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2012 (9) TMI 683 - AT - Income TaxMaintainability of appeals filed before Tribunal u/s 253 – Department file appeals for six A.Y in respect to claim of deduction u/s 80IA & 80IB - Held that:- As per the instruction of CBDT 3/2011 dated 09-02-2011 read with instruction No. 5/2008 dated 15-05-2008, the tax effect has been less than Rs. 3 lacs in each of four A.Y. Therefore, appeals filed by the department for four A.Y are not maintainable, falling within the purview of the aforesaid instructions. And for another two A.Y, following the decision of Bombay HC in case of Patel Stationers Pvt. Ltd. decided in favour of assessee. Hence all the six common appeal decided in favour of assessee Deduction u/s 80IA – Whether the “assembly” of sharpeners would qualify for the deduction u/s 80IA - Assembling of sharpener is a totally manual process and no machinery is required for the same – Held that:- Following the decision in case of Chiranjjeevi Wind Energy (2011 (1) TMI 421 - MADRAS HIGH COURT), there is no merit in the argument of AO that it is a “simple manual process”, which does not qualify for the deduction. It is so, because a manufacturing process shall always remain a manufacturing process even if that “simple process” brings into existence a distinct marketable product, and once a distinct product comes into being, by way of name, character and use, it would definitely qualify to come under the definition of manufacture. Appeal decided in favour of assessee
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