Case Law Details
Patel Infrastructure Pvt. Ltd. Vs DCIT (ITAT Rajkot)
The issue under consideration is whether contractors performing the work in the nature of a developer-cum-contractor are eligible to claim deduction u/s 80-IA(4) of the Income Tax Act, 1961?
ITAT states that even after the amendment by the Finance Act, 2007 and the Finance Act, 2009, the contractors performing the work in the nature of a developer-cum-contractor and assuming risks and responsibilities shall be eligible for deduction under section 80-IA in respect of the eligible infrastructural facilities. Hence the appeal of the assessee is allowed.
FULL TEXT OF THE ITAT JUDGEMENT
The captioned appeal has been filed by the Assessee against the order of the Ld. Commissioner of Income-Tax (Appeals)-1, Rajkot (in short “Ld. CIT(A)”) dated 12/09/2014 arising in the matter of assessment order passed under s. 143(3) of the Income Tax Act, 1961 (here-in-after referred to as “the Act”) dated 11/03/2013 relevant to Assessment Year (A.Y) 2010-11.
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Government should come out with proper clarification to avoid doubt. This judgement can be quoted in many EPC projects, where it will be very difficult to differentiate.