Taxap/18/2020 Of The Commissioner Of Income Tax (Exemptions) v. Gujarat Maritime Board

IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/TAX APPEAL NO. 18 of 2020 FOR APPROVAL AND SIGNATURE: HONOURABLE MR.JUSTICE J.B.PARDIWALASd/-andHONOURABLE MR. JUSTICE BHARGAV D. KARIASd/-================================================================1Whether Reporters of Local Papers may be allowedNOto see the judgment ?2To be referred to the Reporter or not ?NO3Whether their Lordships wish to see the fair copyNOof the judgment ?4Whether this case involves a substantial questionNOof law as to the interpretation of the Constitutionof India or any order made thereunder ? ================================================================THE COMMISSIONER OF INCOME TAX (EXEMPTIONS) VersusGUJARAT MARITIME BOARD ================================================================ Appearance:MRS MAUNA M BHATT for the Appellant.MR SN SOPARKAR, SR.ADVOCATE with MR G H VIRK for the Opponent. ================================================================ CORAM: HONOURABLE MR.JUSTICE J.B.PARDIWALAandHONOURABLE MR. JUSTICE BHARGAV D. KARIA Date : 17/02/2020 ORAL JUDGMENT (PER : HONOURABLE MR.JUSTICE J.B.PARDIWALA) This Tax Appeal under Section 260A of the Income Tax Act,1961, is at the instance of the Revenue and is directed against the order passed by the Income Tax Appellate Tribunal, 'C'Bench, Ahmedabad, dated 30[th] July 2019, in the ITANo.2991/Ahd/2013 for the Assessment Year 2009-10. The Revenue has proposed the following substantialquestions of law for the consideration of this Court : “(A)Whether on the facts and in the circumstances of thecase, the Appellate Tribunal is justified in negating thefindings of the CIT(A) as well as the Assessing Officerdenying the benefits of Sections 11 and 12 of the Act byinvoking proviso to Section 2(15) r.w. Section 13(8) of theAct? (B)Whether on the facts and in the circumstances of thecase, the Appellate Tribunal is justified in allowing theassessee's appeal without appreciating that Revenue hasfiled Tax Appeal No.408 of 2012 before this Hon'ble Courtagainst the decision of the Appellate Tribunal restoringregistration under Section 12AA of the Act cancelled by theCIT ? (C)Whether on the facts and in the circumstances of thecase, the Appellate Tribunal is justified in allowing theaccumulation of 15% without appreciating the fact that oncethe provision of Section 2(15) r.w. Section 13(8) is applicable,the assessee forfeits all the exemptions under Sections 11and 12 of the Act ? (D)Whether on the facts and in the circumstances of thecase, the Appellate Tribunal is justified in deleting the deduction in the fixed assets of Rs.34,49,94,135/- withoutappreciating the fact that once the provision of Section 2(15)r.w. Section 13(8) is applicable, the assessee forfeits all theexemptions under Sections 11 and 12 of the Act ?” In view of the judgment and order passed by this Court inthe Tax Appeal No.408 of 2012 dated 17[th] February 2020, thesubstantial questions of law as proposed by the Revenue areanswered against the Revenue and in favour of the assessee. The Appeal fails and is hereby dismissed. (J. B. PARDIWALA, J.) /MOINUDDIN (BHARGAV D. KARIA, J.)