https://www.taxtmi.com/caselaws?id=265551 FTC on income exempt under s.10A: construing s.90(1)(a)(ii) (post-FA 2003) with the India-USA DTAA, the HC held Art.25 does not require tax payment in India as a precondition; credit is allowable for US federal/state taxes paid on such income, and rejection for want of a revised return was impermissible once particulars were furnished; FTC was allowed. Under the India-Canada DTAA, Art.23 requires the same income be taxed in both jurisdictions; where s.10A exempts it in India, FTC is unavailable; the disallowance was sustained to that extent. Unavailed MODVAT credit is not "income" u/s 2(24) until availed; deletion of taxability was upheld. Director commission, being part of salary, had to be allocated to the relevant unit; disallowance impacting s.10A benefit was set aside. AMC and monitor profits directly linked to manufactured computers were eligible u/s 80-IB (excluding separately traded items); revenue's exclusions were set aside, and certain issues were remanded for fresh computation. en-us Wed, 25 Mar 2015 00:00:00 +0530 Wed, 31 Dec 2025 18:24:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=265551 FTC on income exempt under s.10A: construing s.90(1)(a)(ii) (post-FA 2003) with the India-USA DTAA, the HC held Art.25 does not require tax payment in India as a precondition; credit is allowable for US federal/state taxes paid on such income, and rejection for want of a revised return was impermissible once particulars were furnished; FTC was allowed. Under the India-Canada DTAA, Art.23 requires the same income be taxed in both jurisdictions; where s.10A exempts it in India, FTC is unavailable; the disallowance was sustained to that extent. Unavailed MODVAT credit is not "income" u/s 2(24) until availed; deletion of taxability was upheld. Director commission, being part of salary, had to be allocated to the relevant unit; disallowance impacting s.10A benefit was set aside. AMC and monitor profits directly linked to manufactured computers were eligible u/s 80-IB (excluding separately traded items); revenue's exclusions were set aside, and certain issues were remanded for fresh computation. Case-Laws Income Tax Wed, 25 Mar 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=265551