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TMI Blog1980 (8) TMI 116X X X X Extracts X X X X X X X X Extracts X X X X ..... 973-74 for which relevant previous year ended on31st March, 1973. 2. The two questions which have been proposed for reference by the ld. CIT, Delhi-III,New Delhipertain to the allowance of weighted deduction u/s 35B. 3. It appears that the assessee was acting as a broker for businessmen who wanted to buy or sell ships and also for the foreign shippers who wanted to give their ships on charter ba ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The ITO rejected the assessee's claim. According to the ITO the expenditure which qualified for weighted deduction u/s 35B was to be expenditure incurred outsideIndiafor the development of export market for Indian goods and the relief was not meant for any expenditure incurred inIndiafor export business except where such expenditure was incidental to the activities outsideIndia. In this connection ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rom commission payable by the ship owner on the completion of the contract. Having regard to the nature of the business of the assessee, the ld. AAC felt that the ITO had rightly rejected the assessee's claim for weighted deduction. 6. Before the Tribunal it was urged tht as a ship broker the assessee was providing services and facilities for the export of goods outsideIndiaand for that purpose i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... service had been allowed by the Tribunal. Taking an overall view of the fact the Tribunal came to the conclusion that the expenditure claimed by the assessee was covered by the sub-cls. (i) (ii) & (iv) and also the amount claimed a small proportion of the total expenditure, it was quite reasonable. 7. On these facts, the ld. Commr. has proposed for reference to the Hon'ble High Court the followin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rovided by the assessee. Having found these facts the Tribunal held that the assessee was entitled to weighted deduction under these sub clauses. No application of legal principles is involved. The issue are concluded by the facts found by the Tribunal. Hence no question of law fit for reference to the Hon'ble High Court arises. We, therefore, dismiss the reference application. 8. In the result, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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