GSS Infotech Ltd., Hyd, Hyderabad V. ACIT, Cirlce-2(2), Hyderabad

MA 62/Hyd/2018

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 0579 (ITAT-HYDERABAD)
• Duration Of Justice: 4 month(s) 6 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 14-09-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 07-09-2018
• Assessment Year: 2011-2012
• Appeal Filed On: 08-05-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KIRAN KATTA
• Assessee Lawyers: P MURALI MOHANA RAO
• Section: 63; 12; 2; 11

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH A , HYDERABAD BEFORE S MT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI S . RIFAUR RAHMAN , ACCOUNTANT MEMBER M.A. NO S . 62 & 63 /HYD/2018 ITA NO S . 329 /HYD/201 6 AND 602/HYD/2017 ASSESSMENT YEAR S : 20 11 - 12 AND 2012 - 13 GSS INFOTECH LTD., HYDERABAD . PAN AADCM 6759Q VS. DY . COMMISSIONER OF INCOME - TAX, CIRCLE 2(3) , HYDERABAD. (APP LICANT ) (RESPONDENT) ASSESSEE BY : SHRI P. MURALI MOHANA RAO REVENUE BY : SHRI KIRAN KATTA DATE OF HEARING : 0 7 - 0 9 - 2018 DATE OF PRONOUNCEMENT : 1 4 - 0 9 - 2018 O R D E R PER S . RIFAUR RAHMAN , A .M. : TH E S E MISCELLANEOUS APPLICATION S ARE FILED BY THE ASSESSEE SEEKING RECALL OF THE CONSOLIDATED ORDER OF THE TRIBUNAL DATED 27 / 0 9 /201 7 IN ITA NO S . 267/HYD/2014, 329/HYD/2016 AND 602/HYD/2017. 2. IN THE M.A . 62/H/18, ASSESSEE POINTED OUT THAT THE GROUND NOS. 7 & 8 RELATING TO ONSITE CONSULTANCY THROUGH BR ANCHES OF RS. 25,28,81,520/ - AND GROUND NOS. 9 & 10 RELATING TO ADJUSTMENT OF INTEREST ON RECEIVABLES FOR RS. 1,42,66,859/ - WERE NOT ADJUDICATED BY THE TRIBUNAL BY OBSERVING AS UNDER: THE GROUNDS NOS. 7 TO 10 ARE ALTERNATIVE GROUNDS TO THE ABOVE GROUNDS, THEREFORE, THE SAME IS NOT REQUIRED TO BE ADJUDICATED AS THE MAIN GROUNDS ARE ADJUDICATED IN FAVOUR OF THE ASSESSEE. 2.1 FURTHER, THE ASSESSEE POINTED OUT THAT THE COMPANY HAS NOT CHARGED INTEREST IRRESPECTIVE OF WHETHER THE AMOUNT IS RECEIVABLE FROM 2 M.A. NO S . 62 & 63 /HYD/2018 M/S GSS INFOTECH LTD., HYD. AE OR NON AE WHICH IS IDENTICAL TO AY 2012 - 13 AND WHICH IS ALSO SUBMITTED BEFORE THE TRIBUNAL VIDE GROUND NOS. 9 & 10, 10(A) TO 10(G) 2.2 IN VIEW OF THE ABOVE, THE ASSESSEE STATED THAT THE GROUNDS WHICH ARE INDEPENDENT TO THE MAIN GROUNDS, HAS TO BE CONSIDER ED SEPARATELY. 2.3 IN M.A. 63/H/18, ASSESSEE STATED THAT WHILE DIS POSING OF GROUND NO. 7, 7A TO 7K RELATING TO ALP ADJUSTMENT OF INTEREST ON RECEIVABLES FOR RS. 1,04,.34,308/ - , THE TRIBUNAL OBSERVED THAT SECTION 10A ALLOWS ASSESSEE TO BRING THE FOREIGN EXCHANGE IN INDIA WITHIN 6 MONTHS TO CLAIM BE NEFIT UNDER THIS SECTION AND THE SAME PERIOD AS REASONABLE PERIOD FOR OUTSTANDING AND DIRECTED THE AO TO CHARGE INTEREST OF LIBOR + 200 BPS ON THE OUTSTANDING AMOUNT BEYOND 6 MONTHS. 2.3 IN THIS CONNECTION, ASSESSEE S UBMITTED THAT AS PER THE AMENDMENT TO THE SECTION 155(11A) OF THE IT ACT, THE EXEMPTION U/S 10A IS ALLOWED EVEN IF THE MONEY IS RECEIVED BEYOND SIX MONTHS. IN THIS CONNECTION, HE RELIED THE DECISION OF THE ITAT IN THE CASE OF VALUELABS FOR AY 2012 - 13 IN I TA NO. 475/HYD/2017. 3. REFERRING TO THE ABOVE FACTUAL BACK GROUND, THE LD. AR OF THE ASSESSEE SUBMITTED THAT THE EARLIER ORDER MAY BE RECALLED AND THE APPEAL TO BE DECIDED ON MERITS. 4 . CONSIDERED THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL ON REC ORD. AS SUBMITTE D BY THE ASSESSEE, WE RECALL THE ORDER (SUPRA) FOR THE LIMITED PURPOSE TO ADJUDICATE GROUND NOS. 7 TO 10 IN AY 2011 - 12 AND GROUND NOS. 7, 7A TO 7K IN AY 2012 - 13 AND OTHER PART OF THE ORDER REMAINS AS IT IS. THE REGISTRY IS DIRECTED TO POST THE APPEALS FOR HEARING AND ADJUDICATING THE ABOVE GROUNDS IN DUE COURSE. 3 M.A. NO S . 62 & 63 /HYD/2018 M/S GSS INFOTECH LTD., HYD. 5. IN THE RESULT, B OTH THE MAS FILED BY THE ASSESSEE ARE ALLOWED. PRONOUNCED IN THE OPEN COURT ON 14 TH SEPTEMBER , 2018. SD/ - SD/ - ( P. MADHAVI DEVI ) (S . RIFAUR RA HMAN ) JUDICIAL MEMBER ACCOUNTANT MEMBER HYDERABAD, DATED: 14 TH SEPTEMBER , 2018. K V COPY TO: - 1) M/S GSS INFOTECH LTD., C/O P. MURALI & CO., CAS, 6 - 3 - 655/2/3, 1 ST FLOOR, SOMAJIGUDA, HYDERABAD 82 2) D C IT, CIRCLE - 2(2) , HYD. 3) DRP, BENGALURU , HYDERABAD. 4 ) THE DEPARTMENTAL REPRESENTATIVE, I.T.A.T., HYDERABAD. 5 ) GUARD FILE