https://www.taxtmi.com/caselaws?id=63021 Section 80J relief was required to be recomputed after deducting liabilities from capital employed. Weighted deduction under section 35B was denied for interest on post-shipment credit, exchange difference, freight, forwarding and similar general export charges, but packing material used as export wrappers was to be examined separately and allowed to the extent attributable to that element; the remaining common expenses were allowed only to a limited extent where export nexus was shown. The industrial subsidy for backward-area units was treated as a capital receipt and did not reduce the actual cost of fixed assets. Cash compensatory support was held non-taxable as a capital receipt, while duty drawback, import entitlement proceeds and exchange fluctuation gains were treated as taxable revenue receipts. en-us Fri, 25 Mar 1988 00:00:00 +0530 Thu, 27 Jan 2011 13:04:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=63021 Section 80J relief was required to be recomputed after deducting liabilities from capital employed. Weighted deduction under section 35B was denied for interest on post-shipment credit, exchange difference, freight, forwarding and similar general export charges, but packing material used as export wrappers was to be examined separately and allowed to the extent attributable to that element; the remaining common expenses were allowed only to a limited extent where export nexus was shown. The industrial subsidy for backward-area units was treated as a capital receipt and did not reduce the actual cost of fixed assets. Cash compensatory support was held non-taxable as a capital receipt, while duty drawback, import entitlement proceeds and exchange fluctuation gains were treated as taxable revenue receipts. Case-Laws Income Tax Fri, 25 Mar 1988 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=63021