Court No. - 37 Case :- INCOME TAX APPEAL No. - 76 of 2007 Petitioner :- The Commissioner Of Income Tax-Ii, Kanpur Respondent :- M/S Mirza Tanners Ltd. Petitioner Counsel :- R.K. Upadhyayay Hon'ble Rajes Kumar,J.
Hon’ble Subhash Chandra Nigam,J.
Heard Sri R.K.Upadhyaya, learned Standing Counsel and Sri S.D.Singh,
learned counsel appearing on behalf of the assessee.
At the instance of the Revenue, the following substantial question of law has
been raised:
“Whether on the facts and in the circumstances of the case, the Hon’ble
I.T.A.T. was justified in allowing the assessee’s claim of deduction u/s
80HHC of the Income tax Act, 1961 by placing reliance on the order of
the Hon’ble HIgh Court in the case of Sudarshan Chemical Industries
Ltd. Vs. C.I.T. (245ITR, 769), ignoring the order of the Hon’ble Supreme
Court in the case of Chowringee Sales Bureau Vs. C.I.T. (87 ITR 542)
wherein it has been held that the excise duty is to be included in the total
turnover for the purpose of computation of deduction U/s 80HHC of the
Income tax Act, 1961.?”
Sri R.K.Upadhyaya, learned Standing Counsel very fairly submitted that the
issue involved is now concluded by the decision of the Apex Court in the case
of Commissioner of Income tax Vs. Lakshmi Machine Works, reported in
290 ITR, 667 (SC), wherein it has been held by the Apex Court that the
excise duty and sales tax are to be excluded from the total turnover while
calculating the deduction under section 80HHC (3) of the Income tax Act and,
therefore, the view of the Tribunal is in accordance to the decision of the
Apex Court.
In view of the above, the appeal is dismissed.
Order Date :- 19.1.2010
R./