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2013 (4) TMI 512 - AT - Income TaxDisallowance of deduction u/s 80IA – assessee engaged in the business of civil engineering works and construction of national highways, filed its return of income and claiming deduction – A.O. observed that the deduction u/s 80IA would not be available to a person who executes a works contract entered into with an undertaking or enterprise as the case may be. As the assessee has undertaken the sub-contract works with the j.v of M/s ECSB-JSR Construction Private Limited, he held that the assessee company is not eligible to claim deduction u/s 80IA. – CIT(A) gives the relief to assessee subsequently revenue file this appeal. Held that - We find that the assessee has filed sufficient evidence before the CIT(A) to prove his case that it is party to the consortium, which was engaged in the business of civil construction and was also awarded the contract by the NHAI. Thus, we are satisfied that the assessee has itself carried on the works contract and was not a sub-contractor carrying on the works contract. Further, as rightly held by the CIT(A), every year the assessee cannot be expected to enter into a new contract for the reason that the infrastructure project are by the very nature carried on over a period of time and cannot be completed within a year. Thus, the CIT(A) has properly appreciated the evidence before allowing the claim of the assessee and there is no reason to interfere with the same. Revenue is dismissed.
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