https://www.taxtmi.com/caselaws?id=219397 A unit that had obtained provisional and permanent SSI registration and commenced production before the revised investment threshold continued to qualify as a small scale industrial undertaking, so the Section 80IB deduction was allowed. The disallowance under Section 40(a)(ii) based on tax deducted by Sikkim authorities required fresh factual verification because the record did not show whether the levy was truly a tax on business profits or merely a rough deduction, and the issue was remitted for reconsideration. The expenditure treated as penalty was disallowed, as the assessee produced no material to show that the levy was not penal in character or otherwise allowable. en-us Fri, 28 Sep 2012 00:00:00 +0530 Thu, 13 Dec 2012 12:15:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=219397 A unit that had obtained provisional and permanent SSI registration and commenced production before the revised investment threshold continued to qualify as a small scale industrial undertaking, so the Section 80IB deduction was allowed. The disallowance under Section 40(a)(ii) based on tax deducted by Sikkim authorities required fresh factual verification because the record did not show whether the levy was truly a tax on business profits or merely a rough deduction, and the issue was remitted for reconsideration. The expenditure treated as penalty was disallowed, as the assessee produced no material to show that the levy was not penal in character or otherwise allowable. Case-Laws Income Tax Fri, 28 Sep 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=219397