Madras High Court
The Commissioner Of Income Tax vs Terex India Private Limited on 10 August, 2022
T.C.A.Nos.928 & 929 of 2019
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED 10.08.2022
CORAM
THE HON'BLE Mr. JUSTICE R. MAHADEVAN
AND
THE HON'BLE Mr. JUSTICE MOHAMMED SHAFFIQ
T.C.A.Nos.928 and 929 of 2019
The Commissioner of Income Tax
ACIT Circle I, Hosur
(previously assessed at New Delhi) .. Appellant in both T.C.As
Vs.
Terex India Private Limited
5th Floor, West Wing, E-City, Tower-2
#94/2 & 95/2, Electronic City, Phase-I
Hosur Main Road, Bangalore 560 100
PAN : AACCT6500D .. Respondent in both T.C.As
Tax Case Appeals filed under Section 260-A of the Income Tax Act,
1961, against the order dated 26.03.2019 passed by the Income Tax Appellate
Tribunal 'I-2', New Delhi, in respective I.T.A.Nos.6775/Del/2015 and
6783/Del/2015.
For Appellant Mr.M.Swaminathan
in both T.C.As Mrs.V.Pushpa
Standing Counsels
For Respondent Mr.Karthik Sundaram
in both T.C.As
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T.C.A.Nos.928 & 929 of 2019
COMMON JUDGMENT
(Judgment was delivered by R. MAHADEVAN, J.)
These Tax Case Appeals arise from the common order dated 26.03.2019
passed by the Income Tax Appellate Tribunal 'I-2', New Delhi, in respective
I.T.A.Nos.6775/Del/2015 and 6783/Del/2015, relating to the assessment year
2011-12.
2. By order dated 20.11.2019, this court admitted the aforesaid tax case
appeals on the following substantial questions of law:
“(1)Whether the Income Tax Appellate Tribunal was right in
upholding the decision of DRP in a Business Support Services Segment
in excluding - Global Procurement Consultant Ltd as comparable when
the Global Procurement Consultant Ltd is not a 100% per cent
Government owned company?
(2)Whether the Income Tax Appellate Tribunal was right in
confirming the decision of Dispute Resolution Panel In the Engineering
Design Support Services Segment in selective screening of three (3)
comparables when they are not 100% Government owned company?
(3)Whether the Income Tax Appellate Tribunal was right in
directing TPO to exclude the seven (7) comparables in the Engineering
Design Support Services Segment when the FAR of these comparables
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T.C.A.Nos.928 & 929 of 2019
are essentially similar to that of assessee as confirmed by the Dispute
Resolution Panel?
(4)Whether on the facts and circumstances of the case and in law,
the Hon'ble Tribunal is legally correct in directing the TPO to restrict the
adjustment on account of capacity to the material purchased from the AE
and consumed during the year, when such adjustment is not permissible
under the Transfer Pricing regulations?
(5)Whether on the facts and in the circumstances of the case, the
Appellate Tribunal was right in holding the loss of Rs.2,04,92,202/-
arising out of Foreign Exchange fluctuation on purchase of capital assets
is a revenue expenditure?”
3. When these matters were taken up for consideration, the learned
counsel appearing for the respondent/assessee submitted that during the
pendency of these tax case appeals, the assessee has availed the benefit
conferred under the Direct Tax Vivad Se Vishwas Act, 2020, and filed
necessary declarations, which were accepted and Form-5/order for full and final
settlement of tax arrears, was also issued by the Income tax department, on
24.11.2021. The learned counsel has also filed Form-5 dated 24.11.2021 to that
effect.
4. The aforesaid submission made by the learned counsel for the
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T.C.A.Nos.928 & 929 of 2019
respondent/assessee has also been fairly conceded by the learned Standing
Counsels appearing for the appellant/ Revenue.
5. In view of the subsequent development, this court is of the opinion that
nothing survives for adjudication in these appeals. Recording the submission so
made by the learned counsel on either side, these Tax Case Appeals stand
disposed of. No costs.
[R.M.D,J.] [M.S.Q, J.]
gya 10.08.2022
To
1.The Commissioner of Income Tax
ACIT Circle I, Hosur
2.The Income Tax Appellate Tribunal 'I-2'
New Delhi
3.The Deputy Commissioner of Income Tax
Circle-25(1)
C.R.Building, New Delhi
R. MAHADEVAN, J.
AND
https://www.mhc.tn.gov.in/judis
T.C.A.Nos.928 & 929 of 2019
MOHAMMED SHAFFIQ, J.
gya
T.C.A.Nos.928 & 929 of 2019
10.08.2022
https://www.mhc.tn.gov.in/judis
