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2021 (10) TMI 560 - AT - Income TaxDeduction u/s. 80IA(4)(iv) on gross total income - computing the total income of the assessee - gross total income of eligible business including income from capital gain and Income from other sources - in assessee's case includes income from capital gain and income from other sources whereas as per sec. 80IA(1), the said deduction is envisaged out of profit and gains from the eligible business only - whether CIT(A) has erred in concluding that gross total income of eligible business includes also income from capital gain and Income from other sources? - non-obstente clause appearing in section 80IA(5) - HELD THAT:- Once income had been determined by applying the methodology as provided in Section 80HHC(3), the question of restricting the deduction in terms of Section 80AB would not arise. That in Section 80AB(2) of the Act, the restriction of deduction is on gross total income and in such circumstances, restriction on the total profit of business was not at all justified. This decision of the Hon‟ble Bombay High Court squarely covers the issue in favour of the assessee and in view thereof, the Ld. CIT(Appeal) has provided relief to the assessee. That even before us, the Ld. DR fairly conceded that the issue is covered by the aforesaid decisions of the Hon‟ble Bombay High Court in V M Salgaocar & Brothers [2015 (4) TMI 1108 - BOMBAY HIGH COURT] in favour of the assessee.
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