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2016 (8) TMI 97 - HC - Income TaxMethod of computation of deductions under Section 80HHC(3) - ITAT directing AO not to deduct the amount in respect of disclaimer certificate issued by the assessee under the proviso to sub-section (1) of Section 80HHC of the Act and directing the Assessing Officer to allow the assessee’s claim for deduction - Held that:- Cconsidering the decision of the Honble the Supreme Court in the case of Jeyar Consultant and Investment Pvt. Ltd (2015 (4) TMI 195 - SUPREME COURT ), the question, which is raised in the present appeal is required to be answered in favour of the assessee. We are not giving any elaborate reasons for the same as in the case of Jeyar Consultant and Investment Pvt. Ltd (Supra) it is held by Hon’ble the Supreme Court that if there is net profit from the export business, after adjusting the losses from one type of export business against profits from another type of export business, the benefit of the provision would be granted. The Tribunal is justified in deducting the loss from the gross profit and the benefit is rightly granted on the basis of net profit. Since the supporting manufacturer has made loss, there is no question of claim being made by assessee. Accordingly, the question is answered against the appellant – revenue and in favour of the assessee.
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