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2022 (6) TMI 461 - HC - Income TaxDeduction u/s 80HHC - Exclusion of royalty income received from the subsidiary company - AO rejected the claim of the appellant, after having held that royalty income claimed by them is not arising out of any business activity related to export and it is incidental in nature and hence, 90% of the royalty income was reduced from the profit of the business for computation of deduction under section 80HHC - HELD THAT:- Applying the ratio laid down in the aforesaid decision viz.Shiva Distilleries Ltd's case [2007 (2) TMI 103 - HIGH COURT, MADRAS] which is squarely applicable to the facts of the present case, wherein, there is no concrete material produced by the appellant / assessee to prove that the royalty income received from the subsidiary company, are related to export business, this court is of the view that the Tribunal has rightly directed the assessing officer to exclude the royalty income from the business profits for the purpose of calculation of deduction under section 80HHC of the Act, which warrants no interference. - Decided against assessee.
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