CES ONYX Pvt. Ltd. Vs ACIT (ITAT Chennai)
ITAT Chennai held that disallowance of claim under section 80IA(4) of the Income Tax Act justified since assessee is engaged in only collection and transportation of solid wastes and is not engaged in operating and maintaining sold waste management system.
Facts- The effective ground of appeal in these appeals of assessee is against confirming the disallowance of the claim u/s. 80IA(4) of the Income Tax Act, 1961 in respect of infrastructure facility in the form of solid waste management made by the Assessing Officer in the assessment order.
Conclusion- Held that the assessee admittedly is engaged in only collection and transportation of solid wastes. The Solid Waste Management refers to the systematic collection, segregation, storage, transportation, processing and disposal of municipal solid wastes. The scope of work clearly stipulates that the assessee is not operating and maintaining solid waste management system but engaged only for part of activities of solid waste management system as work contract. We, therefore of the opinion that the assessee is not engaged in the business of carried out infrastructure facility in the form of solid waste management system.
FULL TEXT OF THE ORDER OF ITAT CHENNAI
Aforesaid four appeals filed by the assessee for Assessment Years (AYs) 2004-05 to 2007-08 arises out of the orders of Learned Commissioner of Income Tax, Chennai-1 [hereinafter “CIT(A)”] dated 27.03.2009 & Ld. CIT(A)-4, Chennai dated 30.01.2020.
