https://www.taxtmi.com/caselaws?id=410989 Expenses attributable to a foreign branch, including establishment and maintenance costs, must be excluded from both export turnover and total turnover when computing the Section 10A/10B deduction, because the statutory formula would otherwise become unworkable and distort the result. Telecommunication, freight, insurance and similar expenses attributable to export business must likewise be excluded from total turnover in the same proportion as from export turnover. The deduction under Section 10A/10B is to be allowed at the Chapter IV computation stage and is not nullified by prior set-off of brought forward depreciation or losses under Chapter VI. The Revenue's objections were rejected and the assessee's treatment was upheld. en-us Tue, 03 Aug 2021 00:00:00 +0530 Sat, 14 Aug 2021 09:27:46 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=410989 Expenses attributable to a foreign branch, including establishment and maintenance costs, must be excluded from both export turnover and total turnover when computing the Section 10A/10B deduction, because the statutory formula would otherwise become unworkable and distort the result. Telecommunication, freight, insurance and similar expenses attributable to export business must likewise be excluded from total turnover in the same proportion as from export turnover. The deduction under Section 10A/10B is to be allowed at the Chapter IV computation stage and is not nullified by prior set-off of brought forward depreciation or losses under Chapter VI. The Revenue's objections were rejected and the assessee's treatment was upheld. Case-Laws Income Tax Tue, 03 Aug 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=410989