CIT v. Tata Elxsi Ltd.

M/S Axa Technologies Shared Services Private Limited, Bangalore vs. DCIT, Bangalore

In the result, appeal of the assessee is allowed in terms indicated above and the appeal of the revenue is partly allowed for statistical purposes and

Bench: Shri A.K. Garodia & Shri Laliet Kumarit(Tp)A No.12/Bang/2013 (Assessment Year: 2008-09) M/S.Axa Technologies Shared Services Pvt. Ltd., (Formerly Known As Axa Technology Services India Pvt. Ltd.) 2Nd & 3Rd Floor, Mfar, Manyata Tech Park, Rachenahalli Village, Nagawara, Bengaluru-560045. … Appellant Pan: Aafca 0850 L Vs. Deputy Commissioner Of Income-Tax, Circle 11(1), Bengaluru. … Respondent & It(Tp)A No.756/Bang/2013 (Assessment Year: 2008-09) Deputy Commissioner Of Income-Tax, Circle 11(1), Bengaluru. … Appellant Vs. M/S. Axa Technologies Shared Services Pvt. Ltd., Bengaluru. … Respondent Assessee By : Shri T.Suryanarayana, Advocate. Revenue By : Smt. Swapna Das, Jcit(Dr) Date Of Hearing : 14/02/2017 Date Of Pronouncement : 15/03/2017 O R D E R Per Shri A.K. Garodia, Am : These Are Cross Appeals Filed By The Assessee & The Revenue & These Are Directed Against The Order Of The It(Tp)A Nos.12 & 756/Bang/2013 Page 2 Of 11 Cit(A)-Iv, Bengaluru Dated 02/11/2012 For The Assessment Year 2008-09. 2. The Grounds Raised By The Assessee In Its Appeal Are As Under:

…missions. Ground No.1 is general for which no decision is called for. 9. Regarding ground No.2, we find that this issue is now covered in favour of the assessee by the judgment of the Hon’ble Karnataka High Court in the case of CIT vs. Tata Elxsi reported in 349 ITR 98. It was held by the Hon’ble High Court in that case that total turnover is sum total of export turnover and domestic turnover and therefore, if any amount is reduced from export turnover then the total turnover shall also goes down by the same amount. Respectfully following this judgment of the Hon'ble Karnataka High Court, we direct the AO to red…

DCIT vs. M/S Electronics for Imaging India Pvt. Ltd

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

Bench: Shri Vijay Pal Rao & Shri Inturi Rama Rao

…communication charges and exchange fluctuation loss from total turnover also. IT(TP)A No.462/B/2013 & CO 149/B/2015 Page 21 of 25 13. We heard rival submissions and perused material on record. The Hon'ble High Court of Karnataka in the case of Tata Elxi Ltd (349 ITR 98) held that expenses incurred towards freight, tele-communication charges, etc., should be excluded both from export turnover as well as from total turnover. The Hon'ble High Court held as follows: ”From the aforesaid judgments, what emerges is that, there should be uniformity in the ingredients of both the numerator and the denominator of the form…

DCIT vs. M/S Google India Pvt. Ltd

In the result, revenue’s appeal and C

Bench: Shri Sunil Kumar Yadav & Shri S Jayaramanrevenue’S Appeal

…IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH : BANGALORE BEFORE SHRI SUNIL KUMAR YADAV, JUDICIAL MEMBER AND SHRI S JAYARAMAN, ACCOUNTANT MEMBER Revenue’s Appeal IT(TP)A No.1298/Bang/2013 Assessment years : 2005-06 Dy. Commissioner of Income Tax, M/s. Google India Pvt. Ltd., Circle 11(3), Prestige Sigma, I Floor, R. P. Bhavan, Vs. 3, Vittal Mallya Road, Nrupathunga Road, Bengaluru-560001. Bengaluru. PAN : AACCG0527D APPELLANT RESPONDENT Assessee’s CO CO No. 13/Bang/2016 Assessment year : 2005-06 M/s. Google India Pvt. Ltd., Dy. Commissioner of Income Tax, Bengaluru-560001. Circle 11(3), Bengaluru. PAN : AAC…

DCIT, Bangalore vs. M/S Intel Technology India Private Limited, Bangalore

Bench: Shri Sunil Kumar Yadav & Shri S. Jayaramanassessment Year : 2007-08

…IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH : BANGALORE BEFORE SHRI SUNIL KUMAR YADAV, JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBER Assessment year : 2007-08 The Deputy Commissioner of Vs. M/s. Intel Technology India Income Tax, LTU, Private Limited, Circle – 1, No. 23-56P, Outer Ring Road, Bangalore. Devarabeesanahalli, Varthur Hobli, Bangalore – 560103. PAN: AAACI 5394J APPELLANT RESPONDENT Appellant by : Ms. Neera Malhotra, CIT (DR) Respondent by : Ms. Monika Baid, CA Date of hearing : 02.02.2017 Date of Pronouncement : 22.02.2017 O R D E R Per Sunil Kumar Yadav, Judicial Member This appeal…

Asst.C.I.T., Bangalore vs. M/S Eygbs (India) Pvt. Ltd., Bangalore

In the result, both the appeals by the revenue are dismissed

Bench: Shri Sunil Kumar Yadav & Shri Inturi Rama Rao

…e Assessing Officer may be restored.” 3. Ground no. 1 is general in nature. 4. Apropos ground no. 2, it is pointed out that the impugned issue is squarely covered by the judgment of Hon’ble jurisdictional High Court in the case of CIT vs. Tata Elxsi Ltd. (349 ITR 98)(Karn). Since the CIT(A) has disposed of the issue following the judgment of the Hon’ble jurisdictional High Court and in view of the Hon’ble Supreme Court dismissing the SLP filed by the department against the judgment of the Hon’ble jurisdictional High Court, we find no infirmity therein. 4. Apropos ground no. 3, it is also noticed that CIT(…

Asst.C.I.T., Bangalore vs. M/S Eygbs (India) Pvt. Ltd., Bangalore

In the result, both the appeals by the revenue are dismissed

Bench: Shri Sunil Kumar Yadav & Shri Inturi Rama Rao

…e Assessing Officer may be restored.” 3. Ground no. 1 is general in nature. 4. Apropos ground no. 2, it is pointed out that the impugned issue is squarely covered by the judgment of Hon’ble jurisdictional High Court in the case of CIT vs. Tata Elxsi Ltd. (349 ITR 98)(Karn). Since the CIT(A) has disposed of the issue following the judgment of the Hon’ble jurisdictional High Court and in view of the Hon’ble Supreme Court dismissing the SLP filed by the department against the judgment of the Hon’ble jurisdictional High Court, we find no infirmity therein. 4. Apropos ground no. 3, it is also noticed that CIT(…

ITO, Bangalore vs. M/S Open Silicon Research Pvt. Ltd., Bangalore

In the result, the appeal of revenue is partly allowed for statistical purposes

Bench: Shri A.K. Garodia & Shri Laliet Kumar

…IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH : BANGALORE BEFORE SHRI A.K. GARODIA, ACCOUNTANT MEMBER AND SHRI LALIET KUMAR, JUDICIAL MEMBER IT(TP)A No.349/Bang/2015 Assessment year : 2010-11 The Income Tax Officer, Vs. M/s. Open Silicon Research Ward 5(1)(2), Pvt. Ltd., Bangalore. 11/1 & 12/1, Maruthi Infotech Centre, Ground Floor, Indiranagar-Koramangala Intermediate Ring Road, Bangalore – 560 071. PAN: AAACO 5915B APPELLANT RESPONDENT Appellant by : Shri G.R. Reddy, CIT(DR)(ITAT-1), Bengaluru Respondent by : G.S. Prashanth, CA Date of hearing : 13.02.2017 Date of Pronouncement : 22.02.2017 O R D E R Per…

ITO vs. M/S Ketera Software India Pvt. Ltd., Bangalore

In the result, the appeal of revenue as well as CO of the assessee is partly allowed for statistical purposes

Bench: Shri Sunil Kumar Yadav & Shri S. Jayaraman

…above. 21. The ground raised in the CO is with regard to deduction u/s. 10A of the Act. In this regard, it has been contended that this issue is squarely covered by the judgment of the Hon'ble jurisdictional High Court in the case of CIT v. Tata Elxsi Ltd., 349 ITR 98 (Karn), in which it has been held that once a particular item is to be excluded from the export turnover, it should also be excluded from the total turnover. We accordingly following the same, set aside the order of the CIT(Appeals) and restore the matter to the file of Assessing Officer with a direction to recompute the deduction u/s. 10A follo…

M/S Syniverse Teledata Systems P Ltd, Bangalore vs. Deputy Commissioner of Income Tax, Bangalore

In the result, the appeal of the revenue is partly allowed

Bench: Shri A. K. Garodia & Shri Vijay Pal Rao

…IN THE INCOME TAX APPELLATE TRIBUNAL BANGALORE BENCH ‘B’, BANGALORE BEFORE SHRI A. K. GARODIA, ACCOUNTANT MEMBER AND SHRI VIJAY PAL RAO, JUDICIAL MEMBER IT (TP) A No.1363 (Bang) 2014 (Assessment year : 2009-10) M/s Syniverse Teledata Systems Pvt. Ltd. (Formerly known as MACH Teledata systems Pvt. Ltd) Embassy Tech Park, Block ‘B’ Delta, 3rd Floor, Kadubeesanahalli, Sarjapur-Marathahalli Outer Ring Road, Bangalore -560 103 Pan No.AACCM5953F Appellant Vs The Deputy Commissioner of Income-tax, Circle-12(1), Bangalore Respondent And IT(TP)A No.1460(Bang)/2014 (Assessment year : 2009-10) (By Revenue) Assessee b…

Cambridge Solutions Limited, Bangalore vs. DCIT, Bangalore

In the result, the assessee’s appeal is allowed

Bench: Shri. Vijay Pal Rao & Shri. S. Jayaraman

…he submissions and hence admit the additional evidence/ revised grounds. 05. The assessee did not press ground 1, being general and ground no3. On grounds no 2 & 4, it sought relief on the basis of the Jurisdictional High Court decision in CIT v Tata Elxsi 349 ITR 98. We heard rival contentions. The decision of the jurisdictional High Court, supra, clearly lays down the principle that while computing deduction u/s 10A, if the export turnover is calculated after excluding certain expenses, such expenses should also be excluded in computing the total turnover. Since the assessee’s submissions are in accordanc…

Safran Engineering Services India Private Limited, Bangalore vs. DCIT, Bangalore

In the result, the appeal of the assessee stands allowed for statistical purposes

Bench: Shri Sunil Kumar Yadav & Shri A.K. Garodia

…the adjustments be dropped/deleted.” 2. During the course of hearing, the ld. counsel for the assessee has contended that ground (b) relating to deduction u/s. 10A is covered by the judgment of jurisdictional High Court in the case of CIT v .Tata Elxsi Ltd. (349 ITR 98) (Karn) wherein it was held that the expenses reduced from the export turnover should also be reduced from the total turnover. Since the issue is covered by the judgment of jurisdictional High Court in the aforesaid case, we set aside the assessment order and direct the AO to recompute the deduction u/s. 10A in the light of judgment of jurisdictio…

DCIT, Bangalore vs. M/S Sharp Software Development (India) Pvt. Ltd., Bangalore

In the result, the appeal of the revenue and CO of the assessee are partly allowed for statistical purposes

Bench: Shri Sunil Kumar Yadav & Shri A.K. Garodia

…that CIT(Appeals) adjudicated the issue in the light of the order of the Tribunal in the case of Tata Elxsi Ltd. v. ACIT, ITA No.315/Bang/2006 and this order of the Tribunal was approved by the jurisdictional High Court in the case of CIT v. Tata Elxsi Ltd., 349 ITR 98 (Karn). Therefore, the finding of the CIT(Appeals) is in consistence with the finding of the jurisdictional High Court in the case of CIT v. Tata Elxsi Ltd. (supra). Thus, we do not find any infirmity in the order of the CIT(A). We accordingly confirm the same and reject this ground of the revenue. 6. So far as the remaining grounds in revenue’s…

Cerner Healthcare Solutions Private Limited, Bangalore vs. ITO, Bangalore

In the result, the assessee’s appeal is allowed /treated as allowed

Bench: Shri Sunil Kumar Yadav

…0AA, respectively, data communication, voice communication and cell phone expenses incurred in foreign currency should be excluded from the export turn over as well from total turnover on the basis of the Jurisdictional High Court decision in CIT v Tata Elxsi 349 ITR 98. We heard rival contentions. We do not find any infirmity in the decision of the CIT(A) and hence uphold it. To that extent, the Revenue’s appeal grounds are dismissed. IT(TP)A.69 & 44/Bang/2015 Page - 20 17. In the result, the assessee’s appeal is allowed /treated as allowed and the Revenue’s appeal is partly allowed. Order pronounced in the…

Global E Business Operations Private Limited, Bangalore vs. DCIT, Bangalore

In the result, appeal of the assessee is allowed /treated as allowed

Bench: Shri. Sunil Kumar Yadav

…the aforesaid amount is excluded from the export turnover, the same should also be excluded from the total turnover. 34. As far as the alternative claim is concerned, we find that the Hon’ble High Court of Karnataka in the case of CIT v Tata Elxsi Ltd [(2012) 349 ITR 98 (Kar)] has held that while computing deduction u/s.10A of the Act, expenditure incurred by the assessee, if excluded from the export turnover, should also be excluded from the total turnover. In view of the aforesaid decision of the Hon’ble High Court of Karnataka, the AO is directed to reduce the expenses incurred for travelling and internet conn…

E4E Business Solutions India Private Limited, Bangalore vs. Deputy Commissioner of Income-Tax, Bangalore

In the result, the assessee’s appeal is partly allowed as allowed for

Bench: Shri Sunil Kumar Yadav

…IT(TP)A.1397/Bang/2016 Page - 1 IN THE INCOME TAX APPELLATE TRIBUNAL BENGALURU, BENCH 'A', BENGALURU BEFORE SHRI SUNIL KUMAR YADAV, JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBER I.T (TP).A No.1397/Bang/2016 (Assessment Year : 2011-12) M/s. e4e Business Solutions India P.Ltd, 5th floor, Vakil Square, Bannerghatta Road, Bengaluru – 560 029 .. Appellant PAN : AAACI6324A v. Deputy Commissioner of Income Tax, Circle – 3(1)(2), Bengaluru 560 001 .. Respondent Assessee by : Shri. Sharat Rao, CA Revenue by : Shri. Kamaladhar, Standing Counsel Heard on : 18.10.2016 Pronounced on : 13 .01.2017 O R D E…

Cambridge Solutiions Limited, Bangalore vs. DCIT, Bangalore

In the result, the appeal of the assessee is partly allowed for statistical

Bench: Shri A. K. Garodia & Shri Vijay Pal Raoit (Tp) A No.1385 (Bang) 2011 (Assessment Year : 2007-08)

…are rejected. 3. Regarding the Corporate tax issue involved in ground no.4 & 6, he submitted that this issue is covered in favour of the assessee by the judgment of the Hon’ble Karnataka High Court rendered in the case of M/s Tata Elxsi Ltd. as reported in 349 ITR 98. 6 IT(TP)A No.1385(B)2011 4. Regarding the TP issue, he submitted that ground no.11,13 to 17 are not pressed. Accordingly, these grounds are rejected. Regarding the remaining grounds for TP issue, he submitted that the matter should go back to the file of the TPO for fresh decision because this was the claim of the assessee before the TPO as wel…