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2018 (3) TMI 1083 - AT - Income TaxApplicability of section 44BB - non-resident earning income from the business of exploration etc. of mineral oils - Held that:- The assessee in the instant case has, admittedly, opted for the provisions of sub-section (3). In such a situation, income under the head ‘Profits and gains of business and profession’ is required to be computed with reference to the provisions contained in Chapter IV-D of the Act. It becomes eminent that all the revenue receipts of the assessee including the sum of ₹ 1.63 crore received from DDL on account of crew salary and related expenses of employees seconded and assigned to DDL, were required to be considered in the computation of business income and, then, the deduction for actual expenses was to be allowed. Assessee did not include ₹ 1.63 crore in its total income and claimed benefit of TDS from such receipts. We cannot countenance this type of treatment, when the assessee has opted to be governed by the mandate of section 44BB(3) of the Act, but all the revenue receipts and related expenses are not reflected. We, therefore, set aside the impugned order and remit the matter to the file of AO for deciding this issue afresh. In such fresh proceedings, the AO will, inter alia, take ₹ 1.63 crore as revenue receipt with corresponding deduction of actual expenses incurred by the assessee.- Decided in favour of revenue foe statistical purposes.
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