https://www.taxtmi.com/caselaws?id=68944 Foreign currency expenditure incurred for services provided outside India must be excluded from both export turnover and total turnover while computing deduction under section 10A. Although section 10A expressly defines export turnover to exclude freight, telecommunication charges, insurance and such foreign currency expenditure, it does not separately define total turnover. The provision, being a beneficial export incentive, must be construed consistently so the exclusion from export turnover is not neutralised by inclusion in total turnover. A contrary interpretation would dilute the intended relief and distort the computation formula. The issue was therefore decided in favour of the assessee. en-us Fri, 15 Jun 2007 00:00:00 +0530 Fri, 09 Feb 2024 14:45:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=68944 Foreign currency expenditure incurred for services provided outside India must be excluded from both export turnover and total turnover while computing deduction under section 10A. Although section 10A expressly defines export turnover to exclude freight, telecommunication charges, insurance and such foreign currency expenditure, it does not separately define total turnover. The provision, being a beneficial export incentive, must be construed consistently so the exclusion from export turnover is not neutralised by inclusion in total turnover. A contrary interpretation would dilute the intended relief and distort the computation formula. The issue was therefore decided in favour of the assessee. Case-Laws Income Tax Fri, 15 Jun 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=68944