JAGRAON EXPORTS vs.COMMISSIONER OF INCOME TAX

JAGRAON EXPORTS vs.COMMISSIONER OF INCOME TAX

SUPREME COURT OF INDIA

KURIAN JOSEPH & ROHINTON FALI NARIMAN, JJ.

CIVIL APPEAL NO. 5759 OF 2012, 5760 OF 2012, 5761 OF 2012, 5762 OF 2012, 5763 OF 2012, 5764 OF 2012, 5765 OF 2012, 5766-5771 OF 2012, 5772 OF 2012, 2531 OF 2013, 10916 OF 2013

Feb 18, 2016

(2016) 95 CCH 0058 ISCC

Legislation Referred to

Section 80HHC

Case pertains to

Asst. Year

Decision in favour of:

Assessee

Deduction u/s 80HHC—Deduction in respect of profits retained for export business—Inclusion of proceeds generated from sale of scrap in total turnover—Authority held that sale proceeds generated from sale of scrap would be included in total turnover for purpose of deduction u/s 80HHC—Held, in case of Commissioner of Income Tax Vs. Punjab Stainless Steel Industries & Ors. reported in [2014] 364 ITR 144 (SC) it was held that sale proceeds generated from sale of scrap would not be included in total turnover for purpose of deduction u/s 80HHC—Following above, assessee’s Appeal was allowed

Held

In the recent decision of SUPREME COURT in Commissioner of Income Tax Vs. Punjab Stainless Steel Industries & Ors. reported in [2014] 364 ITR 144 (SC) it has been held that sale proceeds generated from the sale of scrap would not be included in the total turnover for the purpose of deduction under Section 80HHC of the Income Tax Act, 1961. The appeals allowed in terms of the judgment referred to above

(Paras 2 and 3)

Conclusion

Sale proceeds generated from the sale of scrap would not be included in the total turnover for the purpose of deduction u/s 80HHC of the Income Tax Act, 1961.

In favour of

Assessee

Cases Referred to

Commissioner of Income Tax vs. Punjab Stainless Steel Industries & Ors. reported in [2014] 364 ITR 144 (SC)

Counsel appeared:

for the Petitioner.: for the Respondent

KURIAN, J.

1. The issue in these appeals pertains to the question whether the proceeds generated from the sale of scrap would be included in the total turnover.

2. In the recent decision of this Court in Commissioner of Income Tax Vs. Punjab Stainless Steel Industries & Ors. reported in [2014] 364 ITR 144 (SC) it has been held that sale proceeds generated from the sale of scrap would not be included in the total turnover for the purpose of deduction under Section 80HHC of the Income Tax Act, 1961.

3. The appeals are allowed in terms of the judgment referred to above.

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