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W.P (C) 577/2007
JAGUAR INTERNATIONAL LTD. Petitioner
Through Mr. Amol Sinha and Mr Naveen Kumar, Advs.
JAGUAR OVERSEAS LTD. Petitioner
Through Mr. Anurag Ahluwlia, CGSC with Ms. Tejaswati, Adv. for UOI
HON'BLE MR. JUSTICE CHANDER SHEKHAR
03.07.2018 These writ petitions challenge constitutional vires of Sections 3 and 4 of the Taxation Laws (Amendment Act), 2005, amending
Section 80HHC (3) of the Income Tax Act, 1961 with retrospective effect from 01.04.1992. (1
ORDER
2. The petitioners are entitled to partly succeed in view^nd in terms of the judgment of the Supreme Court in Commissioner of 2018:DHC:8728-DB Income Tax-5 and Anr. vs. Avani Exports and Am., f2016) 16 SCC 741, substantially affirming the decision of Gujarat High Court in Avani Exports v. CIT (2012) 348ITR 391. Impugned amendment to the extent they impose conditions and had limited and restricted benefit to exporters having a turnover of niore than Rs.lO crores per annum have been quashed and declared ultra vires. Retrospective amendment would not be detrimental to any ofthe assessees. The Supreme Court decision also refers to the statement made on behalf of the Union of India by the Attorney General of India and then had substituted the direction given by the Gujarat High Court with the following direction:- "Having seen the twin conditions and since Section 80- HHC benefit is not available after 1-4-2005, we are satisfied that cases of exporters having a turnover below and those above Rs.lO crores should be treated similarly. This orderis in substitution of thejudgmentin appeal." The ratio and directions given by the Supreme Court in Avani Exports (supra) will equally, applyto the present writ petitions, which are accordingly allowed in terms ofthe said decision. There would be not order as to costs. JULY 03,2018 b SANJIV KHANNA, J Q CHANDBk SHEKHAR, J