Foreign visitor sales in India qualify as export sales for deduction under section 80HHC

The Rajasthan HC ruled that sales to foreign visitors in India can be considered export sales for deduction under section 80HHC, following a precedent set by the SC in CIT v. Silver & Arts Palace. The Court decided in favor of the assessee over the revenue in the reference under section 256(2) of the Income-tax Act, 1961.

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The Rajasthan High Court, in a judgment on a reference under section 256(2) of the Income-tax Act, 1961, ruled that sales made to foreign visitors at the assessee's counter in India can be treated as export sales for the purpose of allowing deduction under section 80HHC. The decision is based on a previous ruling by the Apex Court in the case of CIT v. Silver & Arts Palace. The Court answered the reference in favor of the assessee and against the revenue.

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