TaxTMI 
TaxTMI 
2012 (10) TMI 239
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....appellant/petitioner in convertible foreign exchange in India towards fees for Management Services rendered by the appellant/petitioner outside India? (ii) Whether on the facts and in the circumstances of the case and on a correct interpretation of the relevant provisions of the I.T. Act read with the Companies Act, 1956 and the principles of law laid down by the Hon'ble Supreme Court of India in the case of Chainrup Sampatram -versus- Commissioner of Income Tax as also the other decisions of the Hon'ble Supreme Court of India and of the Hon'ble Gujarat High Court the Tribunal was justified in confirming the action of the Assessing Officer in disallowing the claim for deduction of Central Excise Duty and Customs Duty amounting to Rs.26,31,....
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....dmitted for hearing impugning judgment and order of the learned Income Tax Appellate Tribunal, 'D' Bench, Kolkata in relation to assessment year 1996-97 in I.T.A. 674 (Cal) of 2000. By the impugned judgment and order learned Tribunal partly granted reliefs to the appellant and rejected partly. The short fact is required to be stated to appreciate this case accordingly the same is as follows:- The appellant had and still has been carrying on business of manufacturing and sale of paints, varnishes and enamels and heavy duty coatings, powder coatings and so on. In course of the carrying on of the said business the petitioner also exports its products outside India and received in convertible foreign exchange in India towards fees for managem....
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.... closing stock and opening stock of finished goods, remaining unsold, work in progress and raw materials. The appellant also claimed deduction under Section 43-B of the Act for contributions made to the Family Pension Fund. In his assessment order dated 23rd February, 1999 the Assessing Officer disallowed amongst others claim under Section 80-O of the I.T. Act on the gross amount of convertible foreign exchange received by the appellant in India towards fees for management services rendered outside India by reducing therefrom the amount of Rs.4,22,000/- being the expenditure incurred in India for the purpose of foreign travel, and the sum of Rs.26,31,619/- on account of Central Excise Duty and Customs Duty in respect of closing stock, fini....
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....during relevant previous year and claim deductible as per the provisions of Section 43B of the I.T. Act on the ground and the same was also covered by the decision. We have gone through the impugned judgment and order of the learned Tribunal and it appears that learned Tribunal while rendering decision has recorded as follows:- Sri Kausik Mukerjee, appearing on behalf of the assessee, has admitted, in all fairness, that grounds No.1 and 2 have been decided against the assessee by relying upon the decision of the Calcutta High Court. The first ground taken before the learned Tribunal is relatable to restricted amount of deduction of Rs.12,59,063/- out of Rs.29,40,000/- received by the appellant in convertible foreign exchange in India und....
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....ibunal in earlier case has already been taken to the Supreme Court and the matter is pending before the Hon'ble Supreme Court. Moreover, the other decisions relied on by the learned Tribunal in relation to the aforesaid issues should not be accepted by this Court as his client is contemplating to take action against such decision. He contends that in the meantime there has been a change in legislation and this Court should take into consideration of the same. We are of the view when the issues in relation to deduction under Section 80-O on account of the fees for management services received outside India and the deduction of Excise Duty and Customs Duty on payment basis under Section 43B, were not pressed before the learned Tribunal by th....