The Deputy Commissioner Of Income Tax, Circle- 2(1)(1), Bangalore V. M/s. Course5 Intelligence Private Limited (formerly Cross Tab Marketing Services Private Limited), Bangalore

MA 146/BANG/2023

AI Insights

The case involves M/s. Course5 Intelligence Pvt. Ltd., formerly known as Cross Tab Marketing Services Pvt Ltd., which was under scrutiny for the assessment year 2013-14. The Income Tax Appellate Tribunal in Bangalore addressed a miscellaneous petition from the revenue seeking clarifications on the Tribunal's earlier decision, particularly concerning the handling of foreign exchange losses and expenditures on option premiums. The Tribunal acknowledged the oversight in not recording findings on these issues in the previous order and directed the AO to re-examine these matters, ensuring a thorough investigation into the nature of the forward contracts and their relevance to the business operations of the assessee.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 129259 (ITAT-BANGALORE)
• Duration Of Justice: 2 month(s) 19 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 22-06-2023
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 22-06-2023
• Assessment Year: 2013-2014
• Appeal Filed On: 02-04-2023
• Other Referred Cases: CIT Vs Wipro Finance Ltd.
• Laws Referred To: CIT Vs Wipro Finance Ltd.
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: PADAMCHAND KHINCHA

Judgement Text

ITA No.146/Bang/2023 M/s. Course5 Intelligence Pvt. Ltd., Bangalore IN THE INCOME TAX APPELLATE TRIBUNAL “A’’ BENCH: BANGALORE BEFORE SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER AND SMT. BEENA PILLAI, JUDICIAL MEMBER MP No.146/Bang/2023 (Arising out of ITA No.15/Bang/2020) Assessment Year: 2013-14 ACIT Circle-2(1)(1) Bangalore Vs. M/s. Course5 Intelligence Pvt. Ltd. (Formerly Cross Tab Marketing Services Pvt Ltd.) No.422, 80 Ft.Road 6 th Block, Koramangala Bangalore 560 095 PAN No.AABCC6525A APPELLANT RESPONDENT Appellant by : Shri Padam Chand Khincha, A.R. Respondent by : Shri Sankar Ganesh K., D.R. Date of Hearing : 23.06.2023 Date of Pronouncement : 23.06.2023 O R D E R PER BEENA PILLAI, JUDICIAL MEMBER: The present miscellaneous petition filed by the revenue seeking certain clarifications in respect of the ground as this Tribunal after giving categorical observations has not recorded findings in respect of ground No.8 in paragraphs 8 to 8.13. 2. On perusal of the submissions by the ld. D.R., we note that direction has to be granted to the ld. AO. Accordingly, following paragraph shall be read after para 8.13 in the order dated 18.8.2022: “8.14 In view of the above discussion and respectfully following the decisions relied on herein above and the ratio laid down by Hon’ble Karnataka High Court in case of CIT Vs Wipro Finance Ltd. ITA No.146/Bang/2023 M/s. Course5 Intelligence Pvt. Ltd., Bangalore Page 2 of 2 (supra), we direct the ld. AO to examine and decide the issue pertaining to forex loss on loan restatement, forex loss on forward exchange contract, and forex loss on restatement of bank balances and expenditure on option premium. The assessee has to show the nature of forward contract and its nexus with the business of assessee and also the fact that such contracts are on revenue account and not on capital account. We direct the ld.AO to verify all the details and consider the claim of assessee in accordance with law.” 3. Accordingly, the miscellaneous petition filed by the revenue stands allowed. Order pronounced in the open court on 23 rd June, 2023 Sd/- (Chandra Poojari) Accountant Member Sd/- (Beena Pillai) Judicial Member Bangalore, Dated 23 rd June, 2023. VG/SPS Copy to: 1. The Applicant 2. The Respondent 3. The CIT 4. The CIT(Judicial) 5. The DR, ITAT, Bangalore. 6. Guard file By order Asst. Registrar, ITAT, Bangalore.