M/s. Harman Connected Services Corporation India Pvt. Ltd., (in the case of Erstwhile symphony infospace India Pvt. Ltd.,), Bangalore V. ITO, Ward-6(1)(4), Bangalore

MA 69/BANG/2019

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 1149 (ITAT-BANGALORE)
• Duration Of Justice: 2 month(s) 5 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 13-09-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2011-2012
• Appeal Filed On: 08-07-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 10AA; 234B; 201

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : BANGALORE BEFORE SHRI ARUN KUMAR GARODIA, ACCOUNTANT MEMBER AND SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER M.P. NO. 69/BANG/2019 (IN IT (TP) A NO. 565 /BANG/201 6 ) ASSESSMENT YEAR : 201 1 - 12 M/S. HARMAN CONNECTED SERVICES CORPORATION INDIA PVT. LTD., (IN THE CASE OF ERSTWHILE SYMPHONY INFOSPACE INDIA PVT. LTD. SINCE MERGED) PLOT NO. 3 & 3A, EOIZ INDUSTRIAL AREA, SY NO 85 & 86, SADARAMANGALA VILLAGE, KRISHNARAJAPURAM HOBLI, BANGALORE 560 066. PAN: AALCS9142F VS. THE INCOME TAX OFFICER, WARD 6 (1) (4), BANGALORE. APPELLANT RESPONDENT ASSESSEE BY : SHRI SHARATH RAO, CA REVENUE BY : SHRI SUNIL KUMAR AGARWAL, ADDL. CIT (DR) DATE OF HEARING : 06 .0 9 .2019 DATE OF PRONOUNCEMENT : 13 . 0 9 .2019 O R D E R PER SHRI A.K. GARODIA, ACCOUNTANT MEMBER THIS M.P. IS FILED BY THE ASSESSEE AND IT IS STATED IN THE M.P. THAT THE TRIBUNAL HAS NOT DISPOSED THE NON-TP GROUNDS RAISED BY THE ASSESSEE IN ITS APPEAL BEING GROUND NOS. 8 TO 18 AND HENCE, THIS TRIBUNAL ORDER SHOULD BE RECALLED TO DECIDE THESE GROUNDS RAISED BY THE ASSESSEE. 2. IN COURSE OF HEARING OF THE M.P., IT WAS SUBMITTED BY LD. AR OF ASSESSEE THAT IN PARA NO. 2 OF THE TRIBUNAL ORDER, THE TRIBUNAL HAS NOTED ABOUT RAISING OF EIGHTEEN GROUNDS BY THE ASSESSEE BUT IN THE SAME PARA, IT IS OBSERVED BY THE TRIBUNAL THAT THE ASSESSEE AT THE TIME OF HEARING HAD PRESSED ONLY GROUND NOS. 2, 3 AND 4 WHICH GOES TO THE ROOT OF THE MATTER. HE SUBMITTED THAT BECAUSE OF M.P. NO. 69/BANG/2019 (IN IT(TP)A NO. 565/BANG/2016) PAGE 2 OF 3 THIS OBSERVATION OF TRIBUNAL IN THIS PARA, THE TRIBUNAL DECIDED ONLY THE TP ISSUES RAISED BY THE ASSESSEE IN ITS APPEAL AND DID NOT DECIDE OTHER ISSUES. HE SUBMITTED THAT THIS IS AN APPARENT MISTAKE IN THE TRIBUNAL ORDER BECAUSE GROUND NOS. 1 TO 7 RAISED BY THE ASSESSEE ARE ON TP ISSUES AND THE REMAINING GROUNDS I.E. 8 TO 18 ARE IN RESPECT OF CORPORATE TAX ISSUES SUCH AS DISALLOWANCE U/S. 40(A)(IA), RE-COMPUTATION OF DEDUCTION U/S. 10AA OF THE IT ACT AND INTEREST U/S. 234D AND 234B. HE SUBMITTED THAT THIS OBSERVATION OF THE TRIBUNAL ITSELF IS INCORRECT THAT GROUND NOS. 2 TO 4 GOES TO THE ROOT OF ENTIRE MATTER INCLUDING CORPORATE TAX ISSUES. HE SUBMITTED THAT REGARDING T. P. ISSUE, THESE THREE GROUNDS BEING 2 TO 4 GOES TO THE ROOT OF T. P. MATTER T. P. ISSUES WILL STAND DECIDED BY DECIDING THESE THREE GROUNDS BUT CORPORATE TAX ISSUES RAISED AS PER GROUND NO. 8 TO 18 ARE TO BE DECIDED SEPARATELY. HE SUBMITTED THAT THE TRIBUNAL PROCEEDED ON THIS BASIS THAT GROUND NOS. 2,3 AND 4 ONLY ARE PRESSED BECAUSE THESE THREE GROUNDS GOES TO THE ROOT OF THE MATTER. HE SUBMITTED THAT REGARDING NON-TP ISSUES, THE GROUNDS RAISED BY THE ASSESSEE FOR TP ISSUES CANNOT GO TO THE ROOT OF THE MATTER AND HENCE, THESE GROUNDS SHOULD ALSO BE DECIDED. THE LD. DR OF THE REVENUE SUBMITTED THAT THERE IS NO APPARENT MISTAKE IN THE TRIBUNAL ORDER. 3. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. FIRST OF ALL, WE REPRODUCE PARA NO. 2 OF THE IMPUGNED TRIBUNAL ORDER WHICH IS AS UNDER. 02. THE ASSESSEE HAS RAISED AS MANY AS 18 GROUNDS UNDER VARIOUS HEADS, BUT THE ASSESSEE AT THE TIME OF HEARING HAS PRESSED ONLY GROUND NOS. 2, 3 AND 4 WHICH GO TO THE ROOT OF THE MATTER. 4. FROM THE ABOVE PARA REPRODUCED FROM THE TRIBUNAL ORDER, IT COMES OUT THAT THE TRIBUNAL HAS ALSO NOTED IN THIS ORDER THAT THE ASSESSEE HAS RAISED 18 GROUNDS OF APPEAL BUT THE TRIBUNAL HELD IN THIS PARA THAT AT THE TIME OF HEARING, THE ASSESSEE HAS PRESSED ONLY GROUND NOS. 2, 3 AND 4 WHICH GO TO THE ROOT OF THE MATTER. NOW THE QUESTION IS WHETHER THE GROUND NOS. 2, 3 AND 4 WHICH ARE RAISED IN RESPECT OF TP ISSUE GO TO THE ROOT OF THE MATTER IN RESPECT OF NON-TP ISSUES BEING CORPORATE TAX ISSUES RAISED BY THE ASSESSEE IN GROUND NOS. 8 TO 18 REGARDING DISALLOWANCE U/S. 40(A)(IA), RE-COMPUTATION OF DEDUCTION U/S. 10AA OF THE IT ACT AND INTEREST U/S. 234D AND 234B OF THE IT ACT. IN OUR CONSIDERED M.P. NO. 69/BANG/2019 (IN IT(TP)A NO. 565/BANG/2016) PAGE 3 OF 3 OPINION, THIS CANNOT BE SAID THAT GROUNDS RAISED ON TP ISSUES CAN GO TO THE ROOT OF THE MATTER IN RESPECT OF NON-TP ISSUES BEING CORPORATE TAX ISSUES AND HENCE, THERE IS APPARENT MISTAKE IN THE TRIBUNAL ORDER AND THEREFORE, WE RECALL THIS TRIBUNAL ORDER FOR LIMITED PURPOSE FOR DECIDING GROUND NOS. 8 TO 18. THE REGISTRY IS DIRECTED TO FIX THIS APPEAL FOR HEARING ON 26.11.2019 AND SINCE, THE DATE OF HEARING IS PRONOUNCED IN THE OPEN COURT, NO SEPARATE NOTICE OF HEARING IS REQUIRED TO BE ISSUED. 5. IN THE RESULT, THE M.P. FILED BY THE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON THE DATE MENTIONED ON THE CAPTION PAGE. SD/- SD/- (PAVAN KUMAR GADALE) (ARUN KUMAR GARODIA) JUDICIAL MEMBER ACCOUNTANT MEMBER BANGALORE, DATED, THE 13 TH SEPTEMBER, 2019. /MS/ COPY TO: 1. APPELLANT 4. CIT(A) 2. RESPONDENT 5. DR, ITAT, BANGALORE 3. CIT 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, BANGALORE.