9911796707
TMI Blog2014 (1) TMI 1137X X X X Extracts X X X X X X X X Extracts X X X X ..... the impugned assessment year by holding that the activities undertaken by the Assessee cannot be regarded as manufacture more particularly when there is no change in the facts and circumstances of the case of the Assessee - Decided against Revenue. Deduction u/s 10B - Held that:- As per section 10B(4) - The deduction available u/s 10B(1) will be the amount which bears to the profit of the business of the eligible undertaking the same proportion as the export turnover bears to the total turnover - The scrap sale is part of the profit of the business of the undertaking - The CIT(A) has rightly re-calculated the exemption available to the Assessee u/s 10B(4) by including the sale of the scrap in the profits of the business of the undertaki ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dt. 13.9.2013 in which this Tribunal has held as under : "3.3 We have heard the rival contentions of both the parties. Looking to the facts and circumstances of the case, we find that the Assessee is engaged in manufacturing of machine components vis- -vis spares, compressor parts, nozzle rings and other turbo machinery parts. The Assessee is located in industrially backward area as notified in 8th Schedule of the Act and claimed deduction u/s 80IB(4) of the Act for A.Y. 2006-07 and this is the third year of the claim. The claim of the Assessee for A.Ys 2004-05 and 2005-06 have been allowed. During the course of hearing the ld. AR was asked whether in A.Y. 2004-05 the Department had objected or re-opened the assessment order. The ld. AR ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in accordance with Sec. 10B(4) by applying the formula to the profit from the business multiplied by export turnover to the total turnover. The AO did not accept the computation made by the Assessee but the AO reduced out of the profit from the business, amount relating to the sale of scrap and then computed the deduction u/s 10B. 5.1 We have heard the rival submissions and carefully considered the same. We have also gone through the provisions of Sec. 10B(4). This section stipulates as under : "(4) For the purposes of sub-section (1), the profits derived from export of articles or things or computer software shall be the amount which bears to the profits of the business of the undertaking, the same proportion as the export turnover in ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
