https://www.taxtmi.com/caselaws?id=312334 The ITAT Delhi ruled that service tax should be excluded from gross receipts when computing presumptive income under Section 44BB. Following precedents from Delhi HC in Mitchell Drilling International and Uttarakhand HC in DIT International Taxation v. Schlumberger Asia Services, the tribunal held that service tax, being a statutory levy, does not constitute income of the assessee. The court emphasized that only amounts paid for actual services in mineral oil prospecting, extraction, or production qualify as deemed income under Section 44BB, not statutory reimbursements like service tax. Decision favored the assessee against revenue. en-us Thu, 25 Nov 2021 00:00:00 +0530 Mon, 12 Feb 2024 19:49:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=312334 The ITAT Delhi ruled that service tax should be excluded from gross receipts when computing presumptive income under Section 44BB. Following precedents from Delhi HC in Mitchell Drilling International and Uttarakhand HC in DIT International Taxation v. Schlumberger Asia Services, the tribunal held that service tax, being a statutory levy, does not constitute income of the assessee. The court emphasized that only amounts paid for actual services in mineral oil prospecting, extraction, or production qualify as deemed income under Section 44BB, not statutory reimbursements like service tax. Decision favored the assessee against revenue. Case-Laws Income Tax Thu, 25 Nov 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=312334