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TMI Blog2019 (2) TMI 373X X X X Extracts X X X X X X X X Extracts X X X X ..... T MADHUMITA ROY, JUDICIAL MEMBER For The Appellant : Shri Mukund Bakshi, A.R. For The Respondent : Shri T. C. Meena, Sr. D.R. ORDER PER WASEEM AHMED, ACCOUNTANT MEMBER: The captioned appeal has been filed at the instance of the Assessee against the order of the Commissioner of Income Tax (Appeals) 2, Vadodara [CIT(A) in short] vide appeal no.CAB/(A)-2/189/15-16 dated 06.12.2016 arising in the matter of assessment order passed under s.143(3) of the Income Tax Act, 1961(here-in-after referred to as the Act ) dated 28.10.2015 relevant to Assessment Year (AY) 2012-13. 2. The grounds of appeal raised by the assessee are as under:- 1. The Ld CIT(A)-2, Vadodara has erred in law and on facts in confirmin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... efly stated facts are that the assessee is a private limited company and engaged in the business of processing of fruit juices. The AO during the assessment proceedings has disallowed the following expenses. i) Interest on TDS 7,191 ii) Interest on Excise Duty 7,634 iii) Excise duty on other expenses 15,07,036 iv) Late payment of Emp Contribution to PF u/s 36(1)(va) 5,68,943 Total 20,90,804 5.1 The above disallowance of the expenses were added to the total inc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case on behalf of the assessee that the assessee is eligible for corresponding deduction under s.80IB(11A) on account of disallowances made in the assessment 40A(3) and 43B of the Act since the eligible profit stood enhanced due to such disallowance. 5. As submitted on behalf of the assessee, we find that CBDT has addressed the aforesaid issue in favour of the assessee as per its Circular no.37/2016 dated 2nd November, 2016. As per the aforesaid circular, the Board has accepted the proposition that disallowances so made under s.40A(3), 43B etc. of the Act related to business activity would be eligible for chapter VI-A deduction in view of the enhancement of the profits of the eligible business. In view of the CBDT Circular, the contr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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