DCIT, Bangalore V. M/s Advanta India Ltd., Secunderabad

MA 57/BANG/2011

• Counselvise Citation: [2013] 123 COUNSELVISE.COM (IT) 9772 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 21 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 04-01-2013
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 22-06-2012
• Assessment Year: 2006-2007
• Appeal Filed On: 13-12-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S K AMBASTHACIT DRI I TAT
• Section: 10

Judgement Text

PAGE 1 OF 4 M.P.NOS. 57/BANG/2011 & 11/BANG/2012 1 IN THE INCOME TAX APPELLATE TRIBUNAL, BANGALORE BENCH A BEFORE SHRI GEORGE GEORGE K., J.M. AND SHRI JASON P BOAZ, A.M. M.P.NO.57/BANG/2011 & M.P.NO.11/BANG/2012 (IN ITA NO.227/BANG/2011) (ASST. YEAR 2006-07) THE DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE-11(1), BANGALORE. - APPELLANT VS M/S ADVANTA INDIA LTD., UNICORN HOUSE, PLOT NO.3-5, 157/5, BALAJI ENCLAVE, TRANSPORT ROAD NEWAR, GUNROCK, DIAMOND POINT, SECUNDERABAD-09. PA NO.AACCA7700L - RESPONDENT DATE OF HEARING : 04/01/2013 DATE OF PRONOUNCEMENT : 04/01/2013 APPELLANT BY : SHRI S K AMBASTHA,CIT (DR-I), I TAT RESPONDENT BY : SHRI SAISUDHA MULTANI, C.A. O R D E R PER GEORGE GEORGE K : THESE MISCELLANEOUS PETITIONS AT THE INSTANCE OF THE REVENUE ARE DIRECTED AGAINST THE ORDER OF THE TRIBUNAL DATE D 10/10/2011 IN ITA NO.227/BANG/2011. M.P.NO.57/11 AND MP NO.11/12 ARE FILED WITH IDENTICAL PRAYER. MP NO.11/12 WAS FILED IN VIEW OF THE OBJECT ION RAISED BY THE ASSESSEES COUNSEL THAT MP NO.57/11 WAS SIGNED BY CI T (DR) INSTEAD OF THE PAGE 2 OF 4 M.P.NOS. 57/BANG/2011 & 11/BANG/2012 2 ASSESSING OFFICER. HENCE, MP NO.57/11 IS DISMISSE D OUT-RIGHTLY AS INFRUCTUOUS. 2. BRIEF FACTS OF THE CASE ARE AS FOLLOWS:- THE ASSESSEE IS A COMPANY. IT IS ENGAGED IN THE B USINESS OF DEVELOPMENT AND PRODUCTION OF BASIC SEEDS AND HYBRID SEEDS. THE ASSESSEE COMPANY IS ALSO CARRYING OUT RESEARCH ACTIVITY IN FARM ING. FOR THE CONCERNED ASST. YEAR, RETURN OF INCOME WAS FILED ON 27 TH NOVEMBER, 2006 DECLARING AN INCOME OF RS.3,19,29,709/-. THE ASSESSEE HAD SHOWN GROSS RECEIPTS OF RS.5,23,84,326/- FROM THE PRODUCTION AND SALE OF 50 ,814 KGS OF VARIOUS HYBRID SEEDS OF MAIZE, SUNFLOWER, PADDY, MUSTARD ETC. AFTER DEDUCTION OF EXPENDITURE OF RS.2, 22,33,521/-, THE ASSESSEE COM PANY CLAIMED EXEMPTION U/S 10(1) R.W.S. 2(1A) OF RS.3,01,50,805/-. THE AO WHILE COMPLETING THE SCRUTINY ASSESSMENT DENIED THE ASSESSEES CLAIM THAT THE NET AMOUNT OF RS.3,01,50,805/- RECEIVED ON SALE OF SEEDS WERE AGR ICULTURAL INCOME. THE AO ADDED THE SAME TO THE TOTAL INCOME DECLARED BY TH E ASSESSEE. 3. ON APPEAL, THE FIRST APPELLATE AUTHORITY, ALLOWE D THE APPEAL OF THE ASSESSEE BY FOLLOWING THE ORDER OF THE TRIBUNAL IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2002-03 REPORTED IN (2010) 5 ITR (TRIB) 57. 4. AGGRIEVED, THE REVENUE FILED APPEAL BEFORE THE TRIBUNAL. 5. ON THE DATE OF HEARING I.E. ON 10/10/2011, THE REVENUE HAD SOUGHT FOR AN ADJOURNMENT OF THE CASE, WHICH WAS RE JECTED, SINCE ACCORDING TO THE BENCH, THE ISSUE IN QUESTION WAS COVERED BY T HE TRIBUNALS ORDER IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2002-03. THE TRIBUNAL DECIDED PAGE 3 OF 4 M.P.NOS. 57/BANG/2011 & 11/BANG/2012 3 THE ISSUE IN FAVOUR OF THE ASSESSEE BY FOLLOWING ITS EARLIER ORDER IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2002-03 AND DISMISSED THE APPEAL OF THE REVENUE. 6. THE REVENUE BEING AGGRIEVED FILED THIS MISCELLA NEOUS PETITION BEFORE US. THE BASIC GRIEVANCE OF THE REVENUE AS R AISED IN THE MISCELLANEOUS PETITION IS REPRODUCED BELOW:- 8. IT MAY BE BROUGHT TO THE KNOWLEDGE OF THE HONBL E ITAT THAT THE DECISION RELIED BY THE CIT(A) THOUGH I N THE ASSESSEES OWN CASE FOR EARLIER YEARS BUT THE SA ID DECISION OF HONBLE ITAT FOLLOWED THE DECISION OF I NDO AMERICAN EXPORTS AND NAMDHARI SEEDS PVT. LTD. IN IT A NO.1040/BANG/2002 AND ITA NO.3102/BANG/2004. THE DECISION OF THE SAID CASE HAS BEEN REVERSED BY THE H IGH COURT OF KARNATAKA RECENTLY. THEREFORE, THE BENEFIT OF THE DECISION OF ITAT FOR 2002-03 IN FACT IS NOT AVA ILABLE TO THE ASSESSEE. 9. IN VIEW OF THE ABOVE, IT IS REQUESTED THAT THE ORDER OF THE ITAT MAY KINDLY BE RECALLED AND THE APPE AL NO.227/BANG/2011 MAY BE RESTORED AND POSTED FOR HEARING ALONG WITH THE OTHER APPEALS FOR EARLIER AY S 2003-04 AND 2004-05 IN ITA NO.824, 825/B/10 AND ITA NO.819, 820/B/10. 7. THE LEARNED AR ON THE OTHER HAND SUBMITTED THAT THE ISSUE WHETHER THE ASSESSEE IS ENTITLED TO EXEMPTION UNDER SECTION 10 IS COVERED BY THE TRIBUNAL ORDERS IN ASSESSEES OWN CASE FOR A SSESSMENT YEARS, 2003-04, 2004-05, 2005-06 AND 2007-08. 8. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIALS ON RECORD. AS RIGHTLY POINTED OUT BY THE LEARNED AR , THE ISSUE IN QUESTION IS PAGE 4 OF 4 M.P.NOS. 57/BANG/2011 & 11/BANG/2012 4 SQUARELY COVERED BY THE ORDERS OF THE TRIBUNAL IN ASS ESSEES OWN CASE, THE DETAILS OF WHICH ARE AS FOLLOWS:- 1. ITA NOS.819 & 820/BANG/2010 VIDE ORDER DATED 29 TH JUNE, 2012 (ASSESSMENT YEARS 2003-04 & 2004-05). 2. ITA NOS.226 & 192/BANG/2011 VIDE ORDER DATED 31 ST JULY, 2012 (ASSESSMENT YEAR 2005-06). 3. ITA NOS.1181 & 1197/BANG/2011 VIDE ORDER DATED 31 ST JULY, 2012 (ASSESSMENT YEAR 2007-08). IN THE ABOVE MENTIONED CASES, THE TRIBUNAL HAS DIST INGUISHED THE HONBLE HIGH COURTS JUDGMENT IN THE CASE OF INDO AMERICAN EXPORTS AND NAMDHARI SEEDS PVT. LTD. FROM THAT OF THE FACTS OF THE ASSES SEES CASE AND DECIDED THE ISSUE IN FAVOUR OF THE ASSESSEE. IN THE LIGHT OF THE ABOVE ORDERS OF THE TRIBUNAL, WHICH HAS DECIDED THE MATTER IN FAVOUR OF THE ASSESSEE, WE ARE OF THE VIEW THAT THE MISCELLANEOUS PETITION FILED BY TH E REVENUE DESERVES TO BE REJECTED. IT IS ORDERED ACCORDINGLY. 9. IN THE RESULT, THE MISCELLANEOUS PETITIONS FILE D BY THE REVENUE ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 4 TH DAY OF JANUARY, 2013. SD/- SD/- (JASON P BOAZ) (GEORGE GEORGE K) ACCOUNTANT MEMBER JUDICIAL MEMBER COPY TO : 1. THE REVENUE 2. THE ASSESSEE 3. THE CIT CONCERNED. 4. THE CIT(A) CONCERNED. 5. DR 6. GF MSP/ BY ORDER SENIOR PRIVATE SECRETARY, ITAT, BANGALORE.