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Gujarat High Court

Commissioner Of Income Tax-Iv vs Sayaji Industries Ltd - Opponent(S) on 18 November, 2009

Author: K.A.Puj

Bench: K.A.Puj

         TAXAP/1795/2008                           1/3                                              ORDER


                      IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                                TAX APPEAL No. 1795 of 2008


         =========================================================
                COMMISSIONER OF INCOME TAX-IV - Appellant(s)
                                    Versus
                     SAYAJI INDUSTRIES LTD - Opponent(s)
         =========================================================
         Appearance :
         MRS MAUNA M BHATT for Appellant(s) : 1,
         None for Opponent(s) : 1,
         =========================================================
                           CORAM : HONOURABLE MR.JUSTICE K.A.PUJ

                                  and

                                  HONOURABLE MR.JUSTICE RAJESH H.SHUKLA



                                       Date : 18/11/2009

                                          ORAL ORDER

(Per : HONOURABLE MR.JUSTICE K.A.PUJ)

1. Heard Mr. M. R. Bhatt, learned Senior Standing Counsel appearing for the Department. The Department has raised following two questions for consideration and determination of this Court.

"(1) Whether the Appellate Tribunal is right in law and on facts in deleting the addition made on account of technical know-how fees amounting to Rs.11,99,000/- u/s.35AB of the Act ?"

(2) Whether the Appellate Tribunal is right in law and on facts in deleting the Sales tax and Excise Duty included in the turnover for the HC-NIC Page 1 of 3 Created On Sat Jun 18 02:22:12 IST 2016 TAXAP/1795/2008 2/3 ORDER purpose of computing the deduction u/s.80HHC of the Act, despite insertion of Section 145A of the Act ?"

So far as question No.1 is concerned, this Court has earlier vide its order dated 5.2.2008 formulated the question involving the similar issue in Tax Appeal No.951 of 2007 alongwith Tax Appeal No.952 of 2007.
So far as question No.2 is concerned, this Court vide its order dated 27.2.2009 in Tax Appeal No.991 of 2008 has formulated a question involving the similar issue.

2. In the above view of the matter the appeal is admitted. The following two questions are now formulated for consideration and determination of this Court.

"(1) Whether the Appellate tribunal is right in law and on facts in confirming the order passed by the CIT (A) deleting the disallowance made on account of technical know-how fees which, in the opinion of the Assessing Officer, were covered by the provisions of Section 35AB of the Act ?
                    (2)      Whether the Appellate tribunal is right in


HC-NIC                                   Page 2 of 3      Created On Sat Jun 18 02:22:12 IST 2016
          TAXAP/1795/2008                      3/3                                             ORDER


law and on facts in confirming the order passed by the CIT (A) directing to exclude sales tax and excise duty from the total turnover for the purpose of deduction u/s80HHC of the Act, despite insertion of Section 145A of the act ?"

3. Issue notice to the other side. Additional paper book, if any, shall be filed within three months from today.

4. This Appeal is to be heard alongwith Tax Appeal No.951/2007 and Tax Appeal No.991 of 2008.

                             (K. A. PUJ, J.)             (R. H. SHUKLA, J.)

         kks




HC-NIC                               Page 3 of 3    Created On Sat Jun 18 02:22:12 IST 2016