Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2014 (4) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (4) TMI 1127 - HC - Income TaxEntitlement for deduction under Section 80IB - Held that:- The CIT(A) as well as the Tribunal had recorded that the assessee concern was entitled for deduction under Section 80IB of the Act at the rate of 25% and therefore, the effective rate of taxation was 22.5%. It was further noticed that in the case of sister concern, the rate of taxation was 30%. It was also observed that in such circumstances, there was no incentive for the assessee to make sales to the sister concern M/s Darshan Udyog at lower rate. The said finding has not been shown to be perverse or erroneous in any manner being finding of fact and thus does not call for any interference by this Court under Section 260A of the Act. Reference to section 80IB of the Act shows that only requirement for its applicability is deriving of income from business referred to in sub sections (3) to (11), (11A) and (11B) of the Act, apart from other conditions with which we are not concerned. It is not the case of the revenue that the business of the assessee does not fall under sub sections (3) to (11), (11A) or (11B) of the Act. The assessee is at liberty to do manufacture for itself or for others, which makes no difference for purposes of section 80IB of the Act. See Commissioner of Income-tax Versus Impel Forge and Allied Industries Limited [2008 (12) TMI 370 - PUNJAB & HARYANA HIGH COURT ]
|