https://www.taxtmi.com/caselaws?id=22531 HC held that for deduction under s.80HH in respect of a new industrial undertaking in a backward area, the relevant base is the "profits and gains derived from the industrial undertaking," not the assessee's gross total income computed under ss.30-43A. Even if the gross total income is reduced or becomes nil after other statutory adjustments, the s.80HH deduction must be calculated on the actual profits of the eligible undertaking. As the ITO had determined such profit at Rs. 55,641, deduction was to be allowed on that amount, not on Rs. 40,641, and the question was answered against the Department. en-us Tue, 02 Jul 1991 00:00:00 +0530 Mon, 08 Dec 2025 13:04:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=22531 HC held that for deduction under s.80HH in respect of a new industrial undertaking in a backward area, the relevant base is the "profits and gains derived from the industrial undertaking," not the assessee's gross total income computed under ss.30-43A. Even if the gross total income is reduced or becomes nil after other statutory adjustments, the s.80HH deduction must be calculated on the actual profits of the eligible undertaking. As the ITO had determined such profit at Rs. 55,641, deduction was to be allowed on that amount, not on Rs. 40,641, and the question was answered against the Department. Case-Laws Income Tax Tue, 02 Jul 1991 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=22531