COMMISSIONER OF INCOME TAX LTU AND THE INCOME-TAX OFFICER (TDS) LTU Vs. M/S. KARNATAKA POWER TRANSMISSION CORPORATION LTD.

JUDGEMENT

(1.) THIS is an appeal by the Revenue under section 260 -A of the Income Tax Act, 1961 [for short 'the Act'] against the order passed by the Tribunal allowing the respondent -assessee's appeal and extending the relief to the assessee. Sri. K V Aravind, learned standing counsel appearing for the appellant -revenue submits that the question as to whether the contract awarded by the assessee to third party for erection, installation and execution of civil work of power lines and power stations was not composite contract and no TDS was liable to be deducted in respect of payments made by the assessee to the contractors for purchase of materials involved in the said contract etc., is a question which has been answered in favour of the respondent -assessee as per the Judgment dated 15.03.2012 rendered by another division Bench of this court in ITA No. 337/2011 in the case of 'Commissioner of Income Tax v. Karnataka Power Transmission Corporation Limited' and therefore this question having answered and gone against the appellant -revenue, so far as this court is concerned, this appeal will have to be dismissed as question is now covered as indicated earlier.

(2.) HOWEVER , Sri. K.V. Aravind, learned standing counsel appearing for the revenue submits that this is without prejudice to the stand taken by the revenue that the view taken by this court in the earlier case referred to above is not correct and without prejudice to pursuing the matter before the Supreme Court. It is open to the appellant -revenue to take such course of action as is available in law, but this appeal is dismissed.