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2018 (5) TMI 1587 - AT - Income TaxRevision u/s 263 - Foreign Exchnage(FE) loss disallowance - Held that:- The loss on account of a FE fluctuation was not a contingent loss, as held by the CIT. The loss was not arising out of any speculative business. The FE loss was due to purchase of capital asset and same was not claimed by the assessee while computing the income under the normal provisions of the Act. We are of the opinion that order of the AO is neither erroneous not prejudicial to the interest of the revenue. We further hold that the loss is not of contingent nature and the direction of the CIT is contrary to the decision of the Hon'ble Supreme Court delivered in the case of in Woodward Governor India private Ltd. (2009 (4) TMI 4 - SUPREME COURT ). Accordingly, we allow second ground of appeal. MAT - Disallowance of production u/s. 80 IC in respect of voluntary transfer pricing adjustment undertaken by the assessee, invoking the provisions of section 92C(4) - Held that:- After considering the computation of total income under the normal provisions and the MAT provisions, we find that the order of the AO was not prejudicial to the interest of the Revenue, as disallowance of deduction u/s. 80 IC to the extent of ₹ 9, 86, 657/-did not affect the tax calculation. Therefore, we decide this ground of appeal in favour of the assessee.
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