1997 (1) TMI 18 - HC - Income Tax

Summary

The High Court of Punjab and Haryana heard a case regarding the deduction under section 80P(2)(a)(iv) of the Income-tax Act for a co-operative marketing society's income from the sale of fertilizers to its members. The Assessing Officer reduced the exempt income claimed by the society, but the Tribunal allowed exemption on the gross income without deducting expenses. The court directed the Tribunal to refer the question of whether exemption should be allowed on the gross profit after deducting proportionate expenses under section 80P(2)(a)(iv) of the Income-tax Act.