Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2023 (9) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (9) TMI 258 - KARNATAKA HIGH COURTDeduction u/s 80JJAA - computation of number of days [300 days or more] for new regular workman is to be employed - Period of 300 days should fall within the same Finacial Year or May fall within two FYs for consecutive period? - HELD THAT:- Section 80JJ-AA is an incentive extended to the industries. Parliament has subsequently amended the period of 300 days to 240 days in case of other industries and 150 days in the case of apparel industries, by inserting a proviso with effect from 01.04.2017 In Texas Instruments [2021 (4) TMI 1049 - KARNATAKA HIGH COURT] this court has held that if an employer were to have the workmen on or after 5th June, he would not be entitled for claiming the benefit. It is also noted that in another similar case, Bosch Ltd, [2016 (11) TMI 375 - ITAT BANGALORE] ITAT has held that the assessee therein was entitled to the benefit of the said provision so long as employee had worked for 300 days, even if the said period was split into two blocks namely, assessment year or financial year. After considering the aspect of working for 300 days in the previous year, this Court in Texas Instruments has held that period of 300 days could be taken into consideration both in the previous and succeeding years for the purpose of availing the benefit u/s 80JJAA of the Act and it is not required that workmen works for 300 days in the previous year relevant to assessment year. Thus the order passed by the A.O. and confirmed by the appellate authorities is unsustainable in law - Decided in favour of assessee.
|