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2015 (8) TMI 1484 - ITAT AHMEDABADAmount disclosed by the assessee during the course of survey as eligible for grant of deduction under section 80IB(10) - HELD THAT:- As decided in M/S. SHREE PADMAVATI DEVELOPERS [2012 (9) TMI 977 - ITAT AHMEDABAD] that manufacturing and sale of Board paper and craft paper happened to be the only source of income of the assessee, therefore the amount disclosed consequence upon the search partakes the character of business income and eligible for the deduction u/s.80IB/80IA of the I.T.Act. In the present case, the assessee has admitted that the impugned amount was part of the sale consideration received in cash at the time of booking of flats and, therefore, the amount had direct and proximate connection with the normal business of construction activity, hence eligible for the deduction u/s.80IB(10) Also as decided in M/S. SHETH DEVELOPERS (P) LTD. [2012 (8) TMI 159 - BOMBAY HIGH COURT] no question of application of section 68, 69 and 69A, 69B and 69C of the said Act arises as the same has not been invoked by the Department. It is an admitted position between the parties as reflected even in the order the Assessing officer that undisclosed income was in fact received by the respondent in the course of carrying out its business activities as a builder. The same was returned by the respondent as income arising from profits and gains of business or profession and the same was accepted by the department unlike in the matter of Fakir Mohmad Haji Hasan [2000 (8) TMI 44 - GUJARAT HIGH COURT] We are of the opinion that the issue in dispute is squarely covered in favour of the assessee by the above decision. The ld.First Appellate Authority has rightly considered the amount disclosed by the assessee during the course of survey as eligible for grant of deduction under section 80IB(10) of the Income Tax Act. Accordingly, this ground of appeal of the Revenue is dismissed.
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