https://www.taxtmi.com/caselaws?id=456520 The ITAT Ahmedabad allowed the assessee's appeal regarding deduction under section 80IB. The tribunal found that the AO improperly allocated managerial commission and salary expenses to the Silvassa Unit II without establishing direct nexus, thereby reducing the eligible deduction. The tribunal noted that separate books were maintained for both units and the allocation was done compulsively rather than necessarily. The AO was directed to delete the reallocations and verify computations afresh, avoiding double inclusion of managerial commission and remuneration expenses already allocated as common expenses. en-us Tue, 28 Feb 2017 00:00:00 +0530 Wed, 31 Jul 2024 08:35:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=456520 The ITAT Ahmedabad allowed the assessee's appeal regarding deduction under section 80IB. The tribunal found that the AO improperly allocated managerial commission and salary expenses to the Silvassa Unit II without establishing direct nexus, thereby reducing the eligible deduction. The tribunal noted that separate books were maintained for both units and the allocation was done compulsively rather than necessarily. The AO was directed to delete the reallocations and verify computations afresh, avoiding double inclusion of managerial commission and remuneration expenses already allocated as common expenses. Case-Laws Income Tax Tue, 28 Feb 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=456520