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2016 (2) TMI 267 - ITAT MUMBAIInclusion of demobilization revenue in gross receipts for the purpose of computing tax u/s 44BB - Held that:- The view taken by the AO that the demobilisation revenue pertaining to the entire period of 36 days is includible in the revenue u/s 44BB of the Act is supported by the two decisions EMGS Project Office Vs. DDIT [2012 (11) TMI 584 - ITAT DELHI ] and CIT Vs. Sedco Forex International Drilling Inc [2007 (9) TMI 196 - UTTARAKHAND HIGH COURT ]. Accordingly, we do not find any infirmity in the decision taken by him on this issue and accordingly affirm the same. Rejection of claim for deduction of credit note issued - Held that:- We are of the view that the assessee is not entitled to claim deduction of ₹ 11.65 crores from the gross amount of the contract, since it is a case of adjustment of payments receivable/payable between the parties. Though it is stated that the deduction has been claimed to the extent of ₹ 7.96 crores, we notice that the assessee has actually claimed deduction of ₹ 11.65 crores. The claim of the assessee may be admissible, if the income is computed u/s 28 to sec. 43 of the Act. Since the income is computed as per the provisions of sec. 44BB of the Act and since the said section provides a deeming fiction for computing the profits and gains of provisions, the claim of the assessee is not admissible. Accordingly, we do not find any merit in the contentions of the assessee and accordingly reject the same. Interest u/s 234B and 234C - Held that:- We set aside this matter to the file of the assessing officer with the direction to compute the interest u/s 234B and 234C of the Act in accordance with the ratio laid down by the jurisdictional High Court in the case of NGC Network Asia LLC (2009 (1) TMI 174 - BOMBAY HIGH COURT ).
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