Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2013 (11) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2013 (11) TMI 428 - MADRAS HIGH COURTWhether net conversion charges' has to be included under clause (baa) of explanation to Section 80 HHC of the Act in the adjusted business profits for computation of deduction – Held that:- Reliance has been placed on the judgments in the cases of ACG Associated Capsules Pvt.Ltd. vs. Commissioner of Income Tax [2012 (2) TMI 101 - SUPREME COURT OF INDIA] and CIT vs. K.Ravindranathan Nair (2007) [2007 (11) TMI 10 - Supreme Court of India], wherein it was held that the processing charges formed part of the gross total income as an independent income like Rent, Commission, brokerage, etc. Consequently, 90% of the said sum has to be reduced from the gross total income, to arrive at the business profits – Thus, Net conversion charges included for computation of deduction u/s 80HHC – Decided against the Revenue.
|