TMI Blog2022 (6) TMI 1241X X X X Extracts X X X X X X X X Extracts X X X X ..... 09 - SUPREME COURT] held not good law and reversed) Hence, keeping in view, the latest judgment of the Hon ble Supreme Court allowing 100% deduction u/s 80IC on substantial expansion of the unit, the appeals of the assessee are hereby allowed. - ITA Nos. 3566 And 3567/Del/2019 - - - Dated:- 27-6-2022 - Sh. A.D. Jain, Vice President And Dr. B. R. R. Kumar, Accountant Member For the Assessee : None For the Revenue : Sh. K.A. Manu, Sr. DR ORDER PER DR. B. R. R. KUMAR, ACCOUNTANT MEMBER: ** The assessee filed letter of adjournment which has been rejected owing to the grounds involved. These appeals by the assessee are against the separate orders passed by the ld. CIT(A)-12, New Delhi, dated 28.12.2018, relat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... giving 25% deduction in place 100% deduction claimed by the assessee u/s 80IC of the Act, as the relevant year under consideration is the 6th year of operation for the asessee, whereas section 80IC of the Act state that 100% deduction is available only for first initial 5 assessment year thereafter only 25% deduction is allowed. In this regard, it is hereby submitted as under: I. The assessee is the partnership firm carrying business of manufacturing of printing machine, and its parts, printing plates, blades and injection moulded parts, mould, at District Baddi (Himachal Pradesh) which is Special economic Zone(SEZ). Hence the entire income earned by the assessee firm is allowable as deduction under section 80ICofthe LT. Act. I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Investment in Plant and Machinery Percentage(%) during previous year 01.04.2011 13502298.04 10092626.00 74.74% 4. The above table depict the assessee firm made the substantial expansion as define by the provision of the section 80IC and hence, the assessee claimed eligibility for deduction u/s80IC of the act. The asseseee relied upon the verdict of Income Tax Appellate Tribunal Delhi bench in case of Triputi LPG Industries Limited wherein it was held that an assessee owns a manufacturing unit in Himachal Pradesh, completes substantial expansio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on 20-02-2019. Wherein, it was held an assessee availing exemption of 100% tax on setting up of a new industry, which is admissible for 5 years, and either on the expiry of 5 years or thereafter (but within 10 years) from the date when these assessees started availing exemption, they carried out substantial expansion of its industry, from that year the assessees become entitled to claim exemption @ 100% again (Classic Binding Industries 407 ITR 429 held not good law and reversed) 9. Hence, keeping in view, the latest judgment of the Hon ble Supreme Court allowing 100% deduction u/s 80IC on substantial expansion of the unit, the appeals of the assessee are hereby allowed. 10. In the result, the appeals of the assessee are allowed. O ..... X X X X Extracts X X X X X X X X Extracts X X X X
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