2014 (3) TMI 328

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....d by the Revenue arising from the order of learned CIT(A)-XX, Ahmedabad, dated 05.04.2010 and the grounds raised are reproduced below: "1. The Ld. CIT(A) has erred in law and on facts in directing the AO to grant deduction u/s. 80IB of the Act. 2. The Ld. CIT(A) has erred in law and on facts in not appreciating the fact that for the year under consider5ain, the limit was Rs.1 crore for SSI units....

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....as at Rs.2,95,14,990/-; hence, according to AO the said investment had exceeded the limit fixed for investment in plant and machinery. It was held that the assessee had ceased to be an SSI unit not eligible for deduction u/s. 80IB of the Act. The claim of deduction u/s.80IB of Rs.12,94,294/- was denied by the AO, which was challenged. 3. When the matter was carried before the learned CIT(A), a vi....

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....rpose of SSI at the commencement of the financial year was not exceeding the limit as prescribed under the Act and the assessee was entitled for deduction u/s. 80IB of the Act as the value of plant and machinery was of Rs.2,95,14,990/- i.e. well below the limit prescribed of Rs.3 crores. The AO while disallowing the claim of deduction u/s.80IB of the Act, has misinterpreted the status of the appel....

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.....2013, wherein vide paragraph 4 it was held as under: "4. Since there is no dispute about the fact that limit of investment in plant and machinery to SSI unit is of Rs. 5 crores and not Rs. i crore as per provisions of nB of Industries (Development and Regulation) Act, 1951 applicable to the assessee-eompany as small scale industries as provided in Micro to the Small and Medium Enterprises Develo....