2014 (2) TMI 1216

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....led for the benefit of sub- section 6 of section 115JB of the Income Tax Act, 1961 (in short "the Act"). 2. Facts apropos are that assessee involved in the business of Data Processing, Software Development, had filed its return for the impugned assessment year declaring income of Rs. 1,90,750/-. Assessee was allowed exemption under section 10B of the Act and immunity from paying minimum alternative tax under section 115JB of the Act upto and inclusive of assessment year 2007-08. On account of the amendments made to the said section with effect from assessment year 2008-09, Assessing Officer put the assessee on notice as to why it should not be taxed under section 115JB of the Act. Reply of the assessee was that it came within the purview....

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....sub- section 6 of section 115JB had no applicability. He held that assessee was liable to pay Minimum Alternative Tax under section 115JB of the Act and computed the tax accordingly.   4. In its appeal before the ld. CIT(Appeals), argument of assessee was that the Unit was set up in a Software Technology Park for the purpose of rendering IT Enabled Services. As per assessee, Government of India had placed Export Processing Zone (in short 'EPZ'), Software Technology Park (in short 'STP') and Special Economic Zone (in short 'SCZ') on a similar footing, giving similar support to each of them. As per assessee, all the Units which were enjoying export benefits including those in STP were covered by sub-section 6 of section 115JB of the A....

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....eals). 8. We have heard the rival contentions and perused the material available on record. The short question before us is whether assessee, functioning from Falta Export Processing Zone, admittedly a Software Technology Park, was eligible for claiming the benefit of sub-section 6 of section 115JB of the Act. Sub-section 6 of section 115JB is reproduced hereunder :- "(6). The provisions of this section shall not apply to the income accrued or arising on or after the 1st day of April, 2005 from any business carried on, or services rendered by an entrepreneur or a Developer, in a Unit or Special Economic Zones, as the case may be". A reading of the above sub-section would clearly show that section 115JB will not apply to a business ....