TMI Blog1976 (11) TMI 109X X X X Extracts X X X X X X X X Extracts X X X X ..... . In respect of the remuneration received by him he appears to have submitted income-tax returns offering them as salary. For the asst. yr. 1970-71 in the original assessment order passed on 8th July, 1970 the income admitted appears to have been accepted. Subsequently on 29th Dec., 1970 the ITO appears to have passed an order under s. 154 allowing the assessee deduction under s,. 80 RR of the IT Act, 1961 on the assessee s application. For the subsequent two asst. yr.s, viz. 1971-72 and 1972-73 the ITO had passed assessment orders granting the deduction under s. 80RR. Subsequently for all the three years under appeal the ITO initiated action under s. 154 of the IT Act, 1961 for withdrawing the deduction under s. 80RR on the ground that in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Sanskrit Works" in India, that the assessee received the remuneration from the foreign Government in India in the exercise of his profession of research in India, that the result of this research was to be published under his authorship in the serial publications of the Institute and that in these circumstances there was no mistake apparent from the record. The AAC without going into the above grounds considered whether the assessee satisfied the requirement of s. 80RR. He observed that s. 80RR did not exclude income derived by way of salary. Observing further that the assessee had satisfied all the conditions mentioned in s. 80RR, he held that the assessee was entitled to the relief available under s. 80RR. 4. Aggrieved by the said conso ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sity and he had worked in various capacities in various educational Institutions in South Canara, West Bengal, Lahore and other places. He pointed out that from 1966 he was engaged in the descriptive catalogue for the Institute Francais D Indologie, Pondicherry for which publication he would be the author. In these circumstances he submitted that he has satisfied the requirements of s. 80RR and the ITO has passed the correct orders originally in granting the relief and no mistake had occurred in them. 5. I have carefully considered the rival submissions. It is common ground that the assessee was receiving remuneration from the Institute Francais D Indologie of the Government of Pondicherry. For the asst. yr. 1970-71 the income shown by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d the order on 29th Dec., 1970 on the assessee s application. Nearly four years later the succeeding ITO has initiated action under s. 154 to revise the aforesaid order passed by the ITO on the ground that there was a mistake apparent from the record. The only mistake that is alleged by the ITO is that in the returns filed by the assessee the income was shown under the head "Salaries" and assessed as such and, therefore, the assessee was not eligible for the relief under s. 80RR. The assessee had raised objections to the proposed revision setting forth the fact that he was engaged by the Pondicherry Government for the preparation of the descriptive catalogue and he was getting the professional income from the French Government for the resea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... idual, who is an author, includes any income derived by him in the exercise of his profession from the Government of a foreign State then he is entitled to a deduction of an amount equal to 25 per cent of the income so received. Undoubtedly in this case the gross total income of the assessee included income derived by him in the exercise of his profession as an author. The certificate issued by the French Government bear testimony to the above fact. Indeed the ITO while passing the order under s. 154 has not disputed this petition. I am unable to agree with the contention of the learned departmental representative that only if the remuneration received by the assessee from the foreign Government is salary he would be entitled to the relief ..... X X X X Extracts X X X X X X X X Extracts X X X X
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