Only companies are eligible for deduction u/s 80IA(4)

Brief of the Case

ITAT Chennai held In the case of The ACIT vs. Shri. B. Dhanasekaran that the enterprises carrying on development of the infrastructure facilities should be owned by a company or consortium of companies. The infrastructure facilities need not be owned by a company. It was held that the word ‘ownership’ is attributable only to the enterprise carrying on the business which would mean that only companies are eligible for deduction under section 80IA (4) and not any other individual person like proprietor, HUF, Firm etc.

Facts of the Case

The return of income for the assessment year 2009-10 was filed on a total income of Rs.28,83,467/- .The case was selected through CASS for scrutiny. Notices u/s.143 (2) and 142(1) were issued to the assessee. The Assessing Officer completed the assessment u/s.143 (3) on 27.12.2011 after making the disallowance of section 80-IA which was claimed as exemption of Rs.18,45,450/- to the returned income.

Contention of the Assessee

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