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2014 (9) TMI 569 - AT - Income TaxClaim of deduction u/s 80IB for Unit II – Held that:- Once the wire is cut and stripped after going through different process and testing an entirely new product comes which has a different utility which is being used in electronic industry for elevators - This wire harness has independent identity and can be sold in the market - This product no more remains the ordinary wire – thus, the contention of the assessee is accepted that Unit-II is engaged in manufacturing of a separate product - Both the units are having independent identity, manufacturing different products, having different machinery - They are not inter-dependent for manufacturing their product, therefore, it cannot be said that the units are not independent - The new unit has also not been formed by transferring to the new business machinery and plant previously used for any purpose - the CIT(A) has given a clear-cut finding that there are more than 10 employees employed in Unit-II in addition to the contract and casual labour – Decided against revenue.
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