TMI Blog2018 (8) TMI 1057X X X X Extracts X X X X X X X X Extracts X X X X ..... Revenue against the order dated 31/10/2016 passed by CIT(A)-2, Noida for Assessment Year 2012-13 on the following grounds:- (i) Whether on the facts and in the circumstances of the case and in law, the CIT (A) has erred in holding that receipts on account of service tax are not includible in gross revenue of the assessee for the purpose of computation of profits under the provisions of section 44BB of the I.T. Act, 1961. (ii) Whether the CIT (A) has erred in not appreciating the fact that section 44BB of the Act is a self-contained code providing for computation of profit at a fixed percentage of gross receipts of the assessee and all the deductions and exclusions from the gross receipts are deemed to have been allowed to the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2 Equivalent Citations: 1973 AIR 376, 1973 AIR 376, 1973 SCR (2) 618. 3. Per Contra, the Ld. AR relied upon the decision of the Hon ble Delhi High Court in the matter of DCIT Vs. Mid Shell Drilling International Pvt. Ltd. The Hon ble Delhi High Court after considering the Bureau Pvt. Ltd. in Paragraph 14 18 held as under:- 14. In the considered view of the Court, both the aforementioned decisions were rendered in the specific contexts in which the questions arose before the Court. In other words the interpretation placed by the Court on the expression trading receipt' or 'turnover' in the said decisions was determined by the context. The later decision of the Supreme Court in CIT v. Lakshmi Machine Works (supra) which ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 8 dated 28th April 2008 it was clarified that Service tax paid by the tenant doesn't partake the nature of income of the landlord. The landlord only acts as a collecting agency for Government for collection of Service Tax. Therefore, it has been decided that tax deduction at source) under sections 194-1 of Income Tax Act would be required to be made on the amount of rent paid/payable without including the service tax.' In Circular No. 1/2014 dated 13th January 2014, it has been clarified that service tax is not to be included in the fees for professional services or technical services and no TDS is required to be made on the service tax component under Section 194J of the Act. 4. He submitted that the appeal of the Revenue ..... X X X X Extracts X X X X X X X X Extracts X X X X
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