TMI Blog2013 (5) TMI 664X X X X Extracts X X X X X X X X Extracts X X X X ..... nt that with regard to the issue of miscellaneous income and interest income, there was no dispute with the AO’s treatment of the same as being part of business income. Consequently, the contention sought to be raised on behalf of the revenue that the miscellaneous income and interest income should be excluded does not arise at all. This is so because the assessing officer had treated the same as part of business income of the assessee - no question of law arises for our consideration. - ITA 21/2013 & ITA 20/2013 - - - Dated:- 10-5-2013 - Badar Durrez Ahmed And Vibhu Bakhru,JJ. For the Appellant : Mr N. P. Sahni For the Respondent : Mr M. P. Rastogi with Mr K. N. Ahuja JUDGMENT Badar Durrez Ahmed, J (Oral) 1. These ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion (baa) after sub-section (4) of Section 80HHC. The contention of the revenue is that in computing the deduction under section 80HHC, the same should have been reduced by the extent of miscellaneous income and interest income as the same cannot be considered to be part of export profits. This is where the misunderstanding on the part of the revenue lies. The so called miscellaneous income and interest income, in the present case, have never been regarded as part of the export turnover. They constitute part of the profits of business. The Assessing Officer, in the present case, has accepted the fact that the miscellaneous income and the interest income were part of the business income of the assessee. Once that is accepted, they would cons ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he grievance of the respondent/assessee was only with regard to limiting the deductions to 30% of the above figure of Rs. 81,01,803/- by invoking Section 80HHC (1B) while computing the book profit under Section 115JB. That issue is no longer in dispute in view of the decision of the Supreme Court in the case of Ajanta Pharma v. CIT: 327 ITR 305 (SC), where it was made clear that 100% of the deduction would be allowable. Therefore, the Assessing Officer was wrong in allowing only 30% of the deduction allowable under Section 80HHC for the purposes of computing book profits under Section 115JB. 4. It is, therefore, apparent that with regard to the issue of miscellaneous income and interest income, there was no dispute with the Assessing Offi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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