Contact us   Feedback   Annual Subscription   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

2015 (6) TMI 1025 - CALCUTTA HIGH COURT

2015 (6) TMI 1025 - CALCUTTA HIGH COURT - [2016] 382 ITR 438 - Deduction under section 80HHC - whether Tribunal was justified in law in allowing deduction to the assessee under section 80HHC of the Income-tax Act, 1961 on that position of the export sale proceeds which was not brought or received by it in India in convertible foreign exchange within the period stipulated under section 80HHC(2) of the Income-tax Act and even no extension of time was granted by the competent authority (Reserve Ban .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

eply dated December 28, 2001 advised that as the date, that is, December 1, 2001, till which extension was sought for, had already expired, the assessee should apply for further extension. Incidentally the amount was received on November 26, 2001. The question is whether the letter dated December 28, 2001 by the Reserve Bank of India can be treated to be an order allowing extension of time. Since "allow" means permission, a positive act, and as in a case of grant of permission it should be in an .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Soumitra Pal And Mir Dara Sheko, JJ. For the Petitioner : Md. Nizamuddin JUDGMENT 1. Since it is submitted by Mr. Nizamuddin, learned advocate for the appellant, that notice has been served on the respondent, the learned advocate on record for the Central Government is directed to affirm and file affidavit of service in course of this week. 2. The appeal was admitted on the following question : "Whether on the facts and in the circumstances of the case, Tribunal was justified in law in all .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ssessing Officer found that the assessee had received payments in foreign currency amounting to ₹ 10,70,793, beyond the due date as specified under section 80HHC(2)(a). The Assessing Officer sought clarification as to whether the competent authority had extended the time for receiving the foreign exchange beyond the period of six months. The assessee submitted that since the letter praying for extension of the time for receiving the foreign exchange up to December 1, 2001, was not rejected .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

to the appellant". Accordingly the appeal on the said issue was dismissed. 5. Further aggrieved, the assessee preferred appeal before the Income-tax Appellate Tribunal. The Tribunal while disposing of the appeal held as under : "6 We have considered the rival contentions carefully gone through the orders of the authorities below and from the record that the amount relating to the sales invoice dated February 12, 2001 valued at ₹ 10,70,793 was not by the assessee. This amount was .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

he date, till which extension was sought, had already expired. Therefore, if the exporter had already received the payment then the exporter should submit BRC against the above sale bill and if the money has not been received till date then the exporter should be advised to apply for further extension. When the assessee received this letter from the Reserve Bank of India dated December 28, 2001, it had already received the payment, therefore, it did not apply for any further extension. In the co .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

dia has asked for filing application for further extension, itself implies that if the assessee has not received the amount by the time, it has already applied, i.e., up to December 1, 2001, then new application for further extension is to be filed. The Reserve Bank of India in its reply has used the words "further extension" which implies that extension sought was granted, however, the amount was not received then further extension could be sought. Thus there is no dispute to the fact .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e Revenue that the amount was already received by the assessee on November 26, 2001 and thus there was only a marginal delay in the actual receipt of amount after the end of six months. As per provision of section 155(13) where in the assessment for an year the deduction under section 80HHC income has not been received in convertible foreign exchange in India and subsequently such income or part thereof has been or is received in India in the manner prescribed, the Assessing Officer shall amend .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

technical view that amount was received marginally belated, when the assessee has already applied for extension of time and there was no denial by the RBI for such extension. However, the RBI in its letter has even asked the assessee to apply for further extension if the payment has not been received by December 1, 2001, being the date up to which extension was originally sought by the assessee from the RBI. As the assessee has already received the payment by the time, the assessee got letter fr .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

tioner. 7. In order to appreciate the question it is necessary to refer to section 80HHC(2)(a) which is set out hereunder : "This section applies to all goods or merchandise, other than those specified in clause (b), if the sale proceeds of such goods or merchandise exported out of India are received in, or brought into, India by the assessee (other than the supporting manufacturer) in convertible foreign exchange within a period of six months from the end of the previous year or, within su .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version