| Case ID |
24dca6cc-bdae-4f8f-b37a-2c85c62e7ebf |
| Body |
View case body. Login to View |
| Case Number |
I.T.A. No. 1242/H/2010 |
| Decision Date |
Jan 31, 2011 |
| Hearing Date |
|
| Decision |
The appeal under section 260A of the Income-tax Act, 1961, was dismissed. The court ruled that the appellant, Swayam Consultancy (P.) Ltd., could not claim a deduction under section 10B of the Act because the goods were delivered to an agent in India rather than being exported out of the country. The court reiterated that actual export is necessary for claiming such deductions, and the mere delivery of goods to a foreign buyer's agent in India does not qualify as export under the Income-tax Act. The court further emphasized that for a transaction to be considered an export, it must involve clearance at a customs station, which was not satisfied in this case. The ruling highlighted the importance of following the established legal definitions and conditions for export as stipulated in the Income-tax Act. |
| Summary |
In the case of Swayam Consultancy (P.) Ltd. vs. Income Tax Officer, the Andhra Pradesh High Court addressed the interpretation of section 10B of the Income-tax Act, 1961, which pertains to export-oriented units. The court examined whether the delivery of goods to a foreign buyer's agent in India could constitute an export for the purposes of claiming tax deductions. The court concluded that actual export out of India is a prerequisite for claiming such deductions, and that mere delivery within India does not meet this requirement. This decision underscores the necessity of understanding the legal definitions surrounding export and compliance with the Income-tax Act's provisions. The case serves as a critical reference for businesses engaged in export activities, emphasizing the importance of adhering to the legal frameworks governing international trade and taxation. Key terms include export-oriented units, Income-tax Act, deductions, and customs regulations. |
| Court |
Andhra Pradesh High Court
|
| Entities Involved |
Not available
|
| Judges |
V.V.S. Rao,
Ramesh Ranganathan
|
| Lawyers |
M.V. J.K. Kumar,
A. Rajasekhar Reddy
|
| Petitioners |
Swayam Consultancy (P.) Ltd.
|
| Respondents |
Income Tax Officer
|
| Citations |
2011 SLD 2631 = (2011) 336 ITR 189
|
| Other Citations |
Central Coal Fields Ltd. v. State of Orissa [1992] AIR 1992 SC 1371,
CIT v. Silver and Arts Palace [2001] 248 ITR 69 (Raj.),
CIT v. Silver and Arts Palace [2003] 259 ITR 684 (SC),
ITO v. Vaibhav Textiles [2002] 258 ITR 346 (Raj.),
Ram Babu & Sons v. Union of India [1996] 222 ITR 606 (All.)
|
| Laws Involved |
Income-tax Act, 1961
|
| Sections |
10B
|