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2019 (4) TMI 544 - AT - Income TaxDeduction u/s 80IA - profits earned from ICDs and on rolling stocks - whether activities undertaken by the assessee do not fall within Clause (d) of the Explanation to section 80IA(4) defining the term Infrastructure facility? - HELD THAT:- In the case of M/s Container Corporation of India Ltd. [2018 (5) TMI 359 - SUPREME COURT OF INDIA], the operating activities of the assessee were mainly carried out at its Inland Container Depots (ICDs), Container Freight Stations (CFSs) and Port Side Container Terminals (PSCTs) spread all over the country. The issue in the above appeal was with regard to the deduction claimed u/s 80IA on the profits earned from ICDs and on rolling stocks. Their Lordships of the Hon’ble Supreme Court, dismissing the appeal filed by the revenue (supra) stating that Notification that has been issued by the Central Board of Excise & Customs (CBEC) dated 24.04.2007 in terms holds that considering the nature of work carried out at these ICDs they can be termed as Inland Ports. Further, the communication dated 25.05.2009 issued on behalf of the Ministry of Commerce and Industry confirming that the ICDs are Inland Ports, fortifies the claim of the respondent herein. Though both the Notification and communication are not binding on CBDT to decide whether ICDs can be termed as Inland Ports within the meaning of Section 80-IA the appellant herein is unable to put forward any reasonable explanation as to why these notifications and communication should not be relied to hold ICDs as Inland Ports. Unless shown otherwise, it cannot be held that the term 'Inland Ports' is used differently under Section 80-IA. All these facts taken together clear the position beyond any doubt that the ICDs are Inland Ports and subject to the provisions of the Section and deduction can be claimed for the income earned out of these Depots. However, the actual computation is to be made in accordance with the different Notifications issued by the Customs department with regard to different ICDs located at different places. Addition u/s 14A - HELD THAT:- Assessing Officer to make the computation of disallowance u/s. 8D(2)(iii) of the Act by excluding the investment which have not earned any exempt income during the year in the computation in accordance. Disallowance u/s 14A r.w.r. 8D while calculating Book profit u/s 115JB - HELD THAT:- In the case of ACIT v. Vireet Investment [2017 (6) TMI 1124 - ITAT DELHI], it is held that computation under clause (f) of Explanation 1 to section 115JB(2) is to be made without resorting to computation as contemplated under section 14A read with rule 8D. Accordingly, we delete the disallowance made by the AO to the book profit shown by the assessee u/s 115JB of the Act. Claim of deduction u/s 80IA - facility usage charges - rental income from immovable property - HELD THAT:- In the instant case, the assessee has received ₹ 2,00,000/- as rent from Vodafone India Pvt. Ltd on account of usage of its CFS area for setting up mobile tower. It also received ₹ 6,93,000/- as service charges for providing office space area, furniture & utility facility to customers in CFS area. In the instant case, we find that the assessee has not filed before the AO the relevant contracts and connected data with regard to the above claim. Therefore, we restore the matter to the file of the AO for making an order afresh after giving reasonable opportunity of being heard to the assessee. We direct the assessee to file the connected documents/evidence before the AO.
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