PEPPERL AND FUCHS (INDIA) PVT LTD V. INCOME TAX OFFICER

ITA/200/2019

AI Insights

This case involves multiple income tax appeals filed by Pepperl & Fuchs (India) Pvt. Ltd. against the Income-Tax Officer, Ward-5(1)(3), Bengaluru, concerning various assessment years. The appeals were filed under Section 260-A of the Income Tax Act, 1961, challenging orders passed by the Income Tax Appellate Tribunal (ITAT). The primary legal contention revolved around the interpretation and application of transfer pricing regulations, as influenced by a recent Supreme Court decision. The High Court of Karnataka, after considering the submissions and the precedent cited, ruled in favor of the appellant, allowing the appeals and setting aside the orders of the lower authorities.

• Counselvise Citation: [2021] 140 COUNSELVISE.COM (IT) 754455 (HC-KARNATAKA)
• Appeal Type: Others
• Pronouncement Date: 06-09-2021
• Assessment Year: misc
• Other Referred Cases: Engineering Analysis Centre of Excellence Private Limited vs. The Commissioner of Income Tax and another (2021) 432 ITR 471 (SC)
• Laws Referred To: Income Tax Act 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: K ARAVIND
• Assessee Lawyers: T
• Keywords: Assessment Year; Income tax appeal; Substantial questions of law; Engineering Analysis Centre of Excellence vs. The Commissioner of Income Tax
• Section: 260-A

Judgement Text

"IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 06TH DAY OF SEPTEMBER, 2021 PRESENT THE HON’BLE MRS. JUSTICE S. SUJATHA AND THE HON’BLE MR. JUSTICE RAVI V. HOSMANI I.T.A.No.200/2019 C/w I.T.A Nos.66/2019, 282/2019 and 283/2019 In I.T.A No.200/2019 BETWEEN: PEPPERL & FUCHS (INDIA) PVT.LTD., NO.546/1, 7TH MAIN, 4TH PHASE PEENYA INDUSTRIAL ESTATE BENGALURU-560 058 PAN: AAACP 1218L REP. BY ITS MANAGING DIRECTOR MR.THAMPY MATHEW. … APPELLANT [BY SRI. T.SURYANARAYANA, ADVOCATE] AND: INCOME-TAX OFFICER WARD-5(1)(3), BMTC BUILDING, 6TH BLOCK, KORAMANGALA, BENGALURU-560 095. (ERSTWHILE DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE-5(1)(2) BENGALURU AND BEFORE THAT 2 DEPUTY COMMISSIONER OF INCOME-TAX CIRCLE-12(2), BENGALURU) … RESPONDENT [BY SRI. K.V.ARAVIND, ADVOCATE] THIS INCOME TAX APPEAL IS FILED UNDER SECTION 260-A OF INCOME TAX ACT 1961, ARISING OUT OF ORDER DATED: 31.10.2018 PASSED IN IT(TP)A NO.1171/BANG/2016 AND IT(TP)A NO.1172/BANG/2016 (ANNEXURE-A) FOR THE ASSESSMENT YEAR 2010-11 AND 2011-12. IN ITA No.66/2019 BETWEEN: PEPPERL & FUCHS (INDIA) PVT.LTD., NO.546/1, 7TH MAIN, 4TH PHASE PEENYA INDUSTRIAL ESTATE BENGALURU-560 058 PAN: AAACP 1218L REP. BY ITS MANAGING DIRECTOR MR.THAMPY MATHEW. … APPELLANT [BY SRI. T.SURYANARAYANA, ADVOCATE] AND: INCOME-TAX OFFICER WARD-5(1)(3), BMTC BUILDING, 6TH BLOCK, KORAMANGALA, BENGALURU-560 095. (ERSTWHILE DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE-5(1)(2) BENGALURU … RESPONDENT [BY SRI. K.V.ARAVIND, ADVOCATE] THIS INCOME TAX APPEAL IS FILED UNDER SECTION 260-A OF INCOME TAX ACT 1961, ARISING OUT OF ORDER DATED: 14.09.2018 PASSED IN IT(TP) A NO.227/BANG/2014, FOR THE ASSESSMENT YEAR 2009-2010. 3 In I.T.A No.282/2019 BETWEEN: PEPPERL & FUCHS (INDIA) PVT.LTD., NO.546/1, 7TH MAIN, 4TH PHASE PEENYA INDUSTRIAL ESTATE BENGALURU-560 058 PAN: AAACP 1218L REP. BY ITS MANAGING DIRECTOR MR.THAMPY MATHEW. … APPELLANT [BY SRI. T.SURYANARAYANA, ADVOCATE] AND: INCOME-TAX OFFICER WARD-5(1)(3), BMTC BUILDING, 6TH BLOCK, KORAMANGALA, BENGALURU-560 095. … RESPONDENT [BY SRI. K.V.ARAVIND, ADVOCATE] THIS INCOME TAX APPEAL IS FILED UNDER SECTION 260-A OF INCOME TAX ACT 1961, ARISING OUT OF ORDER DATED: 05.12.2018 PASSED IN ITA NO.2257/BANG/2018 FOR THE ASSESSMENT YEAR 2015-2016. In I.T.A No.283/2019 BETWEEN: PEPPERL & FUCHS (INDIA) PVT.LTD., NO.546/1, 7TH MAIN, 4TH PHASE PEENYA INDUSTRIAL ESTATE BENGALURU-560 058 PAN: AAACP 1218L REP. BY ITS MANAGING DIRECTOR MR.THAMPY MATHEW. … APPELLANT [BY SRI. T.SURYANARAYANA, ADVOCATE] 4 AND: INCOME-TAX OFFICER WARD-5(1)(3), BMTC BUILDING, 6TH BLOCK KORAMANGALA, BENGALURU-560 095. (ERSTWHILE DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE-5(1)(2) BENGALURU) … RESPONDENT [BY SRI. K.V.ARAVIND, ADVOCATE] THIS INCOME TAX APPEAL IS FILED UNDER SECTION 260-A OF INCOME TAX ACT 1961, ARISING OUT OF ORDER DATED: 16.11.2018 PASSED IN ITA NO.844 AND 845/BANG/2018 (ANNEXURE ‘A’) FOR THE ASSESSMENT YEAR 2013-14 AND 2014- 15 AND ETC. THESE APPEALS COMING ON FOR HEARING, THIS DAY, S.SUJATHA J., DELIVERED THE FOLLOWING: J U D G M E N T Learned counsel for the assessee submits that the substantial questions of law raised herein are squarely covered by the ruling of the Hon’ble Apex Court in the case of Engineering Analysis Centre of Excellence Private Limited vs. The Commissioner of Income Tax and another reported in (2021) 432 ITR 471 (SC). 2. Learned counsel for the revenue could not dispute the same. 5 3. In view of the aforesaid submissions, the substantial questions of law are answered in favour of the assessee and against the revenue. Appeals stand allowed accordingly. Sd/- JUDGE Sd/- JUDGE UN "