CIT v. Tata Elxsi Ltd.

349 ITR 98High Court2012#59 most cited

What is CIT v. Tata Elxsi Ltd. authority for?

When computing deduction under Section 10A, if communication or telecommunication expenses are excluded from export turnover, they must also be excluded from total turnover to maintain consistency and apply the ordinary meaning of 'turnover' in context.

818

judgments rely on this decision, according to BharatTax’s citation analysis of 367,181 Indian tax judgments — from 2012 to 2026.

Also referred to as

CIT v. Tata Elxsi Ltd. · Section 10A · deduction u/s 10A · export turnover · total turnover · communication expenses · telecommunication expenses · exclusion from turnover · computation of deduction · consistency principle · Karnataka High Court

Also reported as

204 Taxmann 32117 Taxmann.com 100

Sections most often in play

Section 10ASection 234DSection 234BSection 234CSection 254(2)Section 28Section 10B(4)Section 133(6)

Issues it is cited on

section 10asection 10companyindiabusiness

Judgments citing CIT v. Tata Elxsi Ltd.

The Pr. Commissioner of Income Tax CIT(A) vs. M/S Deccan Mining Syndicate Pvt Ltd

ITA/501/2017HC Karnataka21 Jun 2018

Bench: S.SUJATHA,VINEET KOTHARI

Section 10BSection 260

…ed by the Date of Judgment 21-06-2018, ITA No.501/2017 The Pr. Commissioner of Income Tax CIT(A) & another Vs. M/s Deccan Mining Syndicate Pvt. Ltd. 4/18 decision of the Hon’ble jurisdictional High Court in the case of CIT vs. Tata Elxsi (349 ITR 98), the addition is made on mere debatable point of law. So, no penalty is leviable. Therefore, we do not find any justification in the grounds of appeal filed by the revenue and are accordingly rejected. The revenue’s appeals are dismissed. 16. Now we shall deal with the assessee-company’s cross objections. Since all the cross obj…

The Pr. Commissioner of Income Tax CIT(A) vs. M/S Deccan Mining Syndicate Pvt Ltd

ITA/505/2017HC Karnataka21 Jun 2018

Bench: S.SUJATHA,VINEET KOTHARI

Section 10BSection 260

…No.505/2017 The Pr. Commissioner of Income Tax CIT(A) & another Vs. M/s Deccan Mining Syndicate Pvt. Ltd. 4/18 by the assessee-company is supported by the decision of the Hon’ble jurisdictional High Court in the case of CIT vs. Tata Elxsi (349 ITR 98), the addition is made on mere debatable point of law. So, no penalty is leviable. Therefore, we do not find any justification in the grounds of appeal filed by the revenue and are accordingly rejected. The revenue’s appeals are dismissed. 16. Now we shall deal with the assessee-company’s cross objections. Since all the cross obj…

Pr Commissioner of Income Tax vs. M/S Brocade Communication

ITA/305/2017HC Karnataka19 Jun 2018

Bench: S.SUJATHA,VINEET KOTHARI

Section 10ASection 260

…ourt in the case of HCL Technologies Ltd. (supra), is quoted below for ready reference:- “17. The similar nature of controversy, akin this case, arose before the Karnataka High Court in CIT v. Tata Elxsi Ltd. [2012] 204 Taxman 321/17/taxman.com 100/349 ITR 98. The issue before the Karnataka High Court was whether the Tribunal was correct in holding that while computing relief under Section 10A of the IT Act, the amount of communication expenses should be excluded from the total turnover if the same are reduced from the export turnover? While giving the answer to the issue, the High Court, inte…

Servion Global Solutions Ltd., Chennai vs. ITO (OSD), Chennai

ITA 1224/CHNY/2015[2002-2003]Status: DisposedITAT Chennai12 Jun 2018AY 2002-2003

Bench: Shri N.R.S. Ganesan & Shri Abraham P. George]

For Respondent: Shri. AR.V. Sreenivasan, JCIT
Section 35DSection 80H

…, ITA Nos 1223 to 1228/15. :- 14 -: from total turnover while working out the eligible deduction u/s.10A of the Act . Ld. Counsel for the assessee placing reliance on the 32. judgment of Hon’ble Karnataka High Court in the case of CIT vs. Tata Elxsi Ltd, 349 ITR 98 and that of Hon’ble Apex Court in the case of CIT vs.HCL Technologies Ltd, (2018) 93 taxmann.com 33, submitted that parity between export and total turnover was required for working out the deduction under Section 10A of the Act. Per contra, ld. Departmental Representative strongly 33. supported the orders of the lower authorities. We have con…

Servion Global Solutions Ltd., Chennai vs. ACIT, Chennai

ITA 1223/CHNY/2015[1999-2000]Status: DisposedITAT Chennai12 Jun 2018AY 1999-2000

Bench: Shri N.R.S. Ganesan & Shri Abraham P. George]

For Respondent: Shri. AR.V. Sreenivasan, JCIT
Section 35DSection 80H

…, ITA Nos 1223 to 1228/15. :- 14 -: from total turnover while working out the eligible deduction u/s.10A of the Act . Ld. Counsel for the assessee placing reliance on the 32. judgment of Hon’ble Karnataka High Court in the case of CIT vs. Tata Elxsi Ltd, 349 ITR 98 and that of Hon’ble Apex Court in the case of CIT vs.HCL Technologies Ltd, (2018) 93 taxmann.com 33, submitted that parity between export and total turnover was required for working out the deduction under Section 10A of the Act. Per contra, ld. Departmental Representative strongly 33. supported the orders of the lower authorities. We have con…

Aditi Technologies Private Ltd, Banlgaore vs. The Deputy Commissioner of Income Tax, Circle-1(1)(1), Bangalore

In the result, the appeal filed by the assessee is partly allowed

ITA 1423/BANG/2017[2012-13]Status: DisposedITAT Bangalore25 May 2018AY 2012-13

Bench: Shri N.V. Vasudevan & Shri Inturi Rama Rao

For Appellant: Shri L. Bharath, C.AFor Respondent: Smt. Padma Meenakshi, JCIT (D.R)
Section 10ASection 143(3)Section 14ASection 40Section 80

…e learned CIT (Appeals) directed the Assessing Officer to reduce the telecommunication expenses, insurance incurred in foreign currency from both total 4 turnover as well as export turnover following the law laid down in the case of CIT Vs. Tata Elxsi Ltd. 349 ITR 98 (Kar). The learned CIT (Appeals) however confirmed the addition under Section 14A of the Act. Being aggrieved, the assessee is in appeal before us in raising the present grounds of appeal. 4. Ground No.1 is general in nature and does not require any adjudication. 5. Ground No.2 challenges the finding of the learned CIT (Appeals) that the exp…

Flowserve India Controls Private Limited, Bangalore vs. DCIT, Bangalore

In the result, the assessee's appeal for Assessment Year 2007-08 is partly allowed

ITA 1277/BANG/2011[2007-08]Status: DisposedITAT Bangalore02 May 2018AY 2007-08

Bench: Shri Sunil Kumar Yadav & Shri Jason P Boaz

For Appellant: Shri K.R. Vasudevan, AdvocateFor Respondent: Shri C.H.Sundar Rao, CIT (D.R)
Section 143(1)Section 143(3)Section 144CSection 92C

…ssee submitted that only Ground No.6.6, seeking parity between export turnover and total turnover is pressed and this aspect is squarely covered in favour of the assessee by the decision of the Hon'ble jurisdictional High Court in the case of Tata Elxsi Ltd. (349 ITR 98) (Kar.) 7.2 We have heard the rival contentions, perused and carefully considered the material on record; including the judicial pronouncement cited. The issue before us is the assessee's plea for exclusion of expenses incurred on freight and travel in foreign currency from both export turnover as well as the total turnover. This issue is no longe…

The Pr Commissioner vs. M/S Arm Embedded

Appeal is dismissed as being devoid of any

ITA/145/2016HC Karnataka27 Apr 2018

Bench: The Tribunal Was, Whether The Revenue Was Justified In Making A Grievance Against The Order Passed By The Commissioner Of Income Tax (Appeals) Directing Exclusion Of Telecommunication & Other Expenses Incurred In Foreign

Section 10Section 260Section 80

…1 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 27TH DAY OF APRIL 2018 PRESENT THE HON’BLE MR.JUSTICE B.S. PATIL AND THE HON’BLE MR.JUSTICE S.SUNIL DUTT YADAV I.T.A.NO.145/2016 BETWEEN: 1. The Pr. Commissioner of Income-Tax, CIT(A) 5th Floor, BMTC Building, 80 Feet Road, Kormangala, Bangalore – 560 095. 2. The Deputy Commissioner of Income-Tax, Circle-11(1), 2nd Floor, BMTC Building, 80 Feet Road, Kormangala, Bangalore – 560 095. ...APPELLANTS (By Sri.K V Aravind, Adv.) AND: M/s. ARM Embedded Technologies Pvt. Ltd., Bagm…

Amazon Development Centre(I)P Ltd, Bangalore vs. Deputy Commissioner of Income Tax, -11(1), Bangalore

In the result, Revenue’s appeal for Assessment Year 2008-09 is dismissed

ITA 1387/BANG/2014[2009-10]Status: DisposedITAT Bangalore27 Apr 2018AY 2009-10

Bench: Shri Sunil Kumar Yadav & Shri Jason P Boaz

For Appellant: Shri K.R. Vasudevan, AdvocateFor Respondent: Shri C.H.Sundar Rao, CIT (D.R)
Section 10ASection 143(3)Section 92C

…th from export turnover as well as total turnover while computing the deduction under Section 10A of the Act. This issue is no longer res integra, and is squarely covered by the judgment of the Hon'ble jurisdictional High Court in the case of Tata Elxsi Ltd. (349 ITR 98) (Kar) in which it has been held that if certain expenses are excluded from export turnover, then the same should also be excluded from the total turnover. Since the learned CIT (Appeals) has decided this issue following the judgment rendered in the case of Tata Elxsi Ltd. (supra), we find no infirmity in the order of the learned CIT (Appeals) on…

Makino India Private Limited, Bangalore vs. ACIT, Bangalore

In the result, the appeal filed by the assessee is partly allowed for statistical purposes

ITA 3/BANG/2012[2007-08]Status: DisposedITAT Bangalore20 Apr 2018AY 2007-08

Bench: Shri Sunil Kumar Yadav & Shri Inturi Rama Raoit(Tp)A No.3/Bang/2012 (Assessment Year: 2007-08) M/S.Makino India Pvt. Ltd. No.11, Epip, K.R. Puram, Bengaluru. … Appellant Pan: Aaccm6536A Vs. Asst.T Commissioner Of Income-Tax, Circle-4(1)(2), Bengaluru. ... Respondent

For Appellant: Shri K.R.Vasudevan, AdvocateFor Respondent: Shri C.H.Sundari Rao, CIT(DR)
Section 10ASection 143(2)Section 143(3)Section 92C

…IN THE INCOME TAX APPELLATE TRIBUNAL ‘A’ BENCH, BANGALORE BEFORE SHRI SUNIL KUMAR YADAV JUDICIAL MEMBER and SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER IT(TP)A No.3/Bang/2012 (Assessment year: 2007-08) M/s.Makino India Pvt. Ltd. No.11, EPIP, K.R. Puram, Bengaluru. … Appellant PAN: AACCM6536A Vs. Asst.t Commissioner of Income-tax, Circle-4(1)(2), Bengaluru. ... Respondent Appellant by : Shri K.R.Vasudevan, Advocate. Revenue by : Shri C.H.Sundari Rao, CIT(DR) Date of hearing : 29/01/2018 Date of pronouncement : 20/04/2018 O R D E R Per INTURI RAMA RAO, AM : This is an appeal filed by the assessee directed agains…

Income Tax Officer, Ward-1(1)(2), Bengaluru vs. M/S. Ariba Technologies India Pvt. Ltd, Bengaluru

In the result, Revenue’s appeal for Assessment Year 2005-06 is dismissed

ITA 2668/BANG/2017[2005-06]Status: DisposedITAT Bangalore12 Apr 2018AY 2005-06

Bench: Shri N.V. Vasudevan & Shri Jason P Boazi.T. A. No.2668/Bang/2017 (Assessment Year : 2005-06) Income Tax Officer, Ward 1(1)(2), Bangalore. …. Appellant. Vs. M/S. Ariba Technologies India Pvt. Ltd., No.65/2, Laurel C Block, Rmz Icon, No.51, Palace Road, Bangalore-560 052. ….. Respondent. Appellant By : Shri B.R. Ramesh, Jcit (D.R) Respondent By : Shri Uma Shankar Gautam, Advocate. Date Of Hearing : 9.4.2018. Date Of Pronouncement : 12.4.2018. O R D E R Per Shri Jason P Boaz A.M. : This Appeal By Revenue Is Directed Against The Order Of The Cit(A)-1, Bangalore Dated 31.07.2017 For Assessment Year 2005-06. 2. Briefly Stated, The Facts Of The Case Are As Under:-

For Appellant: Shri B.R. Ramesh, JCIT (D.R)For Respondent: Shri Uma Shankar Gautam, Advocate
Section 10ASection 143(3)Section 92C

…alore partly allowed the assessee’s appeal vide order dated 31.07.2017. In doing so, the ld. CIT(A) allowed the assessee’s claim for deduction u/s. 10A of the Act following the decision of the Hon’ble Karnataka High Court in the case of CIT v Tata Elxsi Ltd. (349 ITR 98) (Kar). 3.1 Aggrieved by the order of the CIT(A)-1, Bangalore dated 31.07.2017 for Assessment Year 2005-06, Revenue has filed this appeal, raising the following grounds:- 3 3.2 The ld. DR was heard in support of the grounds raised. 3.3 We have heard the rival contentions and perused and carefully considered the material on record; including the…

The Pr.Commissioner of Income Tax vs. M/S Cibersites India Pvt Ltd

ITA/842/2017HC Karnataka10 Apr 2018

Bench: S SUNIL DUTT YADAV,B.S PATIL

Section 10ASection 260Section 260A

…Bang/2016 thereby dismissing the appeals filed by appellants herein. 2. The Tribunal has held that in terms of the order passed by a co-ordinate bench of this Court in the case of COMMISSIONER OF INCOME TAX AND ANOTHER VS. TATA ELXSI LIMITED – (2012) 349 ITR 98, expenses reduced from the export turnover had to be reduced from the total turnover also. Similarly, with regard to the other question as to whether set-off of losses incurred in the earlier years had to be deducted under Section 10A of the Act, the Tribunal has referred to and relied upon the judgment in 3 the case of COMMISSIONER…

DCIT, Bangalore vs. M/S Cgi Information Systems & Management Consultantion Pvt. Ltd., Bangalore

In the result, the revenue’s appeal is allowed to the extent of its prayer for inclusion of R

ITA 502/BANG/2016[2011-12]Status: DisposedITAT Bangalore06 Apr 2018AY 2011-12

Bench: Shri N.V Vasudevan & Shri A.K Garodia

For Appellant: Shri C.H Sundar Rao, CITFor Respondent: Shri T Suryanarayana, Advocate
Section 10ASection 10A(4)Section 143(3)

…e an alternate prayer that expenses that are reduced from the export turnover should also be reduced from the total turnover and in this regard has placed reliance on the decision of the Hon’ble Karnataka High Court in the case of CIT v. Tata Elxsi Ltd [2012] 349 ITR 98 (Karn) wherein it was held that while computing deduction u/s.10A of the Act expenses that are reduced from the export turnover should also be reduced from the total turnover. 6. The DRP accepted the alternate prayer of the Assessee and directed that the expenses reduced from the export turnover should also be reduced from the total turnover. As…

M/S Wuerth Electronik India Pvt. Ltd., Bangalore vs. DCIT, Bangalore

In the result, the appeal filed by the assessee is partly allowed for statistical purposes

ITA 1040/BANG/2016[2011-12]Status: DisposedITAT Bangalore06 Apr 2018AY 2011-12

Bench: Shri N.V. Vasudevan & Shri Arun Kumar Garodiaassessment Year :2011-12

For Appellant: Shri Naveen Kumar .M, AdvocateFor Respondent: Shri B.R. Ramesh, JCIT (DR)
Section 10ASection 14Section 40Section 9(1)(w)

…e, it was pointed out by the bench that only two issues are involved in present appeal of the assessee. First issue is raised as per ground no. 2 which is covered by the judgment of Hon'ble Karnataka High Court rendered in the case of CIT vs. Tata Elxsi Ltd., 349 ITR 98.The second issue raised as per ground no. 3 is covered against the assessee by the judgment of Hon'ble Karnataka High Court rendered in the case of Samsung Electronics Co. Ltd. as reported in 203 Taxman 477. In reply the ld. AR of assessee had nothing to say. The ld. DR of revenue also agreed with the proposition put forward by the bench. 4. We h…

Sap Labs India Pvt. Ltd., Bangalore vs. Addl.C.I.T

In the result, the appeal filed by the assessee as well as the revenue is partly allowed

ITA 981/BANG/2013[2008-09]Status: DisposedITAT Bangalore06 Apr 2018AY 2008-09

Bench: Shri Sunil Kumar Yadav & Shri Inturi Rama Rao

For Appellant: S/ShriKanchun Kaushal &For Respondent: Shri Ch.Sundar Rao, CIT(DR)
Section 10ASection 143(3)Section 80JSection 92C

…to exclude expenditure on travel and insurance and telecommunication, incurred in foreign currency, from export turnover as well as total turnover. This issue is no longer res integra as the Hon’ble jurisdictional High Court in the case of CIT vs. Tata Elxsi (349 ITR 98). held that such expenditure incurred in foreign currency should be deducted from export turnover as well as total turnover. Hence, this ground of appeal filed by the revenue is dismissed. 12. Ground No.4 challenges the findings of the ld.CIT(A) granting benefit u/s 80JJA of the Act in respect of salaries paid to newly employed employees. AO deni…

Toshiba Embedded Software (India) Private Limited, Bangalore vs. DCIT, Bangalore

In the result, appeal by the Assessee is partly allowed

ITA 1431/BANG/2013[2008-09]Status: DisposedITAT Bangalore06 Apr 2018AY 2008-09

Bench: Shri N.V Vasudevan & Shri A.K Garodia

For Appellant: Shri K.R Vasudevan, AdvocateFor Respondent: Shri B.R Ramesh, JCIT
Section 10ASection 10A(4)

…e an alternate prayer that expenses that are reduced from the export turnover should also be reduced from the total turnover and in this regard has placed reliance on the decision of the Hon’ble Karnataka High Court in the case of CIT v. Tata Elxsi Ltd [2012] 349 ITR 98 (Karn) wherein it was held that while computing deduction u/s.10A of the Act expenses that are reduced from the export turnover should also be reduced from the total turnover. 6. The CIT(A) accepted the alternate prayer of the Assessee and directed that the expenses reduced from the export turnover should also be reduced from the total turnover.…

DCIT vs. M/S Sap Labs India Pvt. Ltd., Bangalore

In the result, the appeal filed by the assessee as well as the revenue is partly allowed

ITA 1070/BANG/2013[2008-09]Status: DisposedITAT Bangalore06 Apr 2018AY 2008-09

Bench: Shri Sunil Kumar Yadav & Shri Inturi Rama Rao

For Appellant: S/ShriKanchun Kaushal &For Respondent: Shri Ch.Sundar Rao, CIT(DR)
Section 10ASection 143(3)Section 80JSection 92C

…to exclude expenditure on travel and insurance and telecommunication, incurred in foreign currency, from export turnover as well as total turnover. This issue is no longer res integra as the Hon’ble jurisdictional High Court in the case of CIT vs. Tata Elxsi (349 ITR 98). held that such expenditure incurred in foreign currency should be deducted from export turnover as well as total turnover. Hence, this ground of appeal filed by the revenue is dismissed. 12. Ground No.4 challenges the findings of the ld.CIT(A) granting benefit u/s 80JJA of the Act in respect of salaries paid to newly employed employees. AO deni…

Assistant Commissioner of Income Tax Circle-3(1)(1), Bangalore vs. M/S First American India Pvt Ltd, Bangalore

In the result, the appeal by the revenue is dismissed

ITA 746/BANG/2017[2011-12]Status: DisposedITAT Bangalore28 Mar 2018AY 2011-12

Bench: Shri N.V Vasudevan & Shri Jason P Boazthe Asst. Commissioner Of Income-Tax, Circle-3(1)(1), Bengaluru. . Appellant Vs. M/S First American India Pvt. Ltd., Level 1, Navigator Building, Itpl Whitefield Road, Bengaluru. . Respondent Appellant By : Shri C.H Sundar Rao, Cit Respondent By : Shri J. Keerthana Reddy, Advocate Date Of Hearing : 08-03-2018 Date Of Pronouncement : 28-03-2018 O R D E R

For Appellant: Shri C.H Sundar Rao, CITFor Respondent: Shri J. Keerthana Reddy, Advocate
Section 10ASection 10A(4)

…e an alternate prayer that expenses that are reduced from the export turnover should also be reduced from the total turnover and in this regard has placed reliance on the decision of the Hon’ble Karnataka High Court in the case of CIT v. Tata Elxsi Ltd [2012] 349 ITR 98 (Karn) wherein it was held that while computing deduction u/s.10A of the Act expenses that are reduced from the export turnover should also be reduced from the total turnover. The CIT(A) accepted the alternate prayer of the Assessee and directed that the expenses reduced from the export turnover should also be reduced from the total turnover. As a…

The Pr Commissioner of Income Tax vs. M/S Cedegim Software India Pvt.Ltd

The appeal is dismissed

ITA/339/2017HC Karnataka27 Mar 2018

Bench: The Tribunal Was “Whether

Section 10ASection 260Section 80H

…or the parties. 2. Learned counsel appearing for both parties fairly submit that the matter is covered by a decision rendered by the co-ordinate Bench of this Court in the case of Commissioner of Income Tax and another vs. Tata Elixi Limited (2012) 349 ITR 98. 3. Challenge in this appeal, is to the order dated 13.10.2016 passed by the Income Tax Appellate Tribunal (ITAT), Bengaluru in ITA No.1393/Bang/2015. The issue involved in the appeal before the Tribunal was “whether 3 the Commissioner of Income Tax erred in re-computing deduction under Sec.10A of the Income Tax Act by ex…

Deputy Commissioner of Income Tax Circle-6(1)(2), Bangalore vs. M/S Societe Generale Global Solution Centre Pvt Ltd, Bangalore

In the result, Revenue’s appeal for Assessment Years 2009-10 to 2011-12 and the assessee’s Cross Objections are both dismissed

ITA 413/BANG/2017[2009-10]Status: DisposedITAT Bangalore23 Mar 2018AY 2009-10

Bench: Shri Jason P Boaz & Shri Laliet Kumar

For Appellant: Ms. Neera Malhotra, CIT (DR)
Section 10ASection 143(3)

…cumstances of the case. ITA Nos.413 to 415/Bang/2017 & C.O. Nos.87 to 89/Bang/2017 3 2. On the facts and in circumstances of the case, the CIT(A) erred in citing the ratio laid down by the Hon'ble High Court in the case of CIT Vs Tata Elxsi Ltd. reported in 349 ITR 98 and directing the AO to reduce expenses incurred in foreign currency, both from Export Turnover as well as from Total Turnover for the purpose of computation of deduction u/s 10A, without appreciating the fact that the statute allows exclusion of such expenditure ONLY from Export Turnover by way of a specific definition for Export Turnover in the…