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Issues:
Disallowance of deduction under section 80-IA of the I.T. Act for Achhad Unit-II. Analysis: The appeal was against the disallowance of deduction under section 80-IA of the I.T. Act for Achhad Unit-II. The assessee claimed a deduction of Rs. 1,10,70,072, which was challenged by the revenue. The search and seizure operation was conducted on group concerns of the assessee, alleging wrong deduction under section 80HH/80-IA of the I.T. Act. The Assessing Officer mixed facts of the present case with another case. The Assessing Officer alleged non-compliance by the assessee during assessment proceedings. The CIT(A) confirmed the disallowance due to non-appearance and non-production of books of account. The CIT(A) noted that no new substance was produced, and the number of workers employed was not more than 10. The Assessing Officer raised concerns about the eligibility of the claim under section 80-IA, including the non-production of necessary documents. The CIT(A) and Assessing Officer found that the conditions under section 80-IA were not fulfilled. The assessee provided detailed information regarding eligibility for the deduction, such as ownership status, machinery used, and number of workers employed. The assessee claimed to meet the conditions for the deduction under section 80-IA. The claim had been allowed in previous years, and the sister-concern's similar claim was also approved by the CIT(A) without any appeal from the revenue. The case was restored to the Assessing Officer for verification of compliance with section 80-IA provisions. In conclusion, the appeal was allowed for statistical purposes, and the matter was sent back to the Assessing Officer for further verification.
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