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2018 (8) TMI 1947 - ITAT MUMBAICharacterization of income - Sales tax incentive received - revenue or capital receipt - HELD THAT:- CIT(A) has noticed that the Tribunal had followed its decision rendered in the case of M/s Narendra Vegetable Products P Ltd [2015 (7) TMI 1298 - ITAT NAGPUR] in this regard. Before ld CIT(A), the assessee has also placed reliance on the decision rendered by Special Bench of Tribunal in the case of Reliance Industries ltd [2003 (10) TMI 255 - ITAT BOMBAY-J] which was also followed in the case of NarendraVegetable Products P Ltd. Accordingly, the Ld CIT(A) has held that the sales tax incentive, being a capital receipt, cannot be assessed to tax. Sales tax incentive, being a capital receipt, should be excluded from Net profit, while computing Book profit u/s 115JB - HELD THAT:- We hold that the capital receipts in the form of sales tax incentive should be excluded from net profit for the purposes of computing book profit u/s 115JB..................... M/S. ALOK INDUSTRIES LTD. VERSUS DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-6 (2) , MUMBAI = TMI Pending - ID = 1771689
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