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TaxTMI 
TaxTMI 
TaxTMI 
2019 (5) TMI 420
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....ction 80IA. 3. The assessee in the present case is a Company, which is engaged in the business of civil construction. The first search and seizure action in the case of the assessee was conducted on 19.10.2005. Thereafter the return of income for the year under consideration was filed by the assessee declaring total income at 'NIL' after claiming deduction of Rs. 6,74,70,537/- under section 80IA of the Income Tax Act, 1961. In the assessment originally completed under section 153A read with section 143(3) vide an order dated 31.12.2007, the deduction as claimed by the assessee under section 80IA was fully allowed by the Assessing Officer. He, however, made two additions to the total income of the assessee in the said assessment amounting to Rs. 6,99,35,632/- and Rs. 5,69,72,772/- on account of disallowance under section 40(a)(ia) and undisclosed income respectively. On appeal, the ld. CIT(Appeals) deleted the entire addition made by the Assessing Officer on account of undisclosed income while disallowance of Rs. 6,99,35,632/- made by the Assessing Officer under section 40(a)(ia) was restricted by him to Rs. 5,86,52,638/- thereby giving a relief of Rs. 1,12,82,994/- to the assesse....
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....urn. He held that the revised computation seeking correction in the claim of deduction under section 80IA did not change the character of the original return filed by the assessee and the Assessing Officer should have accepted the same. The ld. CIT(Appeals) further held that the assessee was entitled for deduction under section 80IA as claimed in the revised computation of income even on merit as the similar claim for deduction made under section 80IA by the assessee was consistently allowed by the Department in the earlier years even in the scrutiny assessments made under section 143(3) and there was no material change in the relevant facts of the case. He held that the claim of the assessee thus was allowable even on merit keeping in view the principle of consistency. 5. We have heard the arguments of both the sides and also perused the relevant material available on record. It is observed that the deduction of Rs. 6,74,70,537/- was claimed by the assessee under section 80IA in the return of income filed on 31.03.2007 and the same was fully allowed by the Assessing Officer originally in the assessment completed under section 153A read with section 143(3) vide an order dated 31.1....
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....0(a)(ia) in the assessment originally completed under section 153A read with section 143(3) vide an order dated 31.12.2007 was sustained by the ld. CIT(Appeals) to the extent of Rs. 5,86,52,638/-. Since the said assessment had become final before the second search and seizure action conducted in the case of the assessee on 28.10.2010, there was no reason or occasion to raise the issue relating to the disallowance under section 40(a)(ia) in the proceedings initiated under section 153A pursuant to the second search and seizure action, especially when there was no incriminating material found during the course of search relating to this issue. As a matter of fact, the assessee-company in the return of income filed in response to the notice under section 153A issued in pursuance of the second search and seizure action had declared its income after considering the disallowance under section 40(a)(ia) to the extent of Rs. 5,86,52,638/- as sustained originally by the ld. CIT(Appeals) and this issue was not raised by it even before the Assessing Officer during the course of assessment proceedings. This new claim was made by the assessee only during the course of appellate proceedings befor....
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....ion of Rs. 5,46,96,237/- claimed by the assessee in the revised computation of total income was disallowed by him for the same reasons as given for A.Y. 2005-06. On appeal, the ld. CIT(Appeals) allowed the claim of the assessee for additional deduction under section 80IA as made in the revised computation of total income on the same grounds as given in A.Y. 2005-06. Aggrieved by the order of the ld. CIT(Appeals), the Revenue has preferred this appeal before the Tribunal. 11. We have heard the arguments of both the sides on this issue and also perused the relevant material available on record. It is observed that the claim of the assessee for deduction under section 80IA to the extent of Rs. 5,46,96,237/- was disallowed in the original assessment proceedings and since the said assessment had become final before the search and seizure operation conducted on 28.10.2010, there was no reason or occasion to raise this issue in the proceedings under section 153A read with section 143(3), especially when there was no incriminating material found during the course of search relating to this issue. As a matter of fact, in the return of income filed on 30.09.2011 in response to the notice is....
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....A of Rs. 5,77,16,153/- as claimed in the return of income originally filed on 30.09.2008. In the assessment completed under section 153A read with section 143(3) vide an order dated 22.03.2013, the Assessing Officer allowed the claim of the assesese for deduction under section 80IA only to the extent of Rs. 1,27,30,160/- and the additional deduction of Rs. 4,49,85,993/- claimed by the assessee in the revised computation of total income was disallowed by him for the same reasons as given for A.Y. 2005-06. On appeal, the ld. CIT(Appeals) allowed the claim of the assessee for additional deduction under section 80IA as made in the revised computation of total income on the same grounds as given in A.Y. 2005-06. 14. We have heard the arguments of both the sides on this issue and also perused the relevant material available on record. It is observed that the return of income originally filed by the assessee on 30.09.2008 claiming deduction of Rs. 5,77,16,153/- under section 80IA was accepted by the Assessing Officer under section 143(1) and since no notice under section 143(2) was issued by him till the expiry of the statutory time limit, which ended on 30.09.2009, the original assessme....
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....der of the ld. CIT(Appeals) deleting the disallowance made by the Assessing Officer on account of assessee's claim for exemption under section 86 to the extent of Rs. 42,74,485/- and dismiss Ground No. 3 of the revenue's appeal. 16. Now we shall take the revenue's appeal for A.Y. 2009-10 being IT(SS)A No. 76/KOL/2016. The common issue involved in Grounds No. 1 & 2 of the revenue's appeal for A.Y. 2009-10 relates to the deletion by the ld. CIT(Appeals) of the disallowance of Rs. 10,20,73,983/- made by the Assessing Officer on account of the assessee's claim for deduction under section 80IA. 17. In the return of income originally filed under section 139(1) for the year under consideration, i.e. A.Y. 2009-10 on 30.09.2009 declaring total income of Rs. 25,50,99,890/-, no deduction under section 80IA was claimed by the assessee. The said return was accepted by the Assessing Officer under section 143(1) and no notice under section 143(2) was issued by him till the expiry of statutory time limit, which ended on 30.09.2010. Thereafter a search and seizure action was conducted in the case of the assessee on 28.10.2010 and in the return of income filed in response to the notice issued unde....