TMI Blog2018 (9) TMI 1889X X X X Extracts X X X X X X X X Extracts X X X X ..... as the CIT and even Hon ble ITAT on the basis of said letter dated 25.11.2009 which nowhere leads correct definition of the nature of the business. The assessee has mentioned in its form no. 3CA and 3CD about the nature of business of internet service provider and network and support service. The assessee has charged the service tax from its client which nowhere falls within the ambit of trade. The assessee also issued TDS certificate to the applicant wherein the tax deducted at source u/s 194J of the Act on fees in profession of taken services to its customer which cannot be treated as trade of bandwidth. On appraisal of the documents on record and considering of the contention of the assessee, we are of the view that the nature of the bus ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ble Tribunal vide judgment dated 12.07.2017 on the basis of the wrong notion and on the basis of wrong facts narrated by the assessee inadvertently its reply dated 25.11.2009 in which the so called trading in bandwidth cannot be regarded as provision of internet services, therefore, the order has been passed on account of wrong understanding of facts which is liable to be recalled. It is also averred that the assessee company was incorporated in August, 2000 and it was granted approval by FIPB to undertake certain activities like (i) to Act internet service provider (ii) and provide internet connectivity and related services (iii) to provide capital IP-BN service (iv) to set up an international gateway and provide gateway services. The Dep ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted 25.11.2009 for considering the claim of the assessee for deduction u/s 80IA of the Act. In brief, the claim of the assessee is based upon the meaning for description of internet service providers (ISP). The assessee also relied upon the meaning of the service interpreted by Wikipedia website. The internet services are generally by intermediaries by (a) acquiring the right to use of bandwidth, acquiring/setting up the necessary hardware/infrastructure and making the bandwith acquired as per point (a) to outsiders/ customers by using equipments as per point. In brief, the controversy has been decided by the AO as well as the CIT and even Hon ble ITAT on the basis of said letter dated 25.11.2009 which nowhere leads correct definition of th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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