Assistant Commissioner of Income tax, Bangalore V. M/s CoreEL TechnolgiesI P Ltd, Bangalore

MA 77/BANG/2015

• Counselvise Citation: [2015] 124 COUNSELVISE.COM (IT) 3370 (ITAT-BANGALORE)
• Duration Of Justice: 1 month(s) 21 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 14-08-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2010-2011
• Appeal Filed On: 23-06-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR P K SRIHARI
• Keywords: Tax effect
• Section: 115JB; 11

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH : BANGALORE BEFORE SHRI N.V. VASUDEVAN, JUDICIAL MEMBER AND SHRI ABRAHAM P. GEORGE, ACCOUNTANT MEMBER M.P. NO.77/BANG/2015 [IN ITA NO.1229/BANG/2013] ASSESSMENT YEAR : 2010-11 THE ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 2(1)(1), BANGALORE. VS. M/S. COREEL TECHNOLOGIES INDIA PVT. LTD., NO.21, 7 TH MAIN, 1 ST BLOCK, KORAMANGALA, BANGALORE 560 034. PAN : AABCC 1915E APPLICANT RESPONDENT APPLICANT BY : DR. P.K. SRIHARI, ADDL. CIT(DR) RESPONDENT BY : NONE DATE OF HEARING : 07.08.2015 DATE OF PRONOUNCEMENT : 14.08.2015 O R D E R PER N.V. VASUDEVAN, JUDICIAL MEMBER THIS IS A MISCELLANEOUS PETITION FILED BY THE REVE NUE PRAYING FOR RECTIFICATION OF CERTAIN APPARENT ERRORS IN THE ORD ER OF TRIBUNAL DATED 10.10.2014 IN THE AFORESAID APPEAL. MP NO.77/BANG/2015 PAGE 2 OF 3 2. THE TRIBUNAL DISMISSED THE APPEAL OF THE REVENUE FOR THE REASON THAT THERE WAS NO TAX EFFECT, BECAUSE THE ADDITIONS WHICH ARE CHALLENGED IN REVENUES APPEAL ARE IN RELATION TO COMPUTATION OF TOTAL INCOME UNDER THE NORMAL PROVISIONS OF THE ACT, WHEREAS THE TOTAL INC OME OF THE ASSESSEE WAS COMPUTED BY THE AO U/S. 115JB OF THE ACT AND THAT D ETERMINATION HAS BECOME FINAL. THE TRIBUNAL HAS ALSO NOTICED THAT E VEN IF THE APPEAL WAS TO BE ALLOWED, STILL THE COMPUTATION OF INCOME U/S. 11 5JB WOULD NOT GET DISTURBED. FOR THESE REASONS, THE TRIBUNAL DISMISS ED THE APPEAL OF THE REVENUE FOR LOW TAX EFFECT VIZ., BELOW RS.4 LAKHS. 3. IN THIS PETITION, THE REVENUE HAS POINTED OUT TH AT EVEN THOUGH INCOME OF THE ASSESSEE WAS COMPUTED U/.S 115JB OF T HE ACT, COMPUTATION OF TOTAL INCOME UNDER THE NORMAL PROVISIONS WILL HA VE IMPACT ON ALLOWING TAX CREDIT IN SUBSEQUENT YEARS AND THEREFORE THE APPEAL OUGHT NOT TO HAVE BEEN DISMISSED ON THE GROUND OF LOW TAX EFFECT. 4. WE HAVE CONSIDERED THE SUBMISSIONS OF THE LD. DR , WHO REITERATED THE STAND OF REVENUE AS CONTAINED IN THE PETITION. WE HAVE HEARD HIS SUBMISSIONS AND ARE OF THE VIEW THAT THE CIRCULAR D OES NOT CARVE OUT ANY EXCEPTION TO COVER CASES OF THE NATURE REFERRED TO IN THE PRESENT MISC. PETITION. THEREFORE, WE HAVE TO TAKE INTO CONSIDE RATION ONLY THE TAX EFFECT AND THE IMPACT OF ALLOWING TAX CREDIT IN THE SUBSEQ UENT YEARS IS NOT AN EXCEPTION STATED IN THE CBDT CIRCULAR ON INSTRUCTIO NS REGARDING FILING OF MP NO.77/BANG/2015 PAGE 3 OF 3 APPEALS. THEREFORE, WE ARE OF THE VIEW THAT THERE IS NO ERROR, MUCH LESS APPARENT ERROR, IN THE ORDER OF TRIBUNAL. 5. CONSEQUENTLY, THE MISCELLANEOUS PETITION BY THE REVENUE IS DISMISSED. PRONOUNCED IN THE OPEN COURT ON THIS 14 TH DAY OF AUGUST, 2015. SD/- SD/- ( ABRAHAM P. GEORGE ) ( N.V. VASU DEVAN ) ACCOUNTANT MEMBER JUDICIAL M EMBER BANGALORE, DATED, THE 14 TH AUGUST, 2015. /D S/ COPY TO: 1. APPLICANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR / SENIOR PRIVATE SECRETARY ITAT, BANGALORE.