2001 (7) TMI 271

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....9,58,450 and Rs. 22,790 respectively. The assessments were completed under section 143(1)(a) accepting the income returned by the assessee for both the years. The assessee had claimed deduction under section 80HHC which was allowed in the assessments. 3. On verification of the records, the Commissioner of income-tax formed the opinion that the intimation made under section 143(1)(a) of the Income-tax Act, 1961 was erroneous and prejudicial to the interests of Revenue and, therefore, he invoked the jurisdiction invested in him under section 263. The Commissioner of Income-tax came to the above conclusion on the ground that the entire income of the assessee from the business was treated as income from exports while computing the deduction ....

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....mited. Under this section, the Assessing Officer is allowed to make certain adjustments to the income or loss declared in the return with respect to any arithmetical errors, accounts, documents, loss of carry forward deduction, allowance of relief on the basis of information available on record accompanying the return. Whether the profits arising on the sale of import licence in India can be considered for the purpose of section 80HHC deduction is not very much in dispute. The assessee's representative also submitted that the issue now stands squarely covered in favour of the assessee by the decision of the Patna Bench of the Income-tax Appellate Tribunal in the case of Rajendra Prasad & Co. v. CIT [1995] 52 ITD 142, wherein the Tribunal he....