ITAT Ahmedabad: Appeals allowed for deduction u/s 80HHC remanded for fresh adjudication

The Appellate Tribunal ITAT Ahmedabad allowed the assessee's appeals for statistical purposes, remanding the matter of deduction u/s 80HHC for the sale of DEPB licenses back to the Assessing Officer for fresh adjudication in light of recent judicial pronouncements, including decisions in Topman Exports vs. CIT, Eastman Industries vs. DCIT, and Avani Exports & Ors. The Tribunal granted the Miscellaneous Application, setting the cases for a new hearing following the Assessee's request and the Departmental Representative's non-opposition.

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Issues involved:
Claim of deduction u/s 80HHC in respect of sale of DEPB licenses.

Analysis:
The judgment by the Appellate Tribunal ITAT Ahmedabad pertains to the appellant's appeals against the order of Ld. CIT(A)-XVI, Ahmedabad dated 21-02-2008. The sole issue in all these appeals revolves around the claim of deduction u/s 80HHC concerning the sale of Duty Entitlement Pass Book (DEPB) licenses. Previously, the Hon'ble Tribunal had decided on this matter following the decision in the case of Eastman Industries Ltd. vs. Dy. CIT 120 ITD 362. However, a Miscellaneous Application (MA) was filed by the Assessee seeking a review of the order in light of the Hon'ble Apex Court decision in the case of Topman Exports vs. CIT (2012) 342 ITR 49 (SC) and Avani Exports & Ors. 348 ITR 391 (Guj). The Tribunal allowed the MA, leading to the cases being set for fresh hearing.

During the hearing, the counsel for the assessee requested that all appeals be remanded to the Assessing Officer (AO) for fresh adjudication considering the recent judicial pronouncements, including the decisions in Topman Exports vs. CIT, Eastman Industries vs. DCIT, and Avani Exports & Ors. The Departmental Representative (D.R.) did not oppose this request. Consequently, all appeals by the assessee were allowed for statistical purposes. The matters have been restored back to the file of the AO for fresh adjudication in light of the latest judicial pronouncements, specifically referencing the Hon'ble Apex Court decision in the case of Topman Exports and the jurisdictional High Court decision in the case of Avani Exports and Others.

In conclusion, the Appellate Tribunal ITAT Ahmedabad granted the assessee's appeals for statistical purposes, remanding the issue of deduction u/s 80HHC in relation to the sale of DEPB licenses back to the AO for fresh adjudication in consideration of recent judicial decisions.

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