2013 (11) TMI 1315 - AT - Income Tax

Allowability of deduction u/s 80IA of the Income Tax Act Held that - Reliance has been placed on the assessee s own case for the assessment year 2004-05, deduction u/s 80IA allowed to the Assessee - The Tribunal in the said order has followed another order in assessee s own case for assessment year 2005-06 - Nothing has been brought on record to show that the said decision of the Tribunal has been reversed/modified by the Hon ble Karnataka High Court. Hence, as on date, the decision holding the field is that of the Tribunal for the assessment year 2004- 05 No any change in facts and circumstances in the present assessment year also No any infirmity in the order of the Commissioner of Income-tax (Appeals) in following the decision of this Tribunal in assessee s own case for assessment year 2004-05 Deduction u/s 80IA allowed Decided against the Revenue.

Summary

Issues:
1. Authorization of the alleged representative for the appellant.
2. Justification of allowing deduction u/s.80IA by the Commissioner of Income-tax (Appeals).

Analysis:
1. The appeal was filed by the Revenue against the appellate order for the assessment year 2003-04. During the hearing, an alleged representative, without proper authorization, requested to block the appeal pending another case before the High Court. The Tribunal rejected this request due to lack of authorization and proceeded with the appeal.

2. The main issue revolved around whether the Commissioner of Income-tax (Appeals) was correct in allowing the deduction claimed u/s.80IA of the Act. The Commissioner had allowed the deduction based on the ITAT's order in the assessee's case for the assessment year 2004-05, which was further supported by a previous order for the assessment year 2005-06. The Revenue argued that the Tribunal's order for 2004-05 was not final due to an appeal filed before the High Court, but there was no evidence of reversal or modification by the High Court. Therefore, the Tribunal upheld the Commissioner's decision, stating that the Tribunal's decision for 2004-05 remained valid, and there were no changes in the circumstances for the current assessment year. As a result, the Revenue's appeal was dismissed.

In conclusion, the Tribunal upheld the Commissioner's decision to allow the deduction u/s.80IA based on previous Tribunal orders in the assessee's case. The lack of authorization for the alleged representative led to the rejection of the request to block the appeal. The Tribunal found no infirmity in the Commissioner's decision and dismissed the Revenue's appeal.