Ita/429/2015 Of The Commissioner Of Income Tax v. M/S Ibm World Trade Corporation

IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 1 DAY OF OCTOBER 2020 PRESENT THE HON’BLE MR. JUSTICE ALOK ARADHE AND| THE HON’BLE MR. JUSTICE H.T.NARENDRA PRASAD LT.A. NO.429 OF 2015 BEI|WEEN 1.THE COMMISSIONER OF INCOME-TAX C.R. BUILDING, QUEENS ROAD BANGALORE. 2.THE ADDL. DIRECTOR OF INCOME-TAX INTERNATIONAL TAXATION, RANGE-I RASHTROTHANA BHAVAN. NRUPATHUNGA ROAD, BANGALORE-O1L. ... APPELLANTS (BY Mr. K.V. ARAVIND, ADV.) AND M/S. IBM WORLD TRADE CORPORATIONC/O. BMR & ASSOCIATES LLPLEVEL 3, PRESTIGE NEBULA-1$-12, CUBBON ROAD, BANGALORE. | ~.. RESPONDENT| (BY Mr. T. SURYANARAYANA, A/W_Ms. MAHIMA GOUD, ADVS.,) | THIS IJ§.T.A. IS FILED UNDER SECTION 260-A OI.T.ACT, 1961, ARISING OUT OF ORDER DATED 17-04-2015| PASSED IN ITA NO.16/6/BANG/2012, FOR THE ASSESSMENTYEAR 2008-09, ANNEXURE-D, PRAYING TO:I. FORMULATE THE SUBSTANTIAL QUESTIONS OF LAW|STATED ABOVE. I]. ALLOW THE APPEAL AND SET ASIDE THE ORDER PASSEDBY THE ITAT, BANGALORE IN ITA NO.16/76/BANG/2012DATED 17-04-2015, ANNEXURE-D AND CONFIRM THE.ORDER OF THE APPELLATE COMMISSIONER CONFIRMING|THE ORDER PASSED BY THE DY. DIRECTOR OF INCOME TAX,|(INTERNATIONAL TAXATION), RANGE-1, BANGALORE. THIS I.T.A. COMING ON FOR FINAL HEARING, THISDAY,ALOK ARADHE J.,DELIVERED THE FOLLOWING: JUDGMENT This appeal under Section 260A of the Income Tax) Act, 1961 (hereinafter referred to as tne Act for short) has been preferred by the revenue. The subject matter of the appeal pertains to the Assessment year 2008-09.The appeal was admitted by a bench of this Court vide order dated 02.06.2016 on the following substantialquestion of law: (1)|Whetner on the facts and In the'circumstances of the case the Tribunal is rightin law in deleting the application of a blanketrate of tax made by the Assessing Officer onthe total income returned by the assessee when the assessing officer rightly levied auniform rate of 15% on the total [ncomereturned by the assessee and raised ademand of Rs.6.58 crores In accordance withprovisions of the Act and DATT?. (il)Whether on the facts and In thecircumstances of the case, the Tribunal Is—right in law in deleting the interest leviedUnder section 234B and section 7234C of theAct.whenSd TiIS.In|accordancewithparameters of the said section?| 2 |For the reasons assigned by us in the orderpassed today in ITA No.2/78/2012, the substantialquestions of law are answered against the revenue andin favour of the assessee. �7�:04�$4*65: �:04�233425�<215*�278�1*�04$4?@� 81*=1**48�� �"� ������������ �����������