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TMI Blog2019 (8) TMI 1831X X X X Extracts X X X X X X X X Extracts X X X X ..... Idea Cellular Limited. [ 2017 (12) TMI 660 - ITAT MUMBAI] . Following the co-ordinate Bench decision, we allow this issue of assessee s appeal. TDS u/s 194J - payment made towards roaming charges/ services provided by other telecom services - Non deduction of TDS - Addition u/s 40(a)(ia) - HELD THAT:- As decided in own case [ 2016 (6) TMI 174 - ITAT MUMBAI] roaming / inter connectivity charges paid by the assessee to other telecom networks not being in the nature of fees for technical services will not attract the provisions of section 194J. That being the case, assessee was not required to deduct tax at source on payment of roaming charges in terms of section 194J. In view of the aforesaid, we quash the demand raised under sections ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... squarely covered by Tribunal s decision of this co-ordinate Bench of this ITAT in the case of Idea Cellular Limited vs. PCIT in ITA No. 360/Mum/2016 for AY 2011-12 vide order dated 06.12.2017, wherein it is held as under: - 20. From the above judgment of Hon ble Supreme Court in the case of Smifs Securities Ltd. (supra) and the facts of the present case, it is clear that the assessee has rightly claimed depreciation under section 32 of the Act on 3G spectrum. It means that the expenditure towards 3G Spectrum is not expenditure for acquiring any right to operate telecommunications services. Out of the service areas in which 3G spectrum was won by the assessee, it had acquired the rights to operate telecommunication services in the yea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 132.67 Crs during the year on 3G Spectrum fees of ₹ 1257.83 Crs paid by the assessee in AY 2011-12. The assessee vide its submission dated 26.12.2016 contended that said 3G Spectrum fees qualifies as an Intangible asset eligible for depreciation at the rate of 25% as per provision of Section 32 of the Act and advanced various contentions in support of its claim. However, the AO was of the opinion that said capital expenditure on account of acquisition of 3G Spectrum fees is covered under Section 35AAB of the Act and is required to be amortized as per provisions of Section 35ABB of the Act over the period of 20 years for which 3G Spectrum has been allocated and accordingly disallowed the depreciation claim of ₹ 69,78,00,000/- o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 043, 2044, 2045 2045/2014 for AYs 2009-10, 2010-11, 2011-12 2012-13 respectively wherein, Tribunal while deciding the issue on raising of demand under section 201(1) and 201(1A) of the Act, considered the issue of failure of the assessee to deduct tax at source under section 194J of the Act, in respect of payments made towards roaming services provided by other telecom service providers, and Tribunal finally held that the assessee is not liable to deduct TDS by observing in Para 13 as under: - 13. In the present case, undisputedly, the Assessing Officer has not obtained any report from the technical expert to ascertain the fact whether there is any human intervention in providing cellular services. It is patent and obvious that t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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