Digital Equipment India Ltd. v. DCIT

103 TTJ 329Income Tax Appellate Tribunal2006#4272 most cited

What is Digital Equipment India Ltd. v. DCIT authority for?

A mere substantial profit does not inherently indicate an arrangement to earn profits beyond ordinary levels to abuse tax concessions under Section 80-IA(9) or (10). The Assessing Officer must provide specific evidence of such an arrangement.

27

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2018 to 2025.

Also referred to as

Digital Equipment India Ltd. v. DCIT · 103 TTJ 329 · Section 80IA(10) · Section 80IA(9) · tax concession · ordinary profits · arrangement · joint venture · evidence

Sections most often in play

Section 80JJAASection 10AASection 115BBDSection 14ASection 35(1)(iv)Section 80IA(10)Section 80IA(8)Section 8D

Issues it is cited on

scientific research expendituresection 115bbdnew employeessection 35(1)(iv)section 80ia(8)captive service providersection 80jjasection 80jjaasection 35(1)strategic investmentsection 35(2ab)section 10aa

Judgments citing Digital Equipment India Ltd. v. DCIT

M/S Vardhman Textiles Ltd., Ludhiana vs. Addl. CIT, Ludhiana

In the result appeals of the Assessee and the Revenue are partly allowed

ITA 528/CHANDI/2009[2005-06]Status: DisposedITAT Chandigarh04 May 2018AY 2005-06

Bench: Smt. Diva Singh & Dr. B.R.R. Kumarassessment Year: 2002-03

For Appellant: Shri. Subhash AggarwalFor Respondent: Sh. Ashish Abrol
Section 10BSection 14ASection 80H

…isallowance out of legal and professional expenses cannot be upheld. 25.4 Ld. DR argued that the expenses on account of legal and profession fees have to be amortized as per section 35D. 25.5 As held in the case of Digital Equipment India Pvt. Ltd. Vs. DCIT 103 TTJ 329, we hereby uphold the action of Ld. CIT(A) in deleting the adhoc disallowance made by the Assessing Officer. 25.6 As a result this ground of the Revenue’s appeal is dismissed with regard to Rs. 20 Lacs and that of the Assessee stands dismissed with regard to Rs. 5,36,646/. 26. Issue No. 22: Software expenses – Revenue or Capital: A.Y. 2005-06…

ACIT, Ludhiana vs. M/S Vardhman Textiles Ltd., Ludhiana

In the result appeals of the Assessee and the Revenue are partly allowed

ITA 981/CHANDI/2008[2004-05]Status: DisposedITAT Chandigarh04 May 2018AY 2004-05

Bench: Smt. Diva Singh & Dr. B.R.R. Kumarassessment Year: 2002-03

For Appellant: Shri. Subhash AggarwalFor Respondent: Sh. Ashish Abrol
Section 10BSection 14ASection 80H

…isallowance out of legal and professional expenses cannot be upheld. 25.4 Ld. DR argued that the expenses on account of legal and profession fees have to be amortized as per section 35D. 25.5 As held in the case of Digital Equipment India Pvt. Ltd. Vs. DCIT 103 TTJ 329, we hereby uphold the action of Ld. CIT(A) in deleting the adhoc disallowance made by the Assessing Officer. 25.6 As a result this ground of the Revenue’s appeal is dismissed with regard to Rs. 20 Lacs and that of the Assessee stands dismissed with regard to Rs. 5,36,646/. 26. Issue No. 22: Software expenses – Revenue or Capital: A.Y. 2005-06…

Vardhman Textiles Ltd., Ludhiana vs. JCIT, Ludhiana

In the result appeals of the Assessee and the Revenue are partly allowed

ITA 938/CHANDI/2008[2004-05]Status: DisposedITAT Chandigarh04 May 2018AY 2004-05

Bench: Smt. Diva Singh & Dr. B.R.R. Kumarassessment Year: 2002-03

For Appellant: Shri. Subhash AggarwalFor Respondent: Sh. Ashish Abrol
Section 10BSection 14ASection 80H

…isallowance out of legal and professional expenses cannot be upheld. 25.4 Ld. DR argued that the expenses on account of legal and profession fees have to be amortized as per section 35D. 25.5 As held in the case of Digital Equipment India Pvt. Ltd. Vs. DCIT 103 TTJ 329, we hereby uphold the action of Ld. CIT(A) in deleting the adhoc disallowance made by the Assessing Officer. 25.6 As a result this ground of the Revenue’s appeal is dismissed with regard to Rs. 20 Lacs and that of the Assessee stands dismissed with regard to Rs. 5,36,646/. 26. Issue No. 22: Software expenses – Revenue or Capital: A.Y. 2005-06…

ACIT, Ludhiana vs. M/S Vardhman Textiles Ltd., Ludhiana

In the result appeals of the Assessee and the Revenue are partly allowed

ITA 530/CHANDI/2008[2003-04]Status: DisposedITAT Chandigarh04 May 2018AY 2003-04

Bench: Smt. Diva Singh & Dr. B.R.R. Kumarassessment Year: 2002-03

For Appellant: Shri. Subhash AggarwalFor Respondent: Sh. Ashish Abrol
Section 10BSection 14ASection 80H

…isallowance out of legal and professional expenses cannot be upheld. 25.4 Ld. DR argued that the expenses on account of legal and profession fees have to be amortized as per section 35D. 25.5 As held in the case of Digital Equipment India Pvt. Ltd. Vs. DCIT 103 TTJ 329, we hereby uphold the action of Ld. CIT(A) in deleting the adhoc disallowance made by the Assessing Officer. 25.6 As a result this ground of the Revenue’s appeal is dismissed with regard to Rs. 20 Lacs and that of the Assessee stands dismissed with regard to Rs. 5,36,646/. 26. Issue No. 22: Software expenses – Revenue or Capital: A.Y. 2005-06…

Vardhman Textile Ltd., Ludhiana vs. ACIT, Ludhiana

In the result appeals of the Assessee and the Revenue are partly allowed

ITA 475/CHANDI/2008[2003-04]Status: DisposedITAT Chandigarh04 May 2018AY 2003-04

Bench: Smt. Diva Singh & Dr. B.R.R. Kumarassessment Year: 2002-03

For Appellant: Shri. Subhash AggarwalFor Respondent: Sh. Ashish Abrol
Section 10BSection 14ASection 80H

…isallowance out of legal and professional expenses cannot be upheld. 25.4 Ld. DR argued that the expenses on account of legal and profession fees have to be amortized as per section 35D. 25.5 As held in the case of Digital Equipment India Pvt. Ltd. Vs. DCIT 103 TTJ 329, we hereby uphold the action of Ld. CIT(A) in deleting the adhoc disallowance made by the Assessing Officer. 25.6 As a result this ground of the Revenue’s appeal is dismissed with regard to Rs. 20 Lacs and that of the Assessee stands dismissed with regard to Rs. 5,36,646/. 26. Issue No. 22: Software expenses – Revenue or Capital: A.Y. 2005-06…

ACIT, Ludhiana vs. Vardhman Textiles Ltd., Ludhiana

In the result appeals of the Assessee and the Revenue are partly allowed

ITA 691/CHANDI/2007[2002-03]Status: DisposedITAT Chandigarh04 May 2018AY 2002-03

Bench: Smt. Diva Singh & Dr. B.R.R. Kumarassessment Year: 2002-03

For Appellant: Shri. Subhash AggarwalFor Respondent: Sh. Ashish Abrol
Section 10BSection 14ASection 80H

…isallowance out of legal and professional expenses cannot be upheld. 25.4 Ld. DR argued that the expenses on account of legal and profession fees have to be amortized as per section 35D. 25.5 As held in the case of Digital Equipment India Pvt. Ltd. Vs. DCIT 103 TTJ 329, we hereby uphold the action of Ld. CIT(A) in deleting the adhoc disallowance made by the Assessing Officer. 25.6 As a result this ground of the Revenue’s appeal is dismissed with regard to Rs. 20 Lacs and that of the Assessee stands dismissed with regard to Rs. 5,36,646/. 26. Issue No. 22: Software expenses – Revenue or Capital: A.Y. 2005-06…

M/S Vardhman Textiles Ltd., Ludhiana vs. ACIT, Ludhiana

In the result appeals of the Assessee and the Revenue are partly allowed

ITA 681/CHANDI/2007[2002-03]Status: DisposedITAT Chandigarh04 May 2018AY 2002-03

Bench: Smt. Diva Singh & Dr. B.R.R. Kumarassessment Year: 2002-03

For Appellant: Shri. Subhash AggarwalFor Respondent: Sh. Ashish Abrol
Section 10BSection 14ASection 80H

…isallowance out of legal and professional expenses cannot be upheld. 25.4 Ld. DR argued that the expenses on account of legal and profession fees have to be amortized as per section 35D. 25.5 As held in the case of Digital Equipment India Pvt. Ltd. Vs. DCIT 103 TTJ 329, we hereby uphold the action of Ld. CIT(A) in deleting the adhoc disallowance made by the Assessing Officer. 25.6 As a result this ground of the Revenue’s appeal is dismissed with regard to Rs. 20 Lacs and that of the Assessee stands dismissed with regard to Rs. 5,36,646/. 26. Issue No. 22: Software expenses – Revenue or Capital: A.Y. 2005-06…