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2007 (3) TMI 306 - AT - Income TaxComputation Of Total Turnover - expenses incurred in foreign exchange for providing technical services outside India - Whether, in absence of the definition of the term "total turnover" in s. 10A, it should be interpreted by having recourse to the definition of the term "export turnover" furnished in the section? - HELD THAT:- It has also been pointed out that the deduction has to be computed under sub-s. (4) on the basis of the ratio of "export turnover" to the "total turnover". In the case of Sudarshan Chemicals Industries Ltd.[2000 (8) TMI 73 - BOMBAY HIGH COURT], a similar question confronted the Hon'ble Bombay High Court u/s 80HHC. The definition of the "export turnover", in s. 10A excludes from its ambit any expenses incurred in foreign exchange in providing technical services outside India. In view of the decision in the case of Sudarshan Chemicals Industries Ltd., such expenses will have to be included (sic-excluded) from the total turnover also. Therefore, we are of the view that the learned CIT(A) was right in holding that the total turnover shall not include expenses incurred in foreign exchange in providing technical services outside India - In result, the appeal is dismissed.
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