ITO, Bangalore v. M/s. Willow TV Pvt. Ltd.,, Bangalore

ITA 1321/BANG/2010 | 2006-2007
Pronouncement Date: 07-09-2011

Appeal Details

RSA Number 132121114 RSA 2010
Bench Bangalore
Appeal Number ITA 1321/BANG/2010
Duration Of Justice 9 month(s) 11 day(s)
Appellant ITO, Bangalore
Respondent M/s. Willow TV Pvt. Ltd.,, Bangalore
Appeal Type Income Tax Appeal
Pronouncement Date 07-09-2011
Appeal Filed By Department
Bench Allotted A
Tribunal Order Date 07-09-2011
Assessment Year 2006-2007
Appeal Filed On 26-11-2010
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL BANGALORE BENCH A BEFORE SHRI N BARADHVAJA SANKAR VICE PRESIDENT AND SMT. P MADHAVI DEVI JUDICIAL MEMBER ITA NO.1321/ BANG/2010 (ASST. YE AR 2006-07) THE INCOME-TAX OFFICER WARD-12(2) BANGALORE. . APPELLANT VS. M/S WILLOW TV PVT. LTD. 203 RAHEJA PLAZA 17 COMMISSARIAT ROAD BANGALORE. . RESPONDENT ASSESSEE BY : SHRI P.V PRADEEP KUMAR REVENUE BY : SHRI RAJENDRA HEGDE DATE OF HEARING : 07-09-2011 DATE OF PRONOUNCEMENT : 07-09-2011 O R D E R PER SMT. P MADHAVI DEVI JUDICIAL MEMBER THIS APPEAL IS FILED BY THE REVENUE. THE RELEVANT ASSESSMENT YEAR IS 2006-07. THE APPEAL IS DIRECTED AGAINST TH E ORDER OF THE COMMISSIONER OF INCOME-TAX (APPEALS) - III AT BANGA LORE DATED ITA NO.1321/B/10 2 24.08.2010. THE APPEAL ARISES OUT OF THE ASSESSMEN T COMPLETED U/S 143(3) OF THE INCOME-TAX ACT 1961. 2. IN THIS APPEAL THE REVENUE IS AGGRIEVED BY THE ORDER OF THE CIT(A) IN DIRECTING THE AO TO EXCLUDE TELECOMMUNICA TION CHARGES OF RS.3 03 729/- AND TECHNICAL FEE PAID IN FOREIGN CUR RENCY OF RS.31 80 569/- FROM THE TOTAL TURNOVER FOR THE PURP OSE OF COMPUTING DEDUCTION U/S 10A OF THE ACT. 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSE E IS A COMPANY WHICH FILED ITS RETURN OF INCOME CLAIMING DEDUCTION U/S 10A OF THE INCOME-TAX ACT. DURING THE ASSESSMENT PROCEEDINGS U/S 143(3) OF THE INCOME-TAX ACT THE AO REDUCED THE TELECOMMUNICATIO N CHARGES AND THE TECHNICAL FEE PAID IN FOREIGN CURRENCY FROM THE EXPORT TURNOVER WHILE COMPUTING DEDUCTION U/S 10A OF THE INCOME-TAX ACT BUT DID NOT EXCLUDE THE SAME FROM THE TOTAL TURNOVER. ON APPEA L THE CIT(A) FOLLOWING THE DECISION OF ITAT AT BANGALORE IN THE CASE OF WEBTEK SOFTWARE PVT. LTD. REPORTED IN (2009-TIOL-96-ITAT-B ANG AND ALSO THE DECISION OF HONBLE CHENNAI SPECIAL BENCH IN TH E CASE OF SAK SOFT LTD. 313 ITR 353 (AT) AND THE DECISION OF HONBLE BOMBAY HIGH COURT IN THE CASE OF M/S GEM PLUS JEWELLERY INDIA L TD 2010-TIOL- ITA NO.1321/B/10 3 456-HC-MUM-IT) AND HAS DIRECTED THE AO TO DELETE T HESE EXPENSE FROM THE TOTAL TURNOVER ALSO WHILE COMPUTING DEDUCT ION U/S 10A OF THE ACT. 4. AGGRIEVED THE REVENUE IS IN APPEAL BEFORE US. 5. AFTER HEARING BOTH THE PARTIES WE FIND THAT THI S ISSUE IS FAIRLY COVERED IN FAVOUR OF THE ASSESSEE BY THE DECISIONS REFERRED TO BY THE CIT(A) AND AS THE ORDER OF THE CIT(A) IS IN CONSONA NCE WITH THE JUDICIAL PRECEDENTS ON THE ISSUE WE DO NOT SEE ANY REASON TO INTERFERE WITH THE SAME. 6. IN THE RESULT THE APPEAL OF THE REVENUE IS DIS MISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 7TH SEPT 2011. SD/- SD/- ( BARADHVAJA SANKAR) (P MADHAVI DEVI) VICE PRESIDENT JUDICIAL MEMBER VMS. BANGALORE DATED : 07/09/2011 ITA NO.1321/B/10 4 COPY TO : 1. THE ASSESSEE 2. THE REVENUE 3.THE CIT CONCERNED. 4.THE CIT(A) CONCERNED. 5.DR 6.GF BY ORDER ASST. REGISTRAR I TAT BANGALORE.