Itta/58/2021 Of The Pr. Commissioner Of Income Tax -2 v. M/S Avinash Hitech City-2 Society

I337e I oF TELANGANA rN rHE [HrcH ]"orTf3$orffo.rHE THURSDAY, ' - [THE SIXTEENTH DAY OF NOVEMBER]rwoinousRruoAND TWENTYTHREErwoinousRruoAND TWENTYTHREE PRESENT THE HON'BLE [JUSTICE P.SAM KOSHY]ANDTHE HON'BLE [SRI JUSTICE N.TUKARAMJI] I.T.T.A.No:5[8][ ot ][2021] lncome [Tax ][Tribunal ][Appeal Under Section 260-A of ][the ][lncome ][Tax ][Act' ][1961]arising [out ][of ][the order of ][the ][lncome Tax Appellate ][Tribunal' ][Hyderabad Bench ]['A']Hyderabad, [in ] [No.1163 lHydt2019' ][for ][assessment ][Year ][2015-16 ][dated ][20-01-]2021 [preterred ][against ][the Order ][of the ][Commissioner ][of ][lncome ][Tax ][(Appeals)']Ra.lamahendravaram, [No'10053/2018-19/ClT(AyRJY' ][dated:29-03-2019']preferred [against ][the ][Order ][of ][the Assistant ][Commissioner ][of ][lncome ][Tax' ][Circle-]8(1), [Hyderabad. PAN No' ' ][dated ][12-12-2017 ]['] Between: The Pr. [Commissioner ][of ][lncome Tax ][-2' ][Hyderabad'] ...Appellant/resPondent AND lr//s Avinash [Hitech City-2 Society, ][H,l8' ][Hitech City-2' Phonix lnfocity SEZ']o"ir,iuo*li, [Hyderabad-81 AABAA1623R'] ...Respondents/APPellant Counsel [for ][the ][Appellant: ][Mr' ][A' ] [KRISHNA (SC ] [lT)]Counsel [for ][the ][Respondent: ][None ][Appeared]The Court [made ][the ][following: ] i THE HON'BLE [P.SAM ] AND THE HON'BLE [N.TUKARAMJI] IT.T.A. No.[58][of202l] ORDER:(per [Hon'ble ][Sri ][Justice ][P'SAM ][KOSHY)] The present [is ][an appeal ][filed ][assailing the ][order ][dated20'Ol'2021]passed by the [lncome ][Tax ][Appellate ][Tribunal' Hyderabad-'A' ][Bench ][(for]short ITAT) [in ][I.T.A.No.l ][l63lHYDl20l9 ][for ][the ][assessment year]2015-16. 2. Heard IvIr.A. [Radha ][Krishna, ][learned Standing Counsel ][appearing]for the appellilnt - [Department. ][Perused ][the material available ][on ][record'] Vide tte impugned tte impugned impugned [[order, ]][[the ][Tribunal ][has rejected the appeal ][of]][[Tribunal ][has rejected the appeal ][of]][[has rejected the appeal ][of]][[of]] 3. Vide tte impugned tte impugned impugned [[order, ]][[the ][Tribunal ][has rejected the appeal ][of]][[Tribunal ][has rejected the appeal ][of]][[has rejected the appeal ][of]][[of]]the Revenue [affirming ][the order ][passed ][by ][the Commissioner ][Appeals']dated [29 ].03.201 [9 ][in ITA.No. ] [00 ][5 ][3 ][of ][20 ][1 ][8 ][- ] [9/CIT(A/RJY'] 4. A perusal of the [two ][orders ][passed ][by ][the ][Commissioner ][Appeals]as also by [thc ][ITAT, ][what is reflected ][is ][that in the ][case ][of ][the ][assessee ][in]the previous [years ][i.e., ][2Ol3-14 ][arrd2014-15' ][the ][Commissioner Appeals]hasalreadydecidedtheissueraisedinfavouroftheassesseeholdingtheappellant is :ligible [for ][claim ][under Section ][81AB ][as ][income ][received]under the [Business ][Act. ][The ][said ][order ][was ][further ][afhrmed ][by ][the ] inJT.A.No.if [2 ]6lHYDl20ll and [was dismissed ][by ][the ][Tribunal']\,\ 5. due consideration [of ][the ][facts, ][we ][also ][find ][that ][apart ][from]Upon the fact that the [income ][of ][the ][assessee ][there ][is ][also ][a ][frnding ][by ][the]commissioner [Appeals ][and ][the ][affirmation ][by ][the ] [and ][there ][is ][a]reliance by the [authorities ][concerned ][on ][the ] [circular ][dated]25.04.2011 i.e., [Circular ][No.16 ][of ][2017, ][which ][reads ][as ][under:] "It is now a settled [position that ][in ][the ][case ][of ][an]undertaking [which ][develops, develops and ][operates ][or]maintains and operates [on ][industrial ][paNSEZ ][notified]in accordance with [the ][scheme ][framed and ][notified ][by]the Govemment, the [income ][from ][letting ][out ][of]premises/developed space [alongwith other facilities ][in]an industrial [park/SEI ][is ][to ][be charged ][to tax ][under ][the]head ['Profit ]and [Gains ][of ][Business".] 6. the fact that the [income ][of ][the ][assessee ][there ][is ][also ][a ][frnding ][by ][the]commissioner [Appeals ][and ][the ][affirmation ][by ][the ] [and ][there ][is ][a]reliance by the [authorities ][concerned ][on ][the ] [circular ][dated]25.04.2011 i.e., [Circular ][No.16 ][of ][2017, ][which ][reads ][as ][under:] "It is now a settled [position that ][in ][the ][case ][of ][an]undertaking [which ][develops, develops and ][operates ][or]maintains and operates [on ][industrial ][paNSEZ ][notified]in accordance with [the ][scheme ][framed and ][notified ][by]the Govemment, the [income ][from ][letting ][out ][of]premises/developed space [alongwith other facilities ][in]an industrial [park/SEI ][is ][to ][be charged ][to tax ][under ][the]head ['Profit ]and [Gains ][of ][Business".] 6. 6. In view of the aforesaid [contents ][of ][the ][Circular ][dated ][25,04.2017 ][,]we are of the considered [opinion that ][the finding ][arrived ][at ][by ][the]Commissioner [Appeals and ][which ][has ][been ][affirmed ][by the ] [to ][be]properlegalandjustilredandstrictlyintermsoftheCirculardated25.04.2017 was [issued. ][Moreover, ][the Government ][of ][India, ][Ministry ][of]commerce & [Industry ][also earlier ][issued ][a ][circular ][dated ][31.12.2008,]wherein, the appellant [was ][conferred ][as ][co-developer ][for ][providing]infrastructure facilities [in ][the ][IT/ITES, ][Speciat ][Economic ][Zone' ][The]nature of activities carried [out ][by ][the ][assessee ][also squarely ][fits in ][to ][the] a") said circular of the Government of [India, ][dated 31.12'2008' ][For ][the]aforesaid reas,)ns also [we ]do [not ][find ][any ][merits ][in ][the appeal ][filed ][by ][the]Revenue. Thus, the [instant ][appeal ][fails ][and is ][accordingly ][rejected] 1As a seluel, miscellaneous applications [pending ][if ][any, ][shall ][stand] closed. No ortler as [to ][costs.] SD/. C.V.MALLIKARJUNA JOINT REGISTRAR /ffRUE COPY//SECTION OFFICER To,The lncome Tax [Appellate Tribunal, Hyderabad Bench ]['A ][' ][Hyderabad(with]records if irny)The lncome Tax [Appellate Tribunal, Hyderabad Bench ]['A ][' ][Hyderabad(with]records if irny)2tfre Comn,i#ioner [of ][lncome Tax (Appeals), Rajamahendravaram]JThe Assistant Commissioner [of ][lncome Tax, Circle-8(1), Hyderabad]4One CC tc [lrilr. ]A. [(SC ][FOR lT) ][ ]5Two CD CcPiesJThe Assistant Commissioner [of ][lncome Tax, Circle-8(1), Hyderabad]4One CC tc [lrilr. ]A. [(SC ][FOR lT) ][ ]5Two CD CcPies \Y kamNS HIGH COU DATED:1 [6i1112023] ORDER|TTA.No.S8 of [2021] THE APPI=AL !SREJECTED ^6\ 19,e [-]\ot [i ][it'B ][$?l]oI*a.c''OES PA1[(.]