Ita/117/2012 Of Commissioner Of Income Tax-Iii v. M/S Mcafe Software Ind Pvt Ltd

IN THB HIGH COURT OF KARNATAKA AT BANGALORE DATED THIS THE 28[th]DAY OF APRIL 2014 PRESENT THER HON’BLE MR. JUSTICE DILIP B BHOSALE AND THR HON’BLE MR. JUSTICBK B MANOHAR I.T.A.NO.117/2012 BRITWEBB 1.COMMISSIONER OF INCOME TAX-IILRBVBENUB BUILDINGSRBVBENUB BUILDINGS QUEENS ROADBANGALORE 56000 1.BANGALORE 56000 1. 2.THR DEPUTY COMMISSIONBR OF INCOME TAX|CIRCLE 12(1),BANGALORE - 560 OO1.CIRCLE 12(1),BANGALORE - 560 OO1. _. APPELLANTS (BY SRI E I SANMATHI, ADV.,) AND: M/S.McAFEE SOFTWARE IND. PVT.LTD.HMBASSY GOLF LINKS BUSINESSPARK, 2 FLOOR, PINE VALLEY,OFF INDIRANAGAR,KORAMANGALA INTKERMBDIATERING ROAD, BANGALORE-560 093. ... RESPONDENT (RESPONDENT Sd-UNREPRESENTED) THIS [TA FILED UNDER SKC.260-A OF INCOME TAXACT 1961, ARISING OUT OF ORDER DATED:29/12/2011|PASSEDIN-ITA|NO.119/BANG/2011,KORTHE.ASSESSMENT YEAR 2OO0O6-07 PRAYING TO FORMULATTHE SUBSTANTIAL QUESTIONS OF LAW STATED THEREIN|AND SET ASIDE THER APPELLATE ORDER PASSED BY THEITAT, ‘A*° BENCH, BANGALORE, IN APEPAL PROCEEDINGSITA NO.119/BANG/2011 DATED 29.12.2011 AS SOUGHT|ROR IN THIS APPEAL IN THR INTBREBEST OF JUSTICK ANEOUITY. THIS ITA COMING ON FOR ADMISSION, THISDAY,Dilip B. Bhosale J.,DBLIVERBED THRRFOLLOWING: PC;| We have heard Mr.Sanmathi, learned counsel for the Revenue. None appears for the respondent, thoughserved. 2. Mr.Sanmathi, learned counsel for the Revenue, at the outset, invited our attention to the order passedtoday (28.04.2014) in ITA No.188/2012 and submittedthat this appeal may also be disposed of in terms of thatorder. 3. The order passed in ITA No.188/2012 dated°"28,.04.2014 reads thus “We have heard learned counsel tor theparties. By consent, the appeal is heard forfinal disposal at the stage of admission. 2. Learned counsel appearing for therespondent, at the outset, invited ourattention to the judgment of this Court inTata Elxsi Ltd., [349 ITR 98 (Kar)andsubmitted that the substantial questions oflaw raised in this appeal are squarelycovered by this judgment and they deserveto be answered in favour of the assessee andagainst the revenue in terms thereof. | 3.Havingcontrontedwiththis,Mr.E.I.Sanmathi, learned counsel appearingfor the appellants-revenue submitted thatthe revenue has filed Special Leave Petition1ntheSupremeCourtagainstthe.aforementioned judgment of this Court andthe appeal is pending. He, however, fairlystates that this appeal may be disposed of interms of this judgment, with direction to theAssessing Officer to pass consequential orderonly after SLP/Appeal is disposed of by theSupremeCourt.Inotherwords,he. submitted that the Assessing Officer may bedirected to pass consequential order in the|light of the order of the Supreme Court that.will be passed in the abovementionedSLP/Appeal. 4. Learned counsel for the respondent,hasT1Oobjection{Ormakingsuch.observations and for disposal of this appeal. o. In the circumstances, we dispose ofthis appeal in terms of the judgment of thisCourt 1nTata Elxsi Ltd.,answering all thesubstantial questions of law in favour of theassessee and against the revenue, withdirection to the Assessing Officer to pass.consequential order under Section 260-1A ofthe Income Tax Act, 1961, only in the light ofthe judgment of the Supreme Court in theaforementioned SLP/Appeal that will be)passed in due course. No costs’.| 4. Mr.Sanmathi, learned counsel for the Revenue further submits that the substantial questions of lawraised in this appeal are also squarely covered by the judgment of this Court inTata Elxsi Ltd.,and those| may be decided in favour of the assessee and againstthe revenue in terms of the order dated 28.04.2014 in/ITA No.188/2012.| o. In the circumstances, we dispose of this appealin terms of the judgment of this Court inTata EIxsi Ltd.,answering all the substantial questions of law in 4. Mr.Sanmathi, learned counsel for the Revenue further submits that the substantial questions of lawraised in this appeal are also squarely covered by the judgment of this Court inTata Elxsi Ltd.,and those| may be decided in favour of the assessee and againstthe revenue in terms of the order dated 28.04.2014 in/ITA No.188/2012.| o. In the circumstances, we dispose of this appealin terms of the judgment of this Court inTata EIxsi Ltd.,answering all the substantial questions of law in favour of the assessee and against the revenue, withdirection to the Assessing Officer to pass consequentialorder under Section 260-1A of the Income Tax Act,1961, only in the light of the judgment of the SupremeCourt in the aforementioned SLP/Appeal that will bepassed in due course. No costs. Sd/-| JUDGE. sd/-. JUDGE. Srl.