Income Tax Appellate Tribunal - Bangalore
Saint Gobain Crystals & Detectors India ... vs Department Of Income Tax on 27 June, 2012
ITA.1059/Bang/2011 Page - 1
IN THE INCOME TAX APPELLATE TRIBUNAL
BANGALORE BENCH 'B', BANGALORE
BEFORE SHRI. N. BARATHVAJA SANKAR, VICE PRESIDENT
AND
SHRI. GEORGE GEORGE K. JUDICIAL MEMBER
I.T.A No.1059/Bang/2011
(Assessment Year : 2005-06)
Deputy Commissioner of Income-tax,
Circle - 12(3), Bangalore .. Appellant
v.
Saint Gobain Crystals & Detectors India Ltd.,
Sy.No.171/2, Maruthi Industrial Estate,
Hoodi Rajapalya, Whitefield Main Road,
Bangalore 560 048 .. Respondent
PAN : AAACB6794R
Appellant by : None
Respondent by : Shri. Farhat Hussain Qureshi, CIT - II
Date of hearing : 27.06.2012
Date of pronouncement : 27.06.2012
ORDER
PER N. BARATHVAJA SANKAR, VICE PRESIDENT :
This is an appeal preferred by the Revenue for the assessment year 2005-06, in the case of Saint Gobain Crystals & Detectors India Ltd., Bangalore, against the appellate order dated.17.08.2011 of the Commissioner of Income-tax (Appeals)-III, Bangalore.
ITA.1059/Bang/2011 Page - 2
02. The only issue brought before us for adjudication is whether the Commissioner of Income-tax (Appeals) erred in law in allowing deduction of Rs.1,62,85,145/-m u/s.10B by relying on ITAT's order in the assessee's own case for Assessment years 2003-04 and 2004-05 which have not been accepted by the Department and contested before the Hon'ble High Court in appeals u/s.260A.
03. The brief facts as gathered from the records are that the assessee is a private limited company engaged in the business of manufacture and sale of Radiation Detectors and Radiation Measuring Equipments.
Initially, the assessee was incorporated as Bicron Products Private limited. In the year 2000 the name of the company was changed to Saint Gobain Crystals & Detectors India Ltd., The company has been exporting its products exclusively to USA and France, which in turn reach the ultimate buyer through the group companies worldwide. The assessee is a 100% export oriented unit approved by SIA, Ministry of Industry, Government of India vide Ministry of Industry's letter no.PER:542(1995)/EOB/573/95 dated.9.10.1995. For the assessment year under consideration, the assessee filed the return of income on 29.10.2005 declaring a total income of Rs.5,46,190/-. Assessment u/s.143(3) was completed vide order dated.31.10.2008 and the total income was assessed at Rs.1,68,31,335/-. The Assessing Officer rejected the claim of the assessee on the ground that the ITA.1059/Bang/2011 Page - 3 assessee is not into manufacture or production of article or thing, as required u/s.10B of the Act. Aggrieved the assessee moved the matter in appeal before the first appellate authority and made elaborate submissions. The assessee also relied on the decision of the ITAT in ITA.15 & 720/Bang/2008, dated.30.01.2009, in the assessee's own case for the assessment years 2003-04 and 2004-05 on similar facts. The learned Commissioner of Income-tax (Appeals) after considering the submissions in the light of the decision of the Tribunal and following the same, allowed the claim of the assessee. Now the Revenue is aggrieved and is on second appeal before us on this issue.
04. One of the grounds raised by the Revenue reads as under :
"2. The ld.CIT(A) has erred in law in allowing deduction u/s.10B of Rs.1,62,85,145/- by relying on the ITAT's order in the assessee's own case for A.Ys.2003-04 and 2004-05 which have not been accepted by the Department and contested before the Hon'ble High Court in appeals u/s.260A."
05. Nobody was present for the assessee. However, we have heard the learned DR and considered the facts and materials on record including the earlier order of the Tribunal in ITA.15 & 720/Bang/2008, dated.30.01.2009, in the assessee's own case for the assessment years 2003-04 and 2004-05. Even from the grounds of appeal as quoted above, it is clear that the Revenue has come on appeal for this year only for the sake of keeping the issue alive. In ITA.1059/Bang/2011 Page - 4 other words, the Revenue has stated that the earlier order of the Tribunal has been appealed before the Hon'ble High Court u/s.260A of the IT Act. However, nothing has been brought to our notice that the said order of the Tribunal in the assessee's own case for AYs.2003-04 and 2004-05 had been reversed by the Hon'ble High Court. In such circumstances, the only order holding the field is that of this Tribunal, dated.30.01.2009. Hence, following the above decision of the Tribunal we are inclined to dismiss the appeal of the Revenue.
06. In the result, Revenue's appeal is dismissed. Order pronounced in the open court at the end of hearing on 27.06.2012.
Sd/- Sd/- (GEORGE GEORGE K) (N. BARATHVAJA SANKAR) JUDICIAL MEMBER VICE PRESIDENT