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2021 (9) TMI 803 - AT - Income TaxDeduction claimed u/s 80IA(4) - Scheme of amalgamation - right of amalgamating company to claim deduction - AO did not accept contentions of the assessee in the absence of complete details with regard to amalgamating company’s entitlement to the claim of deductions under section 80IA qua the specific plant & machinery - plant set up by the assessee was not new power plant, but it was set up by transfer of old and previously used machinery, value of which was more than 90% of the total value of plant, claim of the assessee under section 80IA was not allowable - HELD THAT:- We find ITAT has arrived at a conclusion that when any undertaking of an Indian Company which is entitled to deduction under this section is transferred before expiry of the period specified in this section to another Indian Company, then as per clause (b) the provision of this sections shall apply to the amalgamated company, as they would have applied to the amalgamating company - provision makes it clear that ambit of this section is extended to the cases where eligible enterprise is transferred, then the transferee company i.e. amalgamated company will become entitled to deduction. CIT(A) appreciated the facts both on facts and in law as well as weighed earlier decisions of his predecessor and allowed the claim of deduction under section 80IA. Therefore, basing decisions of the Tribunal on identical issue on the assessee’s own case cited [2018 (12) TMI 1679 - ITAT AHMEDABAD] we uphold order of the ld.CIT(A) and dismiss the ground of appeal of the Revenue.
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