHAM SOFTRONICS (SUPRA), WHEREBY, THE ORDER IN THE CASE OF CIT(A ) VS. CLASSIC BINDING INDUSTRIES IN CIVIL APPEAL NO(S) 7208 OF 2018 DA TED 20.08.2018 HAS BEEN REVERSED. IT WAS, THEREFORE, PLEADED THAT THE ORDER DATED 16.10.2017 BE RECALLED. 3. THE LD. DR DID NOT CONTROVERT THE SAME. 4. WE HAVE GONE THROUGH THE ENTIRE FACTS OF THE CAS E. IT IS AN ADMITTED FACT THAT THE ISSUE IN THE MAIN APPEAL IS COVERED BY THE DECISION OF THE HON'BLE APEX COURT IN THE CASE OF PR.CIT, SHIMLA VS. M/S AARHAM SOFTRONICS IN CIVIL APPEAL NO.1784 OF 2019, DATED 20.02.2019, WHEREIN, IT HAS BEEN HELD THAT EVEN A NEW UNDERTAKING WHICH HAS CLAIMED DEDUCTION OF ITS ELIGIBLE PROFITS @ 100% THEREOF FOR THE FIRS T FIVE YEARS IS ENTITLED TO CLAIM DEDUCTION @ 100% OF ITS PROFITS THEREAFTER ON ACCOUNT OF SUBSTANTIAL EXPANSION UNDERTAKEN BY IT. SINCE THE DECISION OF THE APEX COURT IN CLASSIC BINDING (SUPRA) STANDS OVERRULED, THIS IN I TSELF CONSTITUTES A MISTAKE APPARENT FROM RECORD. A BINDING DECISION IS ALWAYS RETROSPECTIVE AND THE DECISION OVERRULED WAS NEVER THE LAW OF THE LAND. WHEN A COURT DECIDES A MATTER IT ONLY INTERPRETS LAW AND APPLIES IT TO THE FACTS OF THE CASE. IF THE INTERPRETATION OF LAW IS FOUND TO BE C ONTRARY IN THE LIGHT OF JUDICIAL PRONOUNCEMENT RENDERED SUBSEQUENTLY, IT DI SCLOSES A MISTAKE APPARENT FROM RECORD. HENCE, A MISTAKE APPARENT ON RECORD HAS OCCURRED IN M.A. NO.144-C-2018 IN ITA 461-C-2017 M/S SUPER LPG APPLIANCES, BADDI, 3 THE ORDER DATED 16.10.2017 OF THIS TRIBUNAL. HENCE , THIS IS A FIT CASE FOR RECALLING THE SAID ORDER AND FOR FRESH HEARING, WH ICH WE HEREBY DO. 5. THE ORDER DATED 16.10.2017 IS ACCORDINGLY RECALL ED, THE APPEAL IS RESTORED AND POSTED FOR HEARING AFRESH FOR TODAY I. E. 23.04.2019. IN THE RESULT, THE MISCELLANEOUS APPLICATION FILED BY THE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 23.04.2019. SD/- SD/ - ( ' . . , # $ / B.R.R. KUMAR) %& / ACCOUNTANT MEMBER ( / SANJAY GARG ) / JUDICIAL MEMBER DATED : 23.04.2019 ** $+ ,- .-' / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT 3. / / CIT 4. / ( )/ THE CIT(A) 5. -01 2 , ' 2( , 34516 / DR, ITAT, CHANDIGARH 6. 15 7! / GUARD FILE $+ / BY ORDER, 8 / ASSISTANT REGISTRAR