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2019 (4) TMI 1154 - AT - Income TaxDisallowance of deduction claimed u/s. 80IB in respect of gumbased unit - HELD THAT:- In the assessment order under appeal, the AO did not make any analysis of the transfer price and has simply held that artificial profits in the case of Buddi Unit, have been created. Since it is a settled issue that the deduction 80IB is to be allowed, even if the goods produced by any eligible unit are capitively consumed, the AO’ observation that Buddi Unit is not eligible for deduction u/s. 80IB was not upheld by the Ld. CIT(A). As regards, section 80IA(8) and the transfer price of the goods, the facts in the year, under appeal, are same as in AY 2003-04. CIT(A) has by following the order of the Tribunal as well as the earlier order of the Ld. CIT(A) in respect of assessment year 2003-04, as aforesaid has rightly held that disallowance made by the AO was not confirmed even on the alternative reasoning which the AO had taken in AY 2003-04 and allowed the appeal of the assessee, which does not need any interference. There is no illegality or infirmity in the finding of the Ld. CIT(A) on the issues in dispute, hence, we uphold the action of the Ld. CIT(A) on the issue in dispute and reject the ground raised by the Revenue.
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