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[Cites 1, Cited by 3]

Karnataka High Court

The Commissioner Of Income Tax vs M/S Expert Outsource Pvt Ltd on 5 October, 2012

Bench: K.Sreedhar Rao, B.Manohar

                                 1

   IN THE HIGH COURT OF KARNATAKA AT BANGALORE

         DATED THIS THE 5TH DAY OF OCTOBER 2012

                             PRESENT

        THE HON'BLE MR. JUSTICE K.SREEDHAR RAO

                               AND

           THE HON'BLE MR. JUSTICE B.MANOHAR

                          ITA No.60/2012

BETWEEN :

 1 THE COMMISSIONER OF
INCOME TAX, C R BUILDING
QUEENS ROAD, BANGALORE

2 THE INCOME-TAX OFFICER
WARD-11 (1), C.R.BUILDING,
QUEENS ROAD, BANGALORE.                             APPELLANTS

                 ( By Sri. K V ARAVIND, ADV.)

AND :

M/S EXPERT OUTSOURCE PVT LTD
NO.20/2, 17TH CROSS,
BETWEEN 6TH & 8TH MAIN,
MALLESHWARAM,
BANGALORE-560055                                  ...RESPONDENT


      ITA is filed Under Sec.260-A of I.T. Act, 1961, arising out of
Order dated 31/10/2011 passed in ITA No.95/Bang/2011 by the
ITAT, Bangalore.

     This ITA coming on for admission this day, K.SREEDHAR
RAO, J, delivered the following:
                                   2

                            JUDGMENT

The following substantial questions of law raised in the memorandum of appeal are takenup for consideration.

1. Whether the Appellate Authorities were correct in holding that the assessee would be entitled to claim deduction u/s.10A of the Act, even though the company was incorporated and had started business activities prior to obtaining approval of STPI, which was a condition precedent u/s.10A(2)(i)(b) & (c) of the Act, which was admittedly not satisfied?

2. Whether the Appellate Authorities were correct in failing to examine and record a correct finding that obtaining STPI approval for establishment of a STP unit, on 04.08.2004 by utilizing the plant and machinery previously used for the business have been transferred to the STP unit to the extent of Rs.2,80,154/- which is more than 20% of the total plant and machinery of STP unit as laid down in Section 10A(2)(iii) of the Act?

This Court in ITA No.323/2010 (DD 1.3.2011) has answered the said questions of law against the revenue.

Accordingly, the appeal is dismissed.

Sd/-

JUDGE Sd/-

JUDGE bkm.