ACIT, Circle 1(3), Hyderabad V. Balaji Electro Smeltes Pvt. Ltd., Hyderabad

MA 239/HYD/2010

• Counselvise Citation: [2011] 111 COUNSELVISE.COM (IT) 0426 (ITAT-HYDERABAD)
• Duration Of Justice: 4 month(s) 1 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 31-03-2011
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: DB-B
• Next Hearing Date: 25-03-2011
• Assessment Year: misc
• Appeal Filed On: 29-11-2010
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: K E SUNIL BABU
• Assessee Lawyers: S RAMA RAO
• Section: 80HHC; 80IA; 22; 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH B', HYDERABAD BEFORE SHRI G.C. GUPTA, VICE PRESIDENT AND SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER M.A. NO. 239/HYD/2010 ARISING FROM I.T.A. NO. 578/HYD/2009 (ASSESSMENT YEAR : 2001-02) M.A. NO. 247/HYD/2010 ARISING FROM I.T.A. NO. 577/HYD/2009 (ASSESSMENT YEAR : 2000-01) THE ASST. CIT CIRCLE 1(3) HYDERABAD VS. M/S. BALAJI ELECTRO SMELTERS LTD., HYDERABAD PAN: AAACB7881P APPELLANT RESPONDENT APPELLANT BY: SHRI K.E. SUNIL BABU RESPONDENT BY: SHRI S. RAMA RAO O R D E R PER CHANDRA POOJARI, AM: THE ABOVE MISCELLANEOUS APPLICATIONS ARE FILED BY THE ASSESSEE SEEKING RECALLING OF THE ORDER TRIBUNA L DATED 26.3.2010. 2. THE LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE ASSESSEE RAISED THE GROUND THAT THE CIT(A) ERRE D IN DIRECTING THE ASSESSING OFFICER TO ALLOW THE DEDUCT ION U/S. 80HHC ON BOOK PROFIT U/S. 115JA/115JB OF THE ACT AS AGAINST THE NORMALLY ALLOWABLE DEDUCTION U/S. 80HHC AND 80IA OF THE INCOME-TAX ACT, 1961. HE SUBMITTED THAT THE CIT(A) OUGHT TO HAVE APPRECIATED THE FACT THAT THE M.A. NOS. 239 & 247/HYD/2010 M/S. BALAJI ELECTRO SMELTERS LTD. ========================= 2 ADJUSTMENT U/S. 115JA/115JB OR U/S. 80HHC AND 80IA AS CLEARLY ENVISAGED THE COMPUTATION AS SPECIFIED I N PROVISIONS U/S. 80HHC AND 80IA OF THE ACT. HE SUBMITTED THAT WHILE DECIDING THE ABOVE ISSUE THE TRIBUNAL HAS PLACED RELIANCE ON THE JUDGEMENT OF BO MBAY HIGH COURT IN THE CASE OF CIT VS. AJANTA PHARMA, 22 3 CTR 441 (MUM) AND THAT JUDGEMENT WAS REVERSED BY THE SUPREME COURT IN THE CASE OF AJANTA PHARMA LTD. IN CIVIL APPEAL NO. 7518 OF 2010 DATED 9 TH SEPTEMBER, 2010. H E SUBMITTED THAT THIS SUBSEQUENT JUDGEMENT OF THE APE X COURT WARRANTS RECALL OF THE ORDER OF THE TRIBUNAL CITED SUPRA. 3. WE HAVE HEARD BOTH THE PARTIES. WE FIND FORCE IN THE ARGUMENT OF THE LEARNED COUNSEL FOR THE ASSESSE E. ADMITTEDLY THE IMPUGNED ;ISSUE WAS DECIDED IN FAVOU R OF THE ASSESSEE BY THE JUDGEMENT OF THE APEX COURT IN THE CASE OF AJANTA PHARMA LTD. VS. CIT IN CIVIL NO. 751 8 OF 2010 DATED 9 TH SEPTEMBER, 2010. ACCORDINGLY WE RECTIFY THE ORDER OF THE TRIBUNAL DATED 26 TH MARCH, 2010 IN I.T.A. NOS. 577 & 578/HYD/2009 FOR A.YS. 2001-02 AND 2000- 01 AND 2001-02, RESPECTIVELY AND THE ISSUE RAISED B Y THE ASSESSEE IS DECIDED IN FAVOUR OF THE ASSESSEE BY PL ACING RELIANCE ON THE ABOVE JUDGEMENT OF THE SUPREME COUR T. M.A. NOS. 239 & 247/HYD/2010 M/S. BALAJI ELECTRO SMELTERS LTD. ========================= 3 4. IN THE RESULT, BOTH THE MAS FILED BY THE ASSESSEE A RE ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 31 ST MARCH, 2011. SD/- (G.C. GUPTA) VICE PRESIDENT SD/- (CHANDRA POOJARI) ACCOUNTANT MEMBER HYDERABAD, DATED 31 ST MARCH, 2011 TPRAO COPY FORWARDED TO: 1. THE ACIT, CIRCLE 1(3), ROOM NO. 413, 4 TH FLOOR, AAYAKAR BHAVAN, HYDERABAD. 2. M/S. BALAJI ELECTRO SMELTERS LTD., 202 PLOT NO. 9, RAGHAVA CO-OPERATIVE HOUSING SOCIETY, SIKH VILLAGE, SECUNDERABAD. 3. THE CIT(A) - OO, HYDERABAD. 4 THE CIT - I , HYDERABAD 5. THE DR B BENCH, ITAT, HYDERABAD