TMI Blog2010 (11) TMI 957X X X X Extracts X X X X X X X X Extracts X X X X ..... partment of the Government has not given no Objection to the assessee. If it is so, then, it cannot be said that the assessee is running a hotel which is outside the norms prescribed by the Pollution Department. If a plain reading is given to Item No.15 reproduced above, then, eco-tourism inter alia include hotels. No material has been brought on record to show that eco-tourism status has been granted to any other hotel and which status assessee does not have. If the logic applied by the AO and CIT (A) is made applicable, then, the hotels which are not having the alleged eco-tourism status cannot be held to be entitled to deduction u/s 80-IC. If none of the hotels can be granted deduction u/s 80-IC, then, the Item No.15 of Part C of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... transfer of a new business of machinery or plant previously used for business. And sub-section (5) no deduction shall be allowed under any other provision of the Chapter VIA or section 10A and 10B of the Act in computing the total income of the assessee. and the appellant is not hit by either of these provisions. 3. Because the learned first appellate authority failed to consider the fact that the term ECO-FRIENDLY has no where been defined under the Income Tax Act, and its true import has to be culled out from various circumstances which vary from case to case. The provision speaks of ECO-TOURISM including hotels, and not eco tourism only. 4. Because the learned first appellate authority failed to consider the true import and inten ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h deduction. Learned CIT(A) has confirmed the decision of AO by relying upon the rules of interpretation known as Noscitur a sociis and Ejusdem Generis . 3. The issue was argued at large by the learned counsel for the assessee. He submitted that the hotel being situated in the state of Uttarakhand and having the valid license to run the hotel activity is to be considered eligible for the purpose of deduction u/s 80IC and therefore, AO as well as CIT(A) both were wrong in denying such exemption to the assessee. 4. On the other hand, learned DR relying upon the order of the AO and CIT(A) vehemently pleaded that the action of CIT(A) should be confirmed as CIT(A) has covered all the aspects which were argued by the learned AR of the as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction and Item No.15 of Part C of the Fourteenth Schedule, it can be observed that what is eligible for deduction is eco-tourism which include inter alia hotels. It has been the contention of the assessee that his hotel is approved by the Government. The hotel cannot be approved by the Government without obtaining No Objection from the Pollution Department. There is no material on record to show that Pollution Department of the Government has not given No Objection to the assessee. If it is so, then, it cannot be said that the assessee is running a hotel which is outside the norms prescribed by the Pollution Department. If a plain reading is given to Item No.15 reproduced above, then, eco-tourism inter alia include hotels. No material has b ..... X X X X Extracts X X X X X X X X Extracts X X X X
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