NOKIA INDIA PVT. LTD.,GURGAON vs. ADDL. CIT, NEW DELHI

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ITA 1870/DEL/2017Status: DisposedITAT Delhi27 February 2018AY 2006-075 pages
AI SummaryWithdrawn

What did the Tribunal hold?

The Tribunal noted that the assessees had initiated a Mutual Agreement Procedure (MAP) under the India-Finland DTAA, which resulted in a resolution accepted by the assessees. Consequently, the appeals were dismissed as withdrawn.

What were the facts?

The assessees filed appeals before the ITAT against orders passed by the AO. During the hearing, the assessees sought to withdraw these appeals.

What were the issues?

Whether the appeals should be dismissed as withdrawn following a resolution reached through the Mutual Agreement Procedure (MAP) under the DTAA.

Which sections of the Income-tax Act were involved?

Section 147,Section 143(3),Section 144C(1),Section 40(a)(i)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH ‘I-1’, NEW DELHI

For Appellant: CA &, Ms. Garima Pande, CA
For Respondent: DR Sh. Kumar Pranav, Sr. DR
Hearing: 26.02.2018Pronounced: 27.02.2018

Heard together (8 matters)

ITA No. 1870/Del/2017
ITA No. 1871/Del/2017
ITA No. 1872/Del/2017
ITA No. 1873/Del/2017
ITA No. 1874/Del/2017
ITA No. 1875/Del/2017
ITA No. 1876/Del/2017
ITA No. 1877/Del/2017

Read from the judgment's own cause title. This page is filed under one of them.

These appeals by the assessees are directed against the separate orders passed by the AO u/s 147/143(3) r.w.s. 144C(1) of the Income Tax Act, 1961 (hereinafter referred to as the Act) as per following details: S.No. Appeal No. Assessee Assessee Assessment Year Order of the AO dated Nokia India Pvt. Ltd. 2006-07 31.01.2017 2 Nokia India Pvt. Ltd. 2007-08 30.01.2017 3 ITA No.1872/Del/2017 Nokia Corporation 2006-07 30.01.2017 4 ITA No.1873/Del/2017 Nokia Corporation 2007-08 30.01.2017 5 ITA No.1874/Del/2017 Nokia Corporation 2008-09 30.01.2017 6 ITA No.1875/Del/2017 Nokia Corporation 2009-10 30.01.2017 7 ITA No.1876/Del/2017 Nokia Corporation 2011-12 30.01.2017 8 ITA No.1877/Del/2017 Nokia Corporation 2012-13 30.01.2017

2.

During the course of hearing, the ld. Counsel for the assessee submitted that he has the instruction to withdraw these appeals by stating in application dated 23.02.2018 as under:

“SUB: WITHDRAWAL OF APPEAL FILED BEFORE THIS INCOME TAX APPELLATE TRIBUNAL IN I.T.A. NO. 1870/PEL-2017

This is with reference to the subject appeals filed by the appellant before Bench ‘I’ of this Hon'ble Tribunal.

In this regard, it may please be noted that the subject appeal has been filed by the appellant against the order passed by the Additional Commissioner of Income Tax, Special Range-6, CR Building New Delhi ('Ld. AO') under Section 144C(13)/143(3) read with section 147 of the Income Tax Act, 1961 ('the Act') for the subject year ('impugned order').

3 to 1877/Del/2017 Nokia India & Nokia Corporation In this regard, it is submitted that in addition to filing the subject appeal before this Hon'ble Tribunal against the above-said impugned order, Nokia had filed an application under Article 24 of the India - Finland Double Taxation Avoidance Agreement ('DTAA') for initiation of Mutual Agreement Procedure ('MAP') before the Indian and the Finnish Competent Authorities ('CA') with respect to the following issues in appeal before this Hon'ble Tribunal: a. Disallowance n/s 40(a)(i) - payment to Nokia Corp towards purchase of software; b. Disallowance u/s 40(a)(i) - payment to Nokia Corp towards purchase of finished goods; c. Transfer pricing adjustments towards (i) AMP (ii) Purchase of Software from Nokia Corp It is respectfully submitted that a resolution has been arrived between the Indian and Finnish CAs on all the above taxation issues raised before this Hon'ble Tribunal in the present appeal. The said resolution under Article 24 of the India - Finland DTA A has also been accepted by Nokia vide letter dated February 20, 2018. As per Rule 44H of the Income Tax rules, 1962 ('the IT Rules'), orders giving effect to the MAP resolution shall be passed by the Ld. AO once all appeals are withdrawn by the appellant on the issues so resolved under MAP. Accordingly, in line with the condition precedent, as prescribed under Rule 44H of the IT Rules, the appellant hereby withdraws the appeal in in its entirety. In view of the above, we request your Honour to kindly consider this application as withdrawal of the abovementioned appeals and where any orders are required to be passed, we request the Hon’ble Bench to kindly pass the same.

4 to 1877/Del/2017 Nokia India & Nokia Corporation In case your Honour requires any clarification/information on the above, we shall be pleased to provide the same.” Thanking you, Yours sincerely, Sd/- Directors of Nokia India Pvt. Ltd. 3. Similar applications have been filed by the assessees for the other appeals under consideration.

4.

During the course of hearing, the ld. Counsel for the assessees reiterated the contents of the aforesaid application and requested to allow the withdrawal of the appeals under consideration.

5.

In his rival submissions, the ld. DR did not object if the appeals of the assessees are dismissed as withdrawn.

6.

We have considered the submissions of both the parties and perused the material available on the record. In the present case, from the aforesaid applications submitted by the assessees, it is noticed that the assessees in addition to filing the appeals before the Income Tax Appellate Tribunal had filed applications under Article 24 of the India-Finland Double Taxation Avoidance Agreement (‘DTAA’) for initiation of Mutual Agreement Procedure (‘MAP’) before the Indian and the Finnish Competent Authorities (‘CAs’) on all the issues raised before the ITAT in the present appeals. Thereafter, the resolution had been arrived between the Indian and Finnish CAs on all the issues raised before the ITAT in the present appeals. The said resolution had been accepted by the assessees vide letter dated 23.02.2018. In view of the above, these appeals filed by the assessees are dismissed as withdrawn.

7.

In the result, the appeals of the assessees are dismissed. (Order Pronounced in the Open Court on 27/02/2018)

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