9911796707
TMI Blog2016 (2) TMI 1266X X X X Extracts X X X X X X X X Extracts X X X X ..... his income at Rs. 3,40,140/- after claiming deduction u/s 80-IB of the Act, to the tune of Rs. 1,62,96,414/-. During scrutiny proceedings, the AO noticed that the assessee had wrongly claimed this excess deduction u/s 80-IB, instead of the amount of Rs. 1,57,94,227/-. It was observed that as such the assessee had claimed excess deduction of Rs. 5,02,189/- u/s 80-IB of the Act. On query, the assessee stated that this amount did not represent any other income but it represented expenses disallowed from the profit & loss account and that the said addition had been made on account of disallowance u/s 40(a)(ia) of the Act, for non-deduction of TDS on payments of Rs. 5,02,189/- concerning loading and unloading expenses. The AO observed that the d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e. Therein, reliance has been placed on the decision of the Amritsar Bench of the Tribunal in the case of "Sun Pharmaceuticals", passed on 11.06.2010, in ITA No.184(Asr)/2009, for the assessment year 2005-06. 6. In the impugned order, the ld. CIT(A) has observed that in "DCIT vs. Ramesh Bhatia C. Prajapati", the Ahmedabad Bench of the Tribunal, in ITA No.226 of 2010, had held that it is a settled principle that the deeming fiction created under any provision of the Act cannot be imported into a beneficial provision of the Act; that the addition made by the AO on account of disallowance of expenditure is due to the deeming fiction created by the penal section 40(a)(ia) of the Act; that thus, the effect of the same cannot be imported into a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mandate that where any deduction is required to be made or allowed under any law, included in this Chapter under the heading, "C.- deductions in respect of certain income" in respect of any income of the nature specified in that section, which is included in the gross income of the assessee, then, notwithstanding anything contained in that section, for the purpose of computing deduction under that section, the amount of income of that nature as computed in accordance with the provisions of this Act ( before making any deduction under this Chapter) shall alone to be deemed to the amount of income of that nature which is derived or received by the assessee and which is included in his gross total income. 8. The decision of the Tribunal in t ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
