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2016 (1) TMI 891 - AT - Income TaxEligibility for deduction u/s 10AA - CIT(A) allowed the claim - Held that:- It is required to examine many factual aspects relating to the claim of the assessee by duly considering the submissions of the assessee, books of accounts of old and new M/s H.K.Jewels, the books of accounts of the assessee, the terms and conditions relating to Letter of Permission etc. With regard to the labour charges also, we notice that the Ld CIT(A) has not examined the crucial aspect, i.e., whether the claim of the assessee that the labour charges were received in foreign exchange is correct or not. Further, we notice that the various case laws referred to by Ld CIT(A) relate to the goods manufactured by the assessee by outsourcing, where as, in the instant case, M/s Vaibhav Gems Ltd has outsourced the production activities to the assessee. Hence those case laws would apply to M/s Vaibhav Gems Ltd and not to the assessee. To this extent, in our view, Ld CIT(A) has misdirected himself. Hence, this issue also requires fresh examination. There should not be any dispute that the law can be applied correctly only, if the relevant facts are very much clear. The foregoing discussions show that there is no clarity on facts of the present case and hence they need to be brought on record correctly. In view of the above, we set aside the orders passed by Ld CIT(A) in all the three years under consideration and restore all the issues to the file of the assessing officer with the direction to examine the issue afresh from all the angles that may be required. - Decided in favour of revenue for statistical purposes.
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