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TMI Blog2018 (10) TMI 1392X X X X Extracts X X X X X X X X Extracts X X X X ..... s extended the period of obligation cast upon the exporters to receive and bring convertible foreign exchange in India within twelve months from the date of export. Thus, deduction under s.10A of the Act cannot be denied where the extended parameters for realization of export proceeds as set out by the competent authority has been duly met. Therefore, the claim of the assessee towards exemption/deduction under s.10A of the Act requires to be upheld on first principles. However, it will be open to the AO to verify whether the export proceeds have been received within twelve months from the date of export in tune with Master Circular. The issue is therefore resolved in favour of the assessee on principles. Appeal of the assessee is allowed fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ct and denied exemption on profits attributable to convertible foreign exchange brought into India after six months from the end of the relevant financial year. The CIT(A) also sustained the action of the AO in first appeal. Addressing the controversy, the learned AR referred to provisions of Section 10A(3) of the Act and submitted that an assessee undertaking is eligible for deduction / exemption under s.10A if the sale proceeds of articles or things or computer software exported out of India are received in or brought into India by the assessee in convertible foreign exchange within a period of six months from the end of the previous year or within such further period as the competent authority may allow in this behalf. The learned AR poi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e have been received or brought into India after six months from the end of the financial year but within the extended period allowed by the competent authority namely RBI in terms of Master Circular of general nature. A perusal of the Master Circular clearly shows that the competent authority has extended the period of obligation cast upon the exporters to receive and bring convertible foreign exchange in India within twelve months from the date of export. Thus, in our view, deduction under s.10A of the Act cannot be denied where the extended parameters for realization of export proceeds as set out by the competent authority has been duly met. Therefore, the claim of the assessee towards exemption/deduction under s.10A of the Act requires ..... X X X X Extracts X X X X X X X X Extracts X X X X
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