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2019 (3) TMI 59 - HC - Income TaxClaim u/s 10A - scope of amendment - entitlement to exemption u/s 10A only upto 1997-98 as five years within a block of eight years from the assessment year 1990-91 - intention of the Legislature in bringing forth the amendment in 1998 - since the assessee has already availed the exemption for five years, amendment to Section 10A which came into effect on 01.04.1999 extending the period of five years to ten years, is not available to the assessee? - HELD THAT:- A Division Bench of the Karnataka High Court has in C.I.T. v. DSL Software Ltd. [2011 (10) TMI 423 - KARNATAKA HIGH COURT] considered the object behind the amendment extending the period of exemption under Section 10B, wherein also a similar amendment was brought in 1998 and the period of exemption was extended from five years out of eight yeas to a period of ten years with effect from 01.04.1999. Object with which this amendment was introduced, was to extend the benefit for a period of ten consecutive years from the date of commencement of manufacture or production. Only if the assessee has already availed the benefit under the unamended provision and ten consecutive years would fall prior to 01.04.1999; when the amendment came into effect, would the assessee be disentitled to the said benefit. If the ten years from the date of production has not expired prior to the date on which the amendment came into effect, for the remaining unexpired period, he would be entitled to the benefit and he cannot be denied the benefit for the reason that he has availed the benefit of the unamended provision for a period of five years and that had expired before the amendment came into force. The Karnataka High Court was of the opinion that it would run counter to the intention with which the amended provision was brought into the Statute book and that it would negate the amended provision - Decided against revenue.
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