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TMI Blog2022 (8) TMI 122X X X X Extracts X X X X X X X X Extracts X X X X ..... eals) has held that the finding of the Assessing Officer that the products manufactured by the assessee come within Schedule 13 of the Act is unsustainable in view of the decision of the Hon ble Delhi High Court. Admittedly, against the aforesaid observation of learned Commissioner (Appeals), the Revenue has not come in appeal. There is no other specific reason or observation by the departmental authorities for denial of assessee s claim of deduction under section 80IC - Commissioner (Appeals) has made a general observation that the assessee failed to furnish required details without specifying, what are the details required to be furnished by the assessee. Of course, one more reason learned Commissioner (Appeals) has assigned for denying assessee s claim of deduction is, on earlier assessment years the fulfillment of condition of section 80IC were not examined as the returns of income filed by the assessee were processed under section 143(1) of the Act. From the materials placed before us, the aforesaid finding of learned Commissioner (Appeals) and the Assessing Officer are found to be not borne out from record. Thus disallowance of deduction claimed by the assessee under secti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on under section 80IC of the Income-tax Act, 1961 (in short the Act ). 5. Briefly the facts are, the assessee, a resident company, is engaged in the business of manufacturing of plastic packaging products such as PET and HDPE bottles, jars, caps and closures. For the assessment year under dispute, the assessee filed its return of income on 15.10.2010 declaring nil income. In course of assessment proceeding, the Assessing Officer, while verifying the return of income filed by the assessee, noticed that the assessee had claimed deduction of Rs.86,63,158/- under section 80IC of the Act. Noticing this, the Assessing Officer called upon the assessee to furnish supporting evidence to justify the deduction claimed. In response, the assessee filed a detailed submission along with supporting evidences stating that it has set up a manufacturing unit at Barotiwala, Himachal Pradesh, which has fulfilled all the conditions of section 80IC of the Act. After perusing the documents filed and considering the submissions made, the Assessing Officer was of the view that the products manufactured by the assessee are in the nature of goods and articles specified in the 13th Schedule of the Act. Thu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y examined the issue, if comes to a conclusion that all the conditions of section 80IC of the Act are satisfied, the matter ends there and fulfillment of conditions under section 80IC cannot be examined in any future assessment year. He submitted, assessee s claim of deduction under section 80IC of the Act was not only examined in assessment year 2005-06, the first year of claim, but, was also examined in subsequent assessment years. Rebutting the observations of the departmental authorities that in subsequent years, the assessments have been made under section 143(1) and not under section 143(3), learned counsel drew our attention to the assessment order passed under section 143(3) of the Act for the assessment year 2007-08, wherein the Assessing Officer, after examining assessee s claim of deduction under section 80IC of the Act, has allowed. Thus, he submitted, deduction claimed under section 80IC off the Act should be allowed. In support of such contention, learned counsel relied upon the following decisions: 1. CIT Vs. International Tractor Ltd. {2017} 397 ITR 696 (Delhi High Court) 2. CIT Vs. Tata Communications Interned Services Ltd. [2012] 251 CTR 290 (Delhi High C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as made a general observation that the assessee failed to furnish required details without specifying, what are the details required to be furnished by the assessee. Of course, one more reason learned Commissioner (Appeals) has assigned for denying assessee s claim of deduction is, on earlier assessment years the fulfillment of condition of section 80IC were not examined as the returns of income filed by the assessee were processed under section 143(1) of the Act. From the materials placed before us, the aforesaid finding of learned Commissioner (Appeals) and the Assessing Officer are found to be not borne out from record. 11. On the contrary, it is a fact on record that assessee s claim of deduction under section 80IC of the Act was not only examined in the first year of claim, i.e., assessment year 2005-06 but also in assessment year 2007-08, wherein, the assessment was completed under section 143(3) of the Act vide order dated 31.12.2009. A reading of the aforesaid assessment order would clearly reveal that the Assessing Officer has specifically examined the issue relating to assessee s claim of deduction under section 80IC of the Act. Thus, when assessee s claim of deduction ..... X X X X Extracts X X X X X X X X Extracts X X X X
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