HIGH COURT OF JUDICATURE AT HYDERABAD FOR THE STATE OF TELANGANA AND THE STATE OF ANDHRA PRADESH PRESENT THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTA AND THE HON’BLE SRI JUSTICE SANJAY KUMAR
I.T.T.A.No.658 OF 2014
DATED: 14.11.2014 Between:
Commissioner of Income Tax-III … Appellant and Semantic Space Technologies Limited … Respondent THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTA AND THE HON’BLE SRI JUSTICE SANJAY KUMAR
I.T.T.A.No.658 of 2014
JUDGMENT: (per the Hon’ble The Chief Justice Sri Kalyan Jyoti Sengupta)
This appeal is directed against the judgment and order of the learned Tribunal dated 07.03.2012 in relation to the assessment year 2006-07 on the following suggested questions of law.
i. In the facts and circumstances of the case, whether the Hon’ble Tribunal (ITAT) is correct in law in upholding the orders of the learned Commissioner of Income Tax (Appeals) to include the miscellaneous income, credit balances written back and notice period salary for the purpose of determination of exemption under Section 10A of the Act, when the said amounts were not derived from the industrial undertaking of the Respondent – assessee as required in law?
ii. In the facts and circumstances of the case, whether the Hon’ble Tribunal (ITAT) is correct in law in upholding the orders of the learned Commissioner of Income Tax (Appeals) to consider the gain on account of foreign exchange fluctuations for the purpose of computation of claim of the Respondent – assessee under Section 10A of the Act?
We have heard Mr. B.Narasimha Sarma and gone through the impugned judgment and order of the learned Tribunal.
It appears that the learned Tribunal took note of the fact that the identical issue for the assessment year 2005-06 was decided by the Tribunal in favour of the assessee. The Tribunal relied on the decision of Mumbai Bench of the Tribunal in the case of EXTRUSION PROCESSES (P) LTD v.
[1]
ITO , and decided the issue in favour of the assessee. The Tribunal also dealt with the aspect of notice period salary and took decision thereon in favour of the assessee relying on the decision of the Hon’ble Supreme Court in the case of
[2] LAKSHMI MACHINE WORKS .
We therefore dismiss the appeal. There shall be no order as to costs.
14th NOVEMBER, 2014.
K.J. SENGUPTA, CJ SANJAY KUMAR, J
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[1] (2007) 106 ITD 336
[2] 290 ITR 667