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Karnataka High Court

The Commr Of Income Tax vs M/S Wipro Ltd on 28 February, 2012

Bench: N.Kumar, Ravi Malimath

                         --1--



      IN THE HIGH COURT OF KARNATAKA AT BANGALORE


        DATED THIS THE 28 DAY OF FEBRUARY 2012


                       PRESENT


            THE HON'BLE MR. JUSTICE N.KUMAR

                         AND

         THE HON'BLE MR.JUSTICE RAVI MAUMATH


                 ITA.NO.3198 OF 2005

BETWEEN:

1. The Commissioner of Income-tax
   Central Circle,
   C. R. Building,
   Queens Road,
   Bangalore.

2. The Deputy Commissioner
   Of Income-Tax,
   Central Circle-IV
   C. R. Building,
   Queens Road,
   Bangalore.                          ...APPELLANTS
(By Sri Indra Kumar along with Sri E.Sanmati Indira
Kumar, Advocates)

AND
                                                                                               .

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must he riot 1 (Sit 1 a o Udo c 'liv of a •'•'tt' )f icçg- I ça tInt • bigita.a 1.here the't we J ',u.7lhe et oblvqat'ort, 1 e .q. jrod w. 1 va. 'ant.es cr I lila, 0 rcs t'ioiatLtyttt U, YVI. be I Cqüii ed ii settlement is a tc rmii ccl t) corlsidenng the said obliqations as a whole In t'v' cnnnect,or it nav be noteJ that :rl t!.e f,n fc • or ' fo ,gle itei' L"c po son fo balaw cLd c-institute -, contingent hab'iih nit entitled to aeduction urlc,ei c. ', at the said 4cr to cc vtertee sirLJI'cW 3 ir ae i 1w irny (tell nnw I ott u-a J * un'tc 'a spl'ist'cateJ ge 'as. r'.e pas nert f defe t.s ocng deteaea r' :'nie of ?

t 3L.C 'rcr.,s .sLnjlt). 1. I Salt, a cli jS aç •a fl --t f t"3i "iciatr, :-? tre r ce' 1 ast ! p ;i3flj '7-- t(,9 r.jr'. i,,.; r C •r"fr'7 , c. t,d. • ' --g. ' I. c.sin 19 j' ,i 'j r.ç ti3j I -


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    data ,';Ji.:ates that e en                                             ear some jr thes
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Isv i'd"ates tint b air) coçlusti ated 1t217 pa customer is i.nepared to buy valve actuator k it out a i arra itv r .'eto e .ia rant tc3ire nec-al car t he sic tic f 1- 'a!' e a'tuatGr(c) Pi other words, wa. tat itt stcx4 at.tched to thr sale pr'c a, t.ie pinauct.

caoctceirctc tcc 12 6 ni,liqatioris atbinc 'iun rast et ents have to be reogn..ed ac pruwsions. 7hecr pact e'ents at rn 'as big ti ge.ert K..... .. 'l7Js the- . iec',. I')fl Ci' 'l:ti '33'. r ol a) Ld)irflS cxp',,r'e .7 in- er leflac r'n€ss'Ieit 07 me iitcsidilty fai,jI'iSstrs'rç rchty • g.a cL' ry ' • gtt tlt V 7 I I 7Pfls-- 'it øç ,t ,?t1.' . -- '•i,,; ,r .

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piobabilrc that the warrant, expanses will be mci,: red is considerebI iedured an that s Id e cf d ie e nt L' the us oult e d ti igh iata let e'sa 1 r otherwise wculd require assemme'ut or histw l tie'icl. if var anty a 'C 1 1 lvstoriral .rend..,) and if tht wotlcir.g is I .bust the'u tl,e uestioq 'f reieisal ;n Lhe subsequent ti ea n )ta we imç ii. 'ot i. lu,.

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                           --   17   --




8. The remaining four substantial questions of law are as under:

"8) Whether the Tribunal committed an error in proceeding to observe that it is necessary to deal with the facts as found from the assessment records, appeal proceedings and during the course of hearing when this issue was not a controversy either before the Appellate Commissioner or the Assessing Officer?
9) Whether the Tribunal committed an error and has extracted from assessment order, appellate order and information furnished by the assessee has come to the condusion that certain newly establish undertakings which have been daimed as separate by the assessee and accepted by the Assessing Officer after verification of the details has allowed the claim Of the assessee when this was not the controversy before the Assessing Officer or the Appellate Commissioner and would have only relevance to reopened assessments which was not the subject matter in this appeal?

-- 18 --

0•

10). Whether the Tribunal committed an error in noticing that on verification of details of expansion where substantial expansion has resulted in a new undertaking the same has been shown separately by the assessee and accepted by the Assessing Officer when this was not the controversy before the Assessing Officer or the Appellate Commissioner and would have only relevance to reopened assessments which was not the subject matter in this appeal?

11). Whether the Tribunal was correct in observing that there have been many instances where the existing undertakings have undertaken organic expansion by adding certain equipments, man power which have been shown as par of pre-existing unit and these have been treated as part of the existing unit by the Assessing Officer when this was not the controversy before the Assessing Officer or the Appellate Commissioner and would have only relevance to reopened assessments which was not the subject matter in this appeal?"

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