TMI Blog2017 (8) TMI 359X X X X Extracts X X X X X X X X Extracts X X X X ..... as Ltd. vs. ACIT [2012 (4) TMI 345 - ITAT INDORE] - Decided in favor of assessee. - ITA No.3006/Del/2015 - - - Dated:- 9-12-2016 - SHRI S.V. MEHROTRA, ACCOUNTANT MEMBER For The Appellant : Shri Satish Khosla, Adv. For The Respondent : Shri F. R. Meena, Sr. DR ORDER PER S.V. MEHROTRA, A.M : This is an appeal filed by the assessee against the order dated 25.03.2015 passed by the Commissioner of Income Tax (Appeals)-13, New Delhi, u/s 143(3) of the Income Tax Act, 1961 (in short the Act ) relating to assessment year 2010-11. 2. Brief facts of the case are that during the year under consideration, the assessee firm was engaged in the business of export of handicraft items. It had filed its return of income d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng aggrieved with the order of ld. CIT(A), assessee is in appeal before the Tribunal and has taken following grounds of appeal :- 1. On the facts and circumstances of the case and in law the ld. CIT(A)'s has erred in upholding the act of AO in denying appellant deduction of section 10B on duty drawback amount of ₹ 19,93,742/ - received by the appellant. 2. On the facts and circumstances of the case and in law ld. CIT(A) has acted against the principles of judicial propriety by ignoring the binding decision of the jurisdictional High Court on similar issue in the case of M/s XLNC FASHIONS. 3. On the facts and circumstances of the case and in law the ld. CIT(A) has acted against the principles of judicial propriet ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rt incentives, therefore, the claim ultimately allowed by the AO was found to be justified which was also endorsed by Special Bench in that case. 18. On careful consideration of factual matrix of the present case, we are of the considered opinion that the issue in question related to allowability of the duty drawback stand squarely covered in favour of the assessee by the order of the jurisdictional High Court of Delhi in the case of CIT vs. Hritnik Export (P) Ltd. (Supra), wherein their lordships speaking for the Jurisdictional High Court of Delhi after considering and approving the ratio of the decision of Special Bench in the case of Maral Overseas Ltd., (Supra) have held that as per section 28, (clause (iiic) of the Act any duty o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d that the ld. CIT(A) was right in holding that the benefit of the ratio of decision of Hon'ble Apex Court in the case of Liberty India (Supra) is not allowable for the Revenue in determining the claim of the assessee u/s 10B of the Act. The ld. CIT(A) was right in holding that section 10B(4) of the Act is a complete code which provides a formula/mechanism for computing the profits of the business eligible for deduction u/s 10B of the Act and in view of the decision of Special Bench in the case of Maral Overseas Ltd. (Supra) the present assessee was rightly held to be eligible for the claim of deduction on the export incentive received by it as per provision of section 10B (I) r.w.s. 10B(4) of the Act. 20. On the basis of foregoin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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