Law:

Section:

2007] 292 ITR 651 [2007] 161 TAXMAN 28 (KAR.) HIGH COURT OF KARNATAKA Commissioner of Income-tax, Karnataka - I* v. Global Corporation Ltd. R. GURURAJAN AND N. ANANDA, JJ. IT APPEAL NO. 127 OF 2001 DECEMBER 8, 2006 Section 80HHC of the Income-tax Act, 1961 - Deductions - Exporters - Assessment year 1996-97 - Whether relief under section 80HHC is available only in event of no loss in export business - Held, yes FACTS Though the assessee incurred loss from export business, the Assessing Officer allowed the relief under section 80HHC.The Commissioner, noticing that the said order was prejudicial to the interest of the revenue, issued notice under section 263. Thereafter, an adverse order was passed by the Commissioner. The Tribunal, however, allowed the assessee's claim. On appeal : HELD In light of of the Supreme Court in IPCA Laboratory Ltd. v. Dy. CIT [2004] 266 ITR 521/ 135 Taxman 594 , the revenue was right in contending that the relief under section 80HHC is available only in the event of no loss in export business. Therefore, the Tribunal was not correct in law in setting aside the order passed in the assessee's case under section 263 by holding that the relief under section 80HHC should be allowed even in a case, where there was loss from export business. [Para 7] CASES REFERRED TO CIT v. A.V. Thomas & Co. Ltd. [1997] 225 ITR 29/ 93 Taxman 695 (Ker.) [Para 6], CIT v. V.T. Joseph [1997] 225 ITR 731/ 91 Taxman 311 (Ker.) [Para 6], CIT v. Smt. T.C. Usha [2004] 266 ITR 497/[2003] 132 Taxman 297 (Ker.) [Para 6], CIT v. Shirke Construction Equipments Ltd. [2000] 246 ITR 429/ 112 Taxman 311 (Bom.) [Para 6], IPCA Laboratories Ltd. v. Dy. CIT (No. 1) [2001]251 ITR 401/[2003] 127 Taxman 7 (Bom.) [Para 6] and IPCA Laboratory Ltd. v. Dy. CIT [2004] 266 ITR 521/ 135 Taxman 594 (SC) [Para 6]. M.V. Seshachala and E.R. Indra Kumar for the Appellant. S. Parthasarathi for the Respondent. ORDER R. Gururajan, J. - Revenue aggrieved by the order of the Tribunal dated 29-12-2000 passed in IT Appeal No. 398 of 2000 in relation to the assessment year 1996-97 is before us. 2. Assessment was concluded under section 143(3) of the Income-tax Act, 1961 ('the Act' for short) by…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492