M/s Highway Cycles Industries Ltd., Ludhiana V. ACIT, Ludhiana

MA 53/CHANDI/2012

• Counselvise Citation: [2012] 123 COUNSELVISE.COM (IT) 9322 (ITAT-CHANDIGARH)
• Duration Of Justice: 7 month(s) 2 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 30-10-2012
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 12-10-2012
• Assessment Year: 2003-2004
• Appeal Filed On: 28-03-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: SUBHASH AGGARWAL
• Section: 80HHC

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL CHANDIGARH BENCH A, CHANDIGARH BEFORE SHRI T.R. SOOD, ACCOUNTANT MEMBER AND MS. SUSHMA CHOWLA, JUDICIAL MEMBER M.A. NO.53 /CHD/2012 (IN ITA NO.124/CHD/2008 (ASSESSMENT YEAR: 2003-04) M/S HIGHWAY CYCLES VS. THE A.C.I.T., INDUSTRIES, LTD., LUDHIANA. CIRCLE-V, LUDHIANA. MOHALI. PAN NO. AAACH4074L (APPELLANT) (RESPONDENT) APPLICANT BY : SHRI SUBHASH AGGARWAL RESPONDENT BY : SHRI AKHILESH GUPTA, DR DATE OF HEARING : 12.10.2012 DATE OF PRONOUNCEMENT : 30.10.2012 O R D E R PER SUSHMA CHOWLA, JM THE APPLICANT HAS FILED THIS MISCELLANEOUS APPLICAT ION FOR RECALLING THE ORDER DATED 30.6.2011 IN ITA NO.124/C HD/2008 RELATING TO THE ASSESSMENT YEAR 2003-04 WHICH WAS DISMISSED EX- PARTE FOR WANT OF PROSECUTION. 2. THE APPLICANT VIDE PRESENT MISCELLANEOUS APPLICA TION HAS POINTED OUT THAT THE ISSUE OF DEDUCTION UNDER SECTION 80HHC OF THE ACT IN RELATION TO DEPB WAS DECIDED BY THE TRIBUNAL FOLLOW ING THE RATIO LAID DOWN BY THE HON'BLE BOMBAY HIGH COURT IN CIT VS. KA LAPATARU COLOURS & CHEMICALS REPORTED IN 328 ITR 451 (BOM), UNDER WH ICH THE ORDER OF THE SPECIAL BENCH OF MUMBAI TRIBUNAL IN M/S TOPMAN EXPORTS WAS REVERSED. HOWEVER, THE JUDGMENT OF THE BOMBAY HIGH COURT HAS BEEN REVERSED BY THE HON'BLE SUPREME COURT VIDE ORDER DA TED 8.2.2012 IN THE CASE OF TOPMAN EXPORTS VS. CIT REPORTED IN 67 DTR 1 85(SC). THE APPLICANT SEEKS RECTIFICATION IN THE ORDER OF THE T RIBUNAL TO THE EXTENT 2 THAT THE ASSESSING OFFICER BE DIRECTED TO DECIDE TH E ISSUE ON THE BASIS OF JUDGMENT OF THE HON'BLE SUPREME COURT IN M/S TOPMAN EXPORTS VS. CIT (SUPRA). 3. WE FIND THAT THE PRESENT APPEAL IN ITA NO.124/CH D/2008 WAS DECIDED AS PART OF THE BUNCH OF APPEAL WITH LEAD OR DER IN ITA NO.956/CHD/2006 RELATING TO ASSESSMENT YEAR 2003-04 IN THE CASE OF M/S FITEX INDUSTRIES VS. ACIT. THE TRIBUNAL VIDE ORDER DATED 30.6.2011 VIDE PARA 50 HAD DIRECTED THE ASSESSING OFFICER TO COMPUTE DEDUCTION UNDER SECTION 80HHC OF THE ACT IN VIEW OF THE RATIO LAID DOWN BY THE HON'BLE BOMBAY HIGH COURT IN CIT VS. KALAPATARU COL OURS & CHEMICALS (SUPRA). HOWEVER, THE SAID JUDGMENT OF THE HON'BLE BOMBAY HIGH COURT HAS BEEN REVERSED BY THE HON'BLE SUPREME COURT IN M /S TOPMAN EXPORTS VS. CIT (SUPRA). CONSEQUENTLY, THE RATIO OF THE HO N'BLE BOMBAY HIGH COURT IN CIT VS. KALAPATARU COLOURS & CHEMICALS (SU PRA) STANDS REVERSED. ACCORDINGLY, WE AMEND OUR DIRECTIONS BY WAY OF THE ORDER PASSED UNDER SECTION 254(2) OF THE ACT IN DIRECTING THE ASSESSING OFFICER TO COMPUTE DEDUCTION UNDER SECTION 80HHC OF THE ACT IN LINE WITH THE RATIO LAID DOWN BY THE HON'BLE SUPREME COURT IN M/S TOPMAN EXPORTS VS. CIT (SUPRA). THE MISCELLANEOUS APPLICATION MOV ED BY THE APPLICANT THUS STANDS ALLOWED. 4. IN THE RESULT, THE MISCELLANEOUS APPLICATION FIL ED BY THE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 30 TH DAY OF OCTOBER, 2012. SD/- SD/- (T.R.SOOD) (SUSHMA CHOWLA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED 30 TH OCTOBER, 2012 *RATI* COPY TO: THE APPELLANT/THE RESPONDENT/THE CIT(A)/TH E CIT/THE DR. ASSISTANT REGISTRAR, ITAT, CHANDIGARH 3