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TMI Blog2014 (8) TMI 236X X X X Extracts X X X X X X X X Extracts X X X X ..... e Ld. CIT(a) has erred in directing the A.O to allow deduction u/s 10A of the I.T. Act. 2.1 The Ld. CIT(A) ignored the finding recorded by the A.O and the fact that no claim for deduction can be allowed to the assessee unless the claim is made by the assessee, and also the fact that the assessee claimed the deduction u/s 10B of the I.T Act." 3. The assessee is a company registered under the Software Technology Parks of India (STPI) for the relevant year. In the return of income. The assessee had claimed deduction u/s 10B of the Act amounting to Rs. 93,69,783/-. The Assessing Officer while completing the assessment u/s 143(3) of the Act, denied the benefit of deduction u/s 10B of the Act by following the order of the Hyderabad Bench of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arily relied on the order of Hyderabad Bench of the ITAT in the case Infotech Enterprises Ltd. Vs Joint CIT (2003) 85 ITD 325. In that case, the assessee had claimed deduction under section 10A in respect of profits of its STP unit. The same was denied inter alia on the ground that it was not a new unit but was an extension of original unit started by the assessee in the year 1991. It was held that for claiming the deduction, a new unit had to be set up under the STP scheme in the previous year relevant to assessment year 1994-95 or thereafter. This condition was not relaxed by the Board circular dated 23.11.1994. Since the assessee did not set up the unit in the previous year relevant to assessment year 1994-95 or thereafter, the profits w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ation is not tenable on the principles of consistency also. It is settled law that in the absence of any change either in facts or in law, principles of consistency itself can be made a basis to uphold the claim of the appellant company. Reliance is placed on the judgments of the Hon'ble Delhi High Court in the cases of Commissioner of Income-tax Vs Neo Poly Pack(P.) Ltd. (2000) 245 ITR 492 (Del) and CIT Vs Rajeev Grinding Mills (2005) 279 ITR 86 (Delhi) wherein the judgment of the Hon'ble Apex Court in the case of Radhasoami Satsang Vs CIT (1992) 193 ITR 321 (Supreme Court) was followed. 3.5 In the remand report, the Assessing Officer pointed out that the assessee did not file revised return before the Assessing Officer wherein the claim ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... collect only legitimate tax, hence, merely for a procedural lapse or technicalities, the assessee should not be compelled to pay more tax than what is due from him. In this view of the matter, the Assessing Officer is directed to consider and allow the claim of the assessee for deduction u/s 10A of the Act." 5. The Revenue being aggrieved is an appeal before us. 6. The ld. DR supported the findings of the Assessing Officer and relied on the grounds raised by the Revenue. On the other hand, the ld. Authorized Representative of the assessee reiterated the submissions made before the Income-tax authorities. 7. We have heard rival submissions and perused the material on record. It is undisputed fact that the assessee is registered with the S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ovided conditions of section 10A of the Act are satisfied. 7.3 In the case of CIT Vs Regency Creation in ITA No. 69/2008 vide order dated 30.11.2012, it has been held as under: "The applicant had claimed the benefit of section 10B of the Income Tax Act, 1961 ("act" for short). Before the A.O, it had relied upon the certificate and other supporting materials issued by the STP in respect of the approval under section 10A and claimed that as long as these conditions were satisfied, the statutory mandate of section 10B too was also automatically satisfied. In the judgment of this Court, the assessee's claim for grant of benefit under section 10B had been turned down. It is urged by the assessee/applicant that upon remand after the judgment, t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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