2017 (4) TMI 616

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..... scussion we have held that the assessee is entitled for deduction u/s 80HH and 80I of the Act on the part of income earned from manufacturing activities. However, for want of adequate material on the record of the Tribunal, it is not possible for us to calculate quantum of deduction and thus we find it appropriate to send the issue for limited purposes i.e. for calculation of deduction u/s 80HH on .....

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..... facts for the periods in question and render specific findings having regard to the objective material as to the proportion, if any, of manufacturing and construction undertaken by the assessee, as a part of its track laying and construction activities for which it claimed the benefit of Section 80HH of the Income Tax Act, 1961. Counsel for the Revenue endeavoured to submit that the ITAT s deci .....

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..... otal turnover of the assessee it could not be said the assessee not engaged in manufacturing activity. In the provision of 80HH of the Act, as noted above, it is mandated that where the total gross income of an assessee includes any profits and gains derived from an industrial undertaking then this section of deduction applies. In the present case also the gross total income of the assessee includ .....

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..... anufacturing activities may be placed before the competent authority to discharge onus cast upon the assessee to substantiate its claim of deduction. The Ld. CIT (DR) has objected to above submissions of assessee by contending that when there is not separate accounts then and details and amount of income from small and insignificant manufacturing are not on record then it would be futile exercise .....

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..... 80HH on the income earned from manufacturing activities during the relevant periods under consideration for all five assessment years. Hence, we direct the AO to calculate the quantum of deduction for all the five assessment years under consideration. This Court is of the opinion that the pointed and specific nature of the directions of the ITAT was sufficient to allay any doubt of the Reve .....

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