RE SUSTAINABILITY HEALTHCARE SOLUTIONS LIMITED,RAMKY GRANDIOSE, RAMKY TOWERS, GACHIBOWLI vs. ACIT., CIRCLE-3(1), HYDERABAD

The Assessing Officer, observed that the assessee company except for placing on record the aforementioned consent orders (supra), had failed to file any other documentary evidence in support of its claim for deduction u/s 80IA of the Act. Further, the Assessing Officer observed that the orders obtained by the assessee company from Tamil Nadu Pollution Control Board were as per the Water (Prevention and Control of Pollution) Act, 1974 and Air (Prevention and Control of Pollution) Act, 1981, which were indispensably required to be obtained for conducting its business. The Assessing Officer held a firm conviction that the aforesaid permissions obtained by the assessee company did not tantamount to an “agreement” entered for the purpose of development of infrastructure u/s 80IA of the Act. Accordingly, the Assessing Officer, held a firm conviction that the primary condition that was required to be fulfilled for claiming deduction u/s 80IA(4) of the Act i.e., the enterprise has entered into an “agreement” with Central/State Government or a local authority or any other statutory body for, viz. (i) developing; or (ii) operating and maintaining; or (iii) developing, operating and maintaining a new infrastructure facility, had not been fulfilled by the assessee company in respect of its bio-waste and medical management at Salem. The Assessing Officer backed by his aforesaid deliberations was of the view that the assessee company was not eligible to claim deduction u/s 80IA of the profits which it had earned from its unit as the pre-conditions laid down in the said statutory provision remained unfulfilled. Also, the Assessing Officer to fortify his aforesaid conviction had drawn support from the fact that a similar deduction u/s 80IA of the Act that was claimed by the assessee company in A.Y. 2013-14 and A.Y. 2014-15 was declined by his predecessor on similar lines. Accordingly, the Assessing Officer based on his aforesaid observations declined the claim of the assessee company for deduction u/s 80IA of the Act of Rs.2,15,16,308/- 6. Aggrieved, the assessee company carried the matter in appeal before the CIT(A) but without success. The CIT(A) observed that the ITAT, Hyderabad while disposing of the assessee’s appeals in ITA Nos.774 and 775/Hyd/2020 for A.Y 2013-14 and 2014-15, had against the assessee company. Accordingly, the CIT(A) followed the view taken by the juri ictional Tribunal and dismissed the appeal. 7. The assessee company being aggrieved with the order of the CIT(A) has carried the matter in appeal before us. 8. We have heard the learned Authorized Representatives of both the parties, perused the orders of the lower authorities and the material available on record. 9. Shri S.P. Chidambaram, the learned Authorized Representative (for short “AR") for the assessee company, at the threshold of hearing of the appeal, has placed on our record the declaration filed by the assessee company u/s 158A(1) of the Act, dated 20.01.2025 in “Form no.8”. The ld. AR submitted that as the question of law arising in the present appeal of the assessee company for the subject year i.e., A.Y. 2017-18 is pending adjudication in its appeals filed u/s 260A before the Hon’ble High Court for the State of Telangana for the preceding years i.e., A.Y. 2013-14 and A.Y. 2014-15, therefore, the assessee company has filed the present declaration u/s 158A(1) of the Act. The Ld. A.R. submitted that the before the Tribunal, viz. Re Sustainability Healthcare Solutions Limited (formerly known as Ramky Energy and Environment Limited) in ITA No.1117/Hyd/2024, the final decision on the question of law that is pending for adjudication before the Hon'ble Juri ictional High Court in its appeals filed u/s 260A of the Act for the A.Y. 2013-14 and A.Y. 2014-15. Carrying his contention further, the ld.AR submitted that as per the declaration filed by the assessee company u/s 158A(1) of the Act, if the Tribunal agrees to apply to the present case i.e., ITA No.1117/Hyd/2024, the final decision on the question of law in the cases pending before the Hon'ble High Court for A.Y. 2013-14 and A.Y. 2014-15, then it shall not raise the said question of law in appeal before any appellate authority or in appeal before the Hon'ble High Court under Section 260A of the Act or in appeal before the Hon'ble Supreme Court under Section 261 of the Act. 10. As the assessee company has filed before us an application u/s 158A(1) of the Act, therefore, the Ld.DR was on 21.01.2025 directed to obtain a report from the Assessing Officer. 11. The Ld. D.R in pursuance to the directions of the Tribunal had placed on our record the report of the Assessing Officer i.e., DCIT, Circle 3(1), Hyderabad, dated 20.02.2025 wherein it is, inter alia, admitted by him that the assessee company had raised an identical question of law before the Hon'ble High Court in its appeals for A.Y. 2013-14 and A.Y.2014-15, which is the crux of the grounds of present appeals for A.Y. 2017-18 and A.Y. 2018-19 filed before the Tribunal. 12. As both the assessee company and the Assessing Officer had admitted that an identical question of law involved in the present appeal, viz. ITA No.1117/Hyd/2024 for A.Y 2017-18 is pending adjudication before the Hon'ble Juri ictional High Court in the assessee’s appeals for A.Y 2013-14 and A.Y. 2014-15, therefore, as per clause (i) of sub-section (3) to Section 158A of the Act, we admit the said claim of the assessee company. 13. In view of the above facts, we restore the appeal for A.Y. 2017-18, viz., ITA No.1117/Hyd/2024, to the file of the Assessing Officer by admitting the claim of the assessee company in terms of Section 158A(3) of the Act and direct the Assessing Officer to apply assessee company for A.Y. 2013-14 and A.Y. 2014-15 which is pending before the Hon'ble High Court of Telangana as soon as it becomes final. 14. Resultantly, the appeal filed by the assessee company is disposed of in terms of our aforesaid observations. ITA No.1118/Hyd/2024 for A.Y. 2018-19 15. As the facts and the issue involved in the present appeal of the assessee company remain the same as were there before us in its appeal for A.Y. 2017-18 in ITA No.1117/Hyd/2024, therefore, the order therein passed shall apply mutatis mutandis for disposing of the present appeal i.e. ITA No. 1118/Hyd/2024 for A.Y. 2018- 19. 16. In the result, both the captioned appeals are allowed for statistical purposes. 28th मार्च, 2025 को खुली अदालत में सुनाया गया आदेश।

निर्धाररती/The Assessee : Re Sustainability Healthcare Solutions Limited (formerly known as Ramky Energy and Environment Limited), 13th Floor, Ramky Grandiose, Ramky Towers, Gachibowli, Hyderabad – 500032. 2. रधजस्व/ The Revenue : The Assistant Commissioner of Income Tax, Circle – 3(1), Hyderabad. 3. The Principal Commissioner of Income Tax, Hyderabad 4. नवभधगीयप्रनतनिनर्, आयकर अपीलीय अनर्करण, हैदरधबधद / DR, ITAT, Hyderabad 5. गधर्ाफ़धईल / Guard file