TMI Blog2005 (1) TMI 29X X X X Extracts X X X X X X X X Extracts X X X X ..... under section 35B - - - - - Dated:- 4-1-2005 - Judge(s) : R. K. AGRAWAL., P. KRISHNA. JUDGMENT The Income-tax Appellate Tribunal, Delhi has referred the following question of law for the assessment year 1979-80 under section 256(1) of the Income-tax Act, 1961 (hereinafter referred to as "the Act") for opinion to this court: "Whether on the facts and in the circumstances of the case, the assessee could be termed as an industrial undertaking entitled for the deduction under section 35B of the Income-tax Act, 1961?" The facts giving rise to the present case are as follows: The assessee-respondent is an exporter and he exported articles made of brass and claimed relief under section 35B(1A) of the Income-tax Act, 1961. He claimed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... with the provision of technical know-how, to persons outside India; and (b) the expenditure referred to in that sub-section is incurred by the assessee wholly and exclusively for the purposes of the business referred to in sub-clause (i) or, as the case may be, sub-clause (ii) of clause (a) Explanation.-For the purposes of this sub-section, (a) 'small-scale exporter' means a person who exports goods manufactured or produced in any small scale industrial undertaking or undertakings owned by him: Provided that such person does not own any industrial undertaking which is not a small scale industrial undertaking; (b) 'Export House Certificate' means a valid Export House Certificate issued by the Chief Controller of Imports and Exports ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... trial undertaking" or undertakings "owned by him". The phrase "owned by him" is very important so far as section 35B of the Act is concerned. We have interpreted the aforesaid Explanation and have held that to claim weighted deduction under section 35B of the Act, the assessee should own the industrial undertaking to become a "small scale exporter" in Income-tax Reference No. 34 of 1986-0rient Arts and Crafts v. CIT [2005] 279 ITR 581 (All) decided on December 1, 2004. We have carefully considered the orders of the learned Assistant Commissioner and that of the Tribunal. None of them had recorded a finding that the assessee-respondent owned any industrial undertaking. They have been swayed by the consideration that the assessee is a man ..... X X X X Extracts X X X X X X X X Extracts X X X X
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