Income Tax Appellate Tribunal - Mumbai
Income Tax Officer 12 (3 ) (2), Mumbai vs Kepel Fels Offshore & Engineering ... on 28 September, 2018
IN THE INCOME TAX APPELLATE TRIBUNAL "A" BENCH, MUMBAI
BEFORE SRI MAHAVIR SINGH, JM AND SRI N.K. PRADHAN, AM
MA No. 211/Mum.2018
(Arising in ITA No.6278/Mum/2014 for A.Y:2009-10)
Income Tax Officer Keppel Fels Offshore & Engineering
12(3)(2) Services Mumbai P Ltd
147A, Aayakar Bhavan, M.K. Unit Nos. 3&4, 8 t h Floor, Prism
Vs.
Road, Mumbai -400 020 Tower-A, Mindspace Link Road,
Goregaon (W), Mumbai -400062
PAN No.AACCK6350M
Appellant .. Respondent
Assessee by .. Shri. Nishant Samai ya, DR
Revenue by .. Shri Vimal Punmi ya, AR
Date of hearing .. 28.09.2018
Date of pronouncement .. 28.09.2018
ORDER
PER MAHAVIR SINGH, JM:
By way of this Misc. Application, the Revenue has contended that there is a mistake apparent from record in the order of Tribunal dated 20.12-2016 on account of allowances of deduction under section 10A of the Act on account of Foreign Exchange gains in AY 2009-10 whereas year of exports was AY 2008-09.
2. The Revenue has raised this issue in following paras of the petition as under: -
"In the case of the assessee company, the year of export on which the gain on account of foreign exchange fluctuation arose was F.Y.2007-08 and therefore as per the ratio of aforesaid decision of the Bombay High Court, the assessee should have been eligible for deduction under section 10A of the I. T. Act, 1961 on the amount of Rs.54,92,631/- in A.Y.2008-09. Thus, Hon'ble ITAT was not justified in allowing the deduction under section 1OA of the I. T. Act, 1961 in respect of foreign exchange gain of Rs.54,92,631/- during the A.Y.2009-10. But the final finding of Hon'ble Tribunal is contrary to this observation.
In view of the above, there is a mistake apparent from record in the order dated 20.12.20 16 of the Hon'ble Tribunal in appreciating the ratio of decision of the Hon'ble Bombay High Court in the case of MIs. Gem Plus Jewellery India Ltd Vs CIT {2010} 194 Taxman 192(Bom). As per ratio of decision in the case of MIs. Gem Plus Jewellery India Ltd. vs CIT (2010) 194 Taxman 192(Bom), the assessee should not be eligible for deduction u/s 10Aof the I.T. Act in respect of foreign exchange gain of Rs. 54,92,631/- during the A.Y. 2009-
10. This mistake apparent from record is requested to be rectified.
3. We find from the facts of the case recorded by Tribunal in its order that this gain relates to outstanding debtors of FY 2007-08 relevant to AY 2008-09 and actually received after due permission of RBI in FY 2008-09 i.e. upto 30.09.2008 and therefore, this gain was allowed under section 10A of the Act. The relevant details are in para 3 of Tribunal's order. On query, the learned Sr. Departmental Representative could not answer that whether there is a mistake in the order of Tribunal. Moreover, this was following the decision of Hon'ble Bombay High court in the case of CIT vs. Gem Plus Jewellery India Ltd [2011] 330 ITR 175 (Bombay). Hence, we find no mistake apparent record in the order of the Tribunal and MA is dismissed.
4. In the result, the MA of Revenue is dismissed.
Order pronounced in the open court on 28.09.2018.
Sd/- Sd/-
(N.K. PRADHAN) (MAHAVIR SINGH)
ACCOUNTANT MEMBER JUDICIAL MEMBER
Mumbai, Dated: 28.09.2018
Sudip Sarkar /Sr.PS
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Copy of the Order forwarded to:
1. The Appellant
2. The Respondent.
3. The CIT (A), Mumbai.
4. CIT
5. DR, ITAT, Mumbai
6. Guard file.
BY ORDER,
//True Copy//
Assistant Registrar
ITAT, MUMBAI
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