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2016 (6) TMI 1320 - AT - Income TaxDetermining income under section 44BB - Receipts on account of service tax were includible in the gross receipts for the purpose of determining income under section 44BB - Receipts on account of VAT were includible in the gross receipts for the purpose of determining income under section 44BB - Held that:- As decided in DIT vs. Mitchell Drilling International Pvt [2015 (10) TMI 259 - DELHI HIGH COURT] for the purpose of computing the presumptive income for the purpose of section 44BB of the Act, the Service Tax collected by the assessee on the amount paid to it for rendering services is not to be included in the gross receipt in terms of sub section 44BB(2) and 44BB(1) and concluded that Service Tax is not an amount paid or payable or received or deemed to be received by the assessee for the services rendered by it and the assessee is only collecting the service tax for passing it to be Government, the Hon’ble Delhi High Court also considered the Circular No. 4/2008 dated 28.04.2008 of the CBDT which clarifies that the service tax paid by the tenant does not pertake a nature of the income of the landlord and that landlord only collecting tax for government for collecting income tax. In Oceaneering International GMBH (2015 (11) TMI 1546 - ITAT MUMBAI), the Co-ordinate Bench of this Tribunal while considering the issue, whether service tax collected by the assessee-company does not have any element of income and cannot be form part of the gross receipt for the purpose of computing the presumptive income of the assessee u/s. 44BB of the Act and after considering the almost identical fact answered the issue in favour of the assessee,
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