TaxTMI 
TaxTMI 
2026 (7) TMI 896
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....te with learned advocate Ms.Vaibhavi Parikh for the respondent. 2. This appeal is filed under Section 260A of Income Tax Act, 1961 (for short, "the Act"), by the appellant-revenue proposing the following substantial questions of law, arising out of the judgment and order dated 27.09.2024 passed by the Income Tax Appellate Tribunal Ahmedabad, "D" Bench (for short, "the Tribunal"), in ITA No. 599/Ahd/2023 for the Assessment Year 2020-21:- "(a) Whether on the facts and in the circumstances of the case and in law, the learned ITAT has erred in affirming order of CIT(A) in deleting the disallowance of Rs. 9,50,68,235/- made u/s. 80-IA(4) of the Income Tax Act, 1961 by holding that the Assessee is not a contractor but a developer of i....
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.... as under:- "3.9. With regard to the contention raised by the Revenue to the effect that the explanation to below Subsection 13 of Section 80-IA of the Act is applicable and in response to such contention, the Tribunal analysed the scope of the explanation to below Subsection 13 of Section 80-IA of the Act as under: "11.6. Subsequently, an Explanation to section 80-IA of the Act was inserted by the Finance Act, 2007 and later on amended by the Finance (No. 2) Act, 2009 but the same was made applicable with retrospective effect i.e. 1-4-2000. This explanation denies the benefit of deduction under section 80-IA(4) of the Act to a person who executes a project which is in the nature of works contract. At this juncture, it is ....
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....by a company registered in India or by a consortium of such companies or by an authority or a board or a corporation or any other body established or constituted under any Central or State Act; (b) it has entered into an agreement with the Central Government or a State Government or a local authority or any other statutory body for (i) developing or (ii) operating and maintaining or (iii) developing, operating and maintaining a new infrastructure facility; (c) it has started or starts operating and maintaining the infrastructure facility on or after the 1st day of April, 1995:" 3.12. Explanation below Subsection 13 of Section 80-IA of the Act was introduced by the Finance (No. 2) of the ....
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....ping operating and maintaining" any infrastructure facilities which fulfills the condition prescribed therein. In the facts of the case as held by the CIT (Appeals) as well as the Tribunal on giving a factual finding to the effect that the assessee has undertaken a work of development of infrastructure facilities by execution of the contract awarded to it as per the terms of the contract as enumerated by the CIT (Appeal) as under:- "To examine whether the project assigned to this Appellant was in the capacity of a "Contractor" or the Appellant has executed the work as a "Developer" with respect to the ROAD PROJECTS, I have perused the terms of some of the agreements. My attention has been drawn on agreements with "Madhya Pradesh Ro....