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Section 80-IB of the Income-tax Act, 1961 - Deductions - Profits and gains from industrial undertakings other than infrastructure undertakings - Assessment year 2006-07 - Casual and contractual workers working in direct supervision and control of assessee would be considered 'worker' for purpose of section 80-IB [In favour of assessee] The Assessing Officer had denied deduction under section 80-IB to the assessee on the ground that the assessee had not employed ten or more workers. On appeal, the Commissioner (Appeals) allowed assessee's appeal holding that considering casual and contractual workers, the assessee had employed 10 or more workers. The Tribunal upheld the order of the Commissioner (Appeals). Held that casual or contractual worker are workers. The requirement of section 80-IB is that the undertaking should have employed 10 or more workers. An undertaking employs a worker when it has control over him not only with regard to the work done by him but also over the manner in which the work is performed. The Commissioner (Appeals) and the Tribunal held that the workers including casual and contractual workers were working in the direct supervision and control of the assessee. They were paid salary by the assessee as shown in the salary register produced before the Assessing Officer. In view of the findings recorded by the appellate authority and the Tribunal, the assessee was entitled to deduction under section 80-IB. CASES REFERRED TO CIT v. Jyoti Plastic Works (P.) Ltd. [2011] 339 ITR 491/203 Taxman 546/16 taxmann.com 172 (Bom.) (para 5). JUDGMENT 1. The Revenue in this appeal under section 260A of the Income-tax Act, 1961 ("the Act", for short), impugns the order dated February 18, 2011, passed by the Income-tax Appellate Tribunal ("the Tribunal", for short) in I. T. A. No. 2148(Del.)/2010 in the case of M/s. Nanda Mint and Pine Chemicals. The appeal pertains to the assessment year 2006-07. 2. The Assessing Officer had denied deduction under section 80-IB of the Act on the ground that the respondent-assessee had not employed ten or more workers. The Commissioner of Income-tax (Appeals) and the Tribunal have held to the contrary. 3. The learned…

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