THE ADIT (IT)-2(2), MUMBAI v. M/S. ZEE TV USA INC., MUMBAI

ITA 3082/MUM/2007 | 2002-2003
Pronouncement Date: 05-04-2010 | Result: Dismissed

Appeal Details

RSA Number 308219914 RSA 2007
Assessee PAN AAACF1291K
Bench Mumbai
Appeal Number ITA 3082/MUM/2007
Duration Of Justice 2 year(s) 11 month(s) 15 day(s)
Appellant THE ADIT (IT)-2(2), MUMBAI
Respondent M/S. ZEE TV USA INC., MUMBAI
Appeal Type Income Tax Appeal
Pronouncement Date 05-04-2010
Appeal Filed By Department
Order Result Dismissed
Bench Allotted L
Tribunal Order Date 05-04-2010
Assessment Year 2002-2003
Appeal Filed On 20-04-2007
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL 'L' BENCH MUMBAI BEFORE SHRI D.K. AGARWAL JUDICIAL MEMBER AND SHRI B. RAMAKOTAIAH ACCOUNTANT MEMBER ITA 3082/MUM/2007 (ASSESSMENT YEAR: 2002-03) ADIT (INTERNATIONLA TAXATION) 2(2) M/S. ZEE TV USA INC. SCINDIA HOUSE ROOM NO. 116 C/O. ZEE TELEFILMS LTD. 1ST FLOOR N.M. ROAD VS. 135 DR. ANNIE BESANT ROAD MUMBAI 400038 WORLI MUMBAI 400018 PAN - AAACF 1291 K APPELLANT RESPONDENT APPELLANT BY: SHRI NARENDER SINGH RESPONDENT BY: SHRI MOHANLAL BHANDARI/ SHRI RAJESH CHAMARIA O R D E R PER B. RAMAKOTAIAH A.M. THIS APPEAL BY THE REVENUE IS AGAINST THE ORDER OF THE CIT(A)-XXXI MUMBAI DATED 31.01.2007 ON FOLLOWING GROUNDS : - 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE THE LD.CIT(A) HAS ERRED IN HOLDING THAT THE ASSESSEE DOES NOT HAV E A PERMANENT ESTABLISHMENT IN INDIA AND ACCORDINGLY IT S BUSINESS PROFITS ARE NOT TAXABLE IN INDIA. 2. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E THE LD.CIT(A) HAS ERRED IN HOLDING THAT NO INTEREST UNDER SECTION 234B IS PAYABLE BY A NON-RESIDENT WHOSE TOTAL INCOME IS SUB JECT TO DEDUCTION OF TAX AT SOURCE AND ACCORDINGLY DELETING THE INTEREST CHARGED UNDER SECTION 234B OF THE I.T. ACT 1961. 2. DURING THE COURSE OF HEARING IT ISSUBMITTED TH AT THE TAX EFFECT IN THIS APPEAL IS BELOW THE PRESCRIBED LIMIT I.E. RS.2 LAK HS. AS SUCH THIS APPEAL DESERVES TO BE DISMISSED IN LIMINE IN VIEW OF THE J UDGMENT OF THE JURISDICTIONAL HIGH COURT IN THE CASE OF CIT VS PIT HWA ENGINEERING WORKS 276 ITR 519. THE LEARNED DEPARTMENTAL REPRESENTATI VE DID NOT OBJECT TO THE FACTUAL ASPECT. 3. HAVING CAREFULLY CONSIDERED THE SUBMISSIONS AND FROM A CAREFUL PERUSAL OF THE AFORESAID JUDGMENT OF JURISDICTIONAL HIGH COURT IN WHICH IT ITA 3082/MUM/2007 M/S. ZEE TV USA INC. 2 HAS BEEN HELD THAT IF THE REVENUE FILES AN APPEAL C ONTRARY TO THE INSTRUCTIONS ISSUED BY THE CBDT WHICH ARE BINDING UPON THE REVEN UE THE SAME IS LIABLE TO BE DISMISSED BEING NOT MAINTAINABLE. THEREFORE WE ARE OF THE VIEW THAT THE APPEAL DESERVES TO BE DISMISSED IN LIMINE BEING FILED CONTRARY TO THE INSTRUCTIONS OF CBDT AND ACCORDINGLY WE DISMISS TH E SAME. 4. IN THE RESULT APPEAL OF THE REVENUE IS DISMISSE D. ORDER PRONOUNCED IN THE OPEN COURT ON 5 TH APRIL 2010. SD/- SD/- (D.K. AGARWAL) (B. RAMAKOTAIAH) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI DATED: 5 TH APRIL 2010 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) XXXI MUMBAI 4. THE DIT (INTERNATIONAL TAXATION) MUMBAI 5. THE DR L BENCH ITAT MUMBAI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT MUMBAI BENCHES MUMBAI N.P.