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TMI Blog2022 (9) TMI 820X X X X Extracts X X X X X X X X Extracts X X X X ..... l by the Government. Therefore, the order of the PCIT is modified by directing the Assessing Officer to withdraw/disallow the deduction in respect of Salapuria Touchstone project only. If at a later stage, Government approves/notifies the said project then the assessee will be entitled to move on an application to the AO to allow the deduction and the AO will examine whether such an approval is applicable to the said project and if so found eligible, the Assessing Officer will accordingly allow the deduction modifying the assessment order. In respect of the other project i.e. Salarpuria softzone , it is held that the assessee is eligible for deduction on the said project. Appeal of the assessee is treated as partly - I.T.A. No. 1051/K ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ated 28.07.2007 for its operation maintenance and thus, the assessee claimed deduction u/s.801A(4)(iii). The ld. PCIT observed from the assessment folder of M/s. Salarpuria Properties Pvt. Ltd. that the project Salarpuria Touchstone was not approved by the competent authority. As a result, no deduction u/s.801A(4)(ii) had been allowed to the said assessee in respect of the said project since the AY 2008-09 by the IT Department. The ld. PCIT, therefore, noted that since the project which was ineligible for deduction u/s.80IA in the hands of the developer, would not also qualify for deduction at the hand of the transferee for its operation and maintenance. The PCIT, therefore, observed that the deduction of Rs.1,62,44,959/- in respect of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t and the said authority conveyed approval vide F.No.15/23/2006/IP ID dated 25.07.2006. However, the CBDT did not issue notification under the Rule 18C(4) of the I T Rules, 1962 to the said firm M/s Salarpuria Softzone. The ld. PCIT further observed that the assessee has not disputed that in the assessments of the erstwhile firm M/s Salarpuria Softzone, the claim of 100% deduction u/s 80IA(4)(iii) has been disallowed for A.Y. 2008-09 and 2009-10. However, the AO has allowed the deduction of Rs.3,08,43,285/- in respect of Salarpuria Softzone u/s 80IA(4)(iii) of the Act for the A.Y. 2012-13 vide impugned assessment order dated 23.03.2015. The Ld. PCIT, therefore, held that order of the Assessing Officer was erroneous and prejudicial to t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in this respect for a direction to the Government to approve the said project u/s 80IA(4)(iii). In view of this, the ld. counsel has fairly submitted that at this stage, the assessee/appellant is not entitled to deduction on this project. He, however, has further submitted that, in case, the matter is decided in favour of the assessee by the Hon ble High Court and the Government issues approval at a later stage on the said project, then the assessee may be given liberty to approach the Assessing Officer to revise the assessment order and give deduction accordingly. However, in respect of second project namely Salarpuria Softzone project, the ld. counsel has relied upon the decision of the Coordinate Bench of the Tribunal in the case of ers ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... upon the Commerce Ministry, in the absence of any express provision in the Rules, it should be presumed that the authority, which has given approval, has the power of revocation and examination of compliance of the conditions upon which the approval has been accorded. Therefore, it is the duty of the Commerce Ministry to decide whether an industrial undertaking is complying with the conditions envisaged in the scheme and if the undertaking fails to comply with those conditions, it is the Commerce Ministry alone, which has the right to withdraw the benefit granted under sub-rule [2] of Rule 18C of the Rules. As soon as the approval under sub-rule [2] of Rule 18C is given, it is obligatory on the part of the Central Board of Direct Taxes to n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Salapuria Touchstone project only. However, it is further directed that if at a later stage, Government approves/notifies the said project then the assessee will be entitled to move on an application to the Assessing Officer to allow the deduction and the Assessing Officer will examine whether such an approval is applicable to the said project and if so found eligible, the Assessing Officer will accordingly allow the deduction modifying the assessment order. In respect of the other project i.e. Salarpuria softzone , it is held that the assessee is eligible for deduction on the said project. Before parting with the order, it is to note here, even at the sake of repetition, that this order has been passed as per the submission and consent of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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