TMI Blog2011 (1) TMI 1482X X X X Extracts X X X X X X X X Extracts X X X X ..... 7,73,95,960. The learned CIT, on perusal of the assessment order, was of the opinion that the order passed by the Assessing Officer is erroneous inasmuch as the same is prejudicial to the interests of Revenue for the reasons the assessee has deducted ₹ 46,30,916 on account of telecommunication cost attributable to delivery of exports and ₹ 2,13,65,784 in foreign currency for providing services outside India, from the total turnover. The assessee company had deducted these expenses for working out the admissible deduction under section 80HHE in accordance with the provisions of the Act but no such deductions were made while computing admissible deduction under section 10A/10B which has resulted in excess deduction under section 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of telecommunication expenses and other expenses incurred in foreign exchange regarding the delivery of articles or things or for providing technical services outside India have been excluded from the export turnover and total turnover relating to 10A and 10B units. As per provisions of Section 10A and 10B, there is no provision made for excluding such expenses from the total turnover and the definition provided u/s.80HHC cannot be applied to the provisions of Section 10A and 10B. Therefore, the Assessing Officer's action in not making proper enquiries regarding such expenses has led to an erroneous assessment and the same is prejudicial to the interest of the Revenue. The assessee's contention that only expenses relating to 10A a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to modify the order passed by the learned CIT inasmuch as the order of the learned CIT under section 263 is legally wrong and relied on the decision of the Tribunal rendered in ITA no.6477 and 6478/ Mum./2007, in the case of Jewel Enterprises v/s ITO. Learned Departmental Representative, on the other hand, relied on the order of the learned CIT(A). 7. We have heard the rival submissions, perused the orders of the lower authorities and the materials available on record. We find that in the case of ACIT v/s M/s. Atos Origin (India) P. Ltd., i.e., in assessee's own case, in assessment year 2002-03, where the question was as under:- 1. On the fact and the circumstances of the case and in law, the Ld. CIT(A), erred in directing the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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