S. 254(1) : Appellate Tribunal- Additional ground on question of law can be raised before Tribunal even in second round of appeal – Royalty received from overseas subsidiary from Egypt shown as taxable in the original return of income – Though the issue of taxability was not raised in the first round of appeal, additional ground was raised before the Tribunal in the second round of appeal – Tribunal allowed the claim and set aside the matter for verification- DTAA-India – Egypt [ Art. 13 ]
Royalty received from overseas subsidiary from Egypt shown as taxable in the original return of income Though the issue of taxability was not raised in the first round of appeal, additional ground was raised before the Tribunal in the second round of appeal. Tribunal allowed the claim and set aside the matter for verification. Followed Lekshmi Traders v.CIT ( 2014) 367 ITR 551 (Ker) (HC). ( ITA No. 3289/Mum/2015 dt.11-01 2017 )