THE PR. COMMISSIONER OF INCOME TAX vs M/S SAMSUNG R AND S INSTITUTE

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NC: 2025:KHC:13747-DB ITA No. 26 of 2025

IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 2ND DAY OF APRIL, 2025 PRESENT THE HON'BLE MR JUSTICE KRISHNA S DIXIT AND THE HON'BLE MR JUSTICE RAMACHANDRA D. HUDDAR INCOME TAX APPEAL NO. 26 OF 2025

BETWEEN:

THE PR. COMMISSIONER OF INCOME TAX 5TH FLOOR, BMTC BUILDING 80 FEET ROAD, KORMANGALA BENGALURU-560 095

THE JOINT/DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-6(1)(1) 2ND FLOOR, BMTC BUILDING 80 FEET ROAD, KORMANGALA BENGALURU-560 095 …APPELLANTS (BY SRI. Y.V. RAVIRAJ FOR SRI. M. DILIP, ADVOCATES)

AND:

M/S. SAMSUNG R AND D INSTITUTE INDIA BANGALORE PVT LTD 2870, PHOENIX BUILDING BAGMANE CONSTELLATION BUSINESS PARK OUTER RING ROAD DODDANEKUNDI CIRCLE MARATHAHALLI POST BENGALURU-560 037 PAN:AAICS 6290F REP. BY ITS MANAGING DIRECTOR …RESPONDENT (BY SMT. MANASA ANANTHAN, FOR SMT. TANMAYEE RAJKUMAR, ADVOCATES)

Digitally signed by SHAKAMBARI Location: High Court of Karnataka

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NC: 2025:KHC:13747-DB ITA No. 26 of 2025

THIS INCOME TAX APPEAL IS FILED UNDER SEC.260-A OF INCOME TAX ACT 1961, ARISING OUT OF ORDER DATED 30.05.2024 PASSED IN ITA/IT(TP)A NO.484/BANG/2019, FOR THE ASSESSMENT YEAR 2014-2015 PRAYING TO ALLOW THE APPEAL AND SET ASIDE THE ORDERS PASSED BY THE INCOME TAX APPELLATE TRIBUNAL, BENGALURU IN ITA/IT(TP)A NO.484/BANG/2019 DATED 30.05.2024, FOR THE ASSESSMENT YEAR 2014-2015 ANNEXURE A AND CONFIRM THE ORDER OF THE APPELLATE COMMISSIONER CONFIRMING THE ORDER PASSED BY THE JOINT / DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 6(1)(1), BENGALURU.

THIS APPEAL, COMING ON FOR ADMISSION, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE KRISHNA S DIXIT and HON'BLE MR JUSTICE RAMACHANDRA D. HUDDAR

ORAL JUDGMENT (PER: HON'BLE MR JUSTICE KRISHNA S DIXIT) The Revenue has filed this appeal for calling in question the Income-tax Appellate Tribunal's order dated 30.05.2024, for the assessment year 2014–15; the assessee's appeal in ITA/IT(TP)A No.484/Bang/2019 having been favoured, relief has been accorded.

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NC: 2025:KHC:13747-DB ITA No. 26 of 2025

The appeal is presented on the following substantial question of law:

"Whether, on the facts and in the circumstances of the case, the Tribunal is justified in setting aside the disallowance of claim of depreciation on purchase of Intellectual Property Rights made by assessing authority under section 40(a)(ia) of the Act as they had failed to deduct TDS on payments made in respect of purchase of intellectual property rights by following Apex Court decision in case Engineering Analysis Centre reported in (2021) 125 taxmann.com 42 and decision in the case of PCIT Vs Tally Solutions Pvt Ltd reported in (2021) 123 taxmann.com 21 which has not reached finality and even when the ingredients of section 40(a)(ia) of the Act are satisfied in case of assessee?"

Having heard the learned counsel for the parties and having perused the appeal papers, we are of the considered opinion that the appeal involves no substantial question of law. A Co-ordinate Bench decision in Principal Commissioner of Income Tax - 7 V/s. Tally Solutions Private Limited (2021) 123 taxmann.com 21, has been scrupulously followed by the Tribunal. While granting relief to the Assessee. In view of the above, we do not find any merits in the appeal and

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NC: 2025:KHC:13747-DB ITA No. 26 of 2025

accordingly, the same is dismissed, costs having been made easy.

Sd/- (KRISHNA S DIXIT) JUDGE

Sd/- (RAMACHANDRA D. HUDDAR) JUDGE

AM List No.: 1 Sl No.: 23

THE PR. COMMISSIONER OF INCOME TAX vs. M/S SAMSUNG R AND S INSTITUTE