2008 (8) TMI 917

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....K.P. Rao ORDER Shailendra Kumar Yadav: 1. This appeal has been filed by the assessee against the order of CIT(A)-II, Bangalore dated 19.9.2007 on the following grounds; 1. The order passed by DCIT u/s 143(3) of the Act and the learned CIT(A) u/s. 250 of the Act are bad in law and on facts. 2. In the facts and circumstances, the CIT(A) erred in holding that for the purpose of computi....

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....ng covered by the decision of the Bangalore Bench of the Tribunal in the case of the M/s Seva Systems Pvt.Ltd., in ITA No.4019B)/2007, wherein the Tribunal in paras 6,7,8,9 and 10 held as under; "6. We have heard the rival submissions and perused the material available on record. On a careful perusal of the facts and circumstances relating to agitation by the assessee before us, the facts of th....

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....st of the assessee in running a call center, it becomes important to note that once the expenses incurred are for the business, it will be nobody's case to disallow the same as having not been incurred for rendering the services as a call center by the assessee, who has claimed deduction u/s 10A, which the AO verified as another provision of section 10A compared to section 80HHE. Once this exe....

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....w thereof, we are of the considered view that the telecommunication expenses which have been estimated at 70% by the learned CIT(A) is pertaining to having been incurred for the export turnover be estimated at 50% in view of the incoming and outgoing expenses continuously from a call center. In other words, 75% of the telecommunication expenditure as estimated by the learned CIT(A) is reduced to 5....