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TMI Blog2016 (4) TMI 341X X X X Extracts X X X X X X X X Extracts X X X X ..... 37/Hyd/2015 - - - Dated:- 4-3-2016 - SMT P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER For The Revenue : Shri D. Srinivas For The Assessee : Shri P. Murali Mohan Rao ORDER PER S. RIFAUR RAHMAN, A.M.: Both these appeals are preferred by the Revenue against the orders of the learned Commissioner of Income-tax(Appeals)- IV, Hyderabad, both, dated 06/12/2014 for AYs 2010-11 and 2011-12. As identical issues are involved in both these appeals, they were clubbed and heard together, therefore, a common order is passed for the sake of convenience. 2 . To dispose of these appeals, we refer to the facts involved in AY 2010-11 being ITA No. 236/Hyd/2014. 3. Briefly the facts of the case a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t the assessee company was subject to provisions of the Central Excise Act, 1944 and excise duty was levied on the sales made by it only when there is a manufacture and the assessee company was engaged in the business of manufacturing and therefore is subject to levy of excise duty. It was further submitted that in the absence of any specific finding given on the nature of the granite blocks exported, it was not correct on the part of the AO to come to the conclusion that the assessee has partly exported rough/dressed granite blocks and partly cut granite slabs and that it does not tantamount to manufacture or production. 6. After considering the submissions of the assessee, the CIT(A) observed that the factual position regarding the d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ers, order dated 28/12/2012. 2. Madhucon Granites Ltd. in ITA No. 1908/Hyd/14 and others, order dated 22/01/2016. 10. We have heard the rival submissions and perused the material facts on record as well as the orders of revenue authorities. We have also carefully gone through the orders of the coordinate bench in the case of Madhucon Granites Ltd. We find that the issue is squarely covered by the decision of the coordinate bench in the said case wherein the coordinate bench has held as follows: 8. Coming to the main issue of allowing deduction u/s. 10B, as already stated above, the issue of allowing of 10B has already been crystallised by the orders of the ITAT in Assessee s own case in earlier years upto AY. 2006-07 dt. 28-12-20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d within the meaning of expression production . Therefore, the Assessee is entitled to the benefit u/s. 80HHC/ l0B of the Act. Further, the Chennai Bench of this Tribunal in the case of ACIT vs. M/s. .Janani Holdings, Chennai in ITA No. 1094/Mds/2010 vide order dated 25.2.2011 held that if the Assessee in the sales invoices described the exported goods as processed dimensional rough or crude granite and the granite has been processed into blocks and dressed by the Assessee and these were exported, because the Assessee described as rough blocks or crude block in sale invoices by which the Assessing Officer cannot deny the deduction u/s.l0B of the Act on the reason that granite has not been polished. Being so, the Assessee is entitled fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee s appeals are allowed with reference to allowing of 10B claim in all the impugned AYs. 2007-08 to 2011-12. As the issue in the present case is similar to that of the said case, respectfully following the decision of the coordinate bench, we uphold the order of the CIT(A) in allowing the assessee s claim of deduction u/s 10B of the Act. These Grounds of appeal of revenue are dismissed. 11. As regards the assessee s claim of additional depreciation of ₹ 89,51,641/-, the AO observed that the additional depreciation of ₹ 89,51,641//- claimed by the assessee u/s 32(1)(iia) on plant and machinery, mining equipment etc. are not eligible since the assessee is not involved in the business of manufacture or production of an ar ..... X X X X Extracts X X X X X X X X Extracts X X X X
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