Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2003 (7) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2003 (7) TMI 68 - HC - Income Tax"1. Whether the Tribunal was right in holding that even if there is no positive 'average adjusted total income' under Explanation (ii) to section 44C, the provisions of clause (a) of section 44C are applicable and, consequently, no deduction was allowable? - 2. Whether in the absence of positive income under clause (a) of section 44C, head office expenses would be allowed in accordance with the lower limits under clauses (b) and (c) of section 44C of the Income-tax Act ignoring clause (a)?" - Question No.1 is answered in the affirmative, i.e., in favour of the Department and against the assessee. In this case, we have held that the adjusted total income for the assessment year in question was nil and, therefore, the Income-tax Officer was right in allowing nil expense as the least of the three parameters mentioned in clauses (a), (b) and (c) of section 44e. This finding is based on the facts of this case. Consequently, question No.2 need not be answered.
|