Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2017 (4) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (4) TMI 1067 - HC - Income TaxEntitlement to exemption u/s 80-HH and 80-I - Held that:- There is a finding recorded by Tribunal that Assessee conceded and it could not quantify actual amount of expenditure attributable to due unit it is entitled for deduction under Section 80HH and 80-I of Act 1961. That be so, the amount of deduction claimed by Assessee also has rightly been held unacceptable inasmuch as income of new unit cannot be said to have been correctly computed by Assessee. A.O., therefore after making appropriate computation has allowed deduction of modified amount. In view of admission on the part of Assessee's representative that it could not quantify actual amount of expenditure attributable to the new unit, wrong computation of profit of new unit was also evident hence Assessee could not have claimed deduction for the amount it had not correctly computed. The aforesaid question therefore, answered against Assessee. Commission payable to M/s OECC Ltd. - Held that:- In normal course what has been claimed by Assessee justify an answer in its favour but in particular facts and circumstances of the case and that too when it is admitted that even subsequently the amount has neither been claimed by M/s OECC nor paid by Assessee. Hence the factum that it was really shown as accrued itself, become suspicious and doubtful unless Assessee show that the said accrual is genuine and followed. We find no reason to take a view in favour of Assessee. In the present case, at the time of assessment order, it is admitted position that amount of claim towards deduction, though such deduction was neither claimed by OECC nor paid by Assessee. Therefore, Assessing Authority found this amount as ingenuine or fictitious entry or inflated entry.In these facts and circumstances, we are of the considered view that even this question would justify an answer against Assessee
|