THE COMMISSIONER OF INCOME TAX vs. SAMSUNG ELECTRONICS CO LTD

PDF · subscribers
ITA/1053/2008HC KarnatakaKAHC01041957200828 August 2012Bench: B.MANOHAR,K.SREEDHAR RAO2 pages
AI SummaryRemanded

What did the High Court hold?

The High Court of Karnataka, in its judgment dated August 28, 2012, disposed of the appeal by following its decision in a similar case, ITA No. 1050/2008, which involved the same assessee. In that prior case, the High Court had held that an appeal concerning TDS matters is maintainable under Section 248(a) of the Income Tax Act, 1961, directly before the Commissioner of Income Tax (Appeals), even without an assessment being made by the Assessing Officer. Therefore, by extension, the present appeal filed under Section 260-A of the Income Tax Act was disposed of in terms of the precedent set in ITA No. 1050/2008. The operative direction was to dispose of the appeals in line with the earlier judgment, implying that the maintainability of the appeal to the High Court was the primary consideration, and the precedent dictated the outcome. No specific issue regarding the merits of the TDS matter was decided in this judgment.

What were the facts?

The Commissioner of Income Tax (Appellants) filed an appeal under Section 260-A of the Income Tax Act, 1961, against an order dated May 9, 2008, passed by the Income Tax Appellate Tribunal (ITAT), Bangalore. The ITAT's order had confirmed the orders of the Commissioner of Income Tax (Appeals) for the Assessment Year 2005-06. The appeal was filed with the High Court of Karnataka. The core of the dispute, as indicated by the judgment, relates to Tax Deducted at Source (TDS) and the procedural path for challenging orders concerning it. The High Court noted that a similar appeal, ITA No. 1050/2008, concerning the same assessee, had already been decided.

What were the issues?

1. Whether the appeal filed by the Revenue under Section 260-A of the Income Tax Act, 1961, is maintainable in the High Court when the ITAT's order pertains to a matter of Tax Deducted at Source (TDS) and the procedural route for such appeals. Assessee's Contention: The judgment does not record any specific contentions made by the assessee in this particular appeal. However, it refers to a previous decision in ITA No. 1050/2008, which held that an appeal under Section 248(a) of the Income Tax Act is maintainable directly to the Commissioner of Income Tax (Appeals) without prior assessment by the Assessing Officer in respect of TDS. Revenue's Contention: The Revenue, as the appellant, is challenging the ITAT's order which confirmed the orders of the Appellate Commissioner. The Revenue's argument, implied by the filing of the Section 260-A appeal, is that the ITAT's decision was erroneous and that the appeal to the High Court is the appropriate legal recourse.

Which sections of the Income-tax Act were involved?

Section 260-A,Section 248(a)

AI-generated summary — verify with the full judgment below

1 IN THE HIGH COURT OF KARNATAKA, BANGALORE DATED THIS THE 28TH DAY OF AUGUST, 2012 PRESENT THE HON'BLE MR. JUSTICE K.SREEDHAR RAO AND THE HON'BLE MR. JUSTICE B.MANOHAR I.T.A. No. 1053 OF 2008 BETWEEN:- 1. The Commissioner of Income Tax, C.R. Building, Queens Road, Bangalore. 2. The Commissioner of Income Tax, Appeals-IV, C.R. Building, Queens Road, Bangalore. Appellants (By Sri K.V. Aravind, Advocate) AND:- Samsung Electronics Co., Ltd., India Software Operations, No.67, Infantry Road, Bangalore-560001. Respondent (By Sri Ramesh T. for M/s.Universal Legal, Advocate) This I.T.A. is filed U/s.260-A of the I.T. Act, 1961 arising out of Order dated 09.05.2008 passed in ITA

2 No.877/BANG/2007, for the Assessment Year 2005-06, praying that this Hon’ble Court may be pleased to: (i) formulate the substantial questions of law stated therein and (ii) allow the appeal and set aside the order passed by the ITAT Bangalore in ITA No.877/BANG/2007, dated 09.05.2008 confirming the orders of the Appellate Commissioner, in the interest of justice and equity. This appeal is coming on for final hearing this day, SREEDHAR RAO, J., delivered the following: J U D G M E N T This Court in ITA No.1050/2008 pertaining to the same assessee, it is held that the appeal is maintainable U/s.248(a) of the I.T. Act directly to the Commissioner of Income Tax appeals without assessment by the Assessing Officer in respect of TDS. The question involved in the present case is similar. Accordingly the appeals are disposed of in the terms in ITA No.1050/2008. Sd/- JUDGE Sd/- JUDGE psg*

More judgments on Section 260-A

All 2,570 judgments and leading authorities on Section 260-A →

Recent GST High Court judgments

Search GST case law →