2016 (6) TMI 695

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Regulation Act. 2. Brief facts of the case are that the assessee company, which is engaged in the business of Information Technology and I.T. enabled serviced, filed its e-return of income for A.Y 2011-12 on 28.09.2011 admitting total income at Rs. 75,71,170 under the normal provisions and book profit u/s 115JB at Rs. 1,67,63,185. During the assessment proceedings u/s 143(3) of the I.T. Act, the AO observed that the assessee has claimed export turnover at Rs. 3.71 crores and worked out deduction u/s 10B at Rs. 94,74,578 and the same was claimed. He observed that as per the provisions of section 10B of the Act, the deductin for an 100% EOU has to be approved by the Board appointed on behalf of the Central Govt. He observed that in the case ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... us. 3. The learned DR has placed reliance upon the CBDT instructions No.2 of 2009 dated 9.3.2009 wherein it was clarified that section 10B of the Act provides for exemption of income, in case of 100% EOUs subject to fulfilment of prescribed conditions i.e. ratification of the approval granted by the Development Commissioner by the Board of Approvals. It was stated that an approval granted by the Development Commissioner in the case of 100% EOU will be considered valid once such an approval is ratified by the Board of Approval for the EOU scheme. He also placed reliance upon the decision of the Hon'ble Delhi High Court in the case of CIT vs. Regency Creations Ltd (2013) (353 ITR 0326). 4. The learned Counsel for the assessee, on the o....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ed 7.9.2006, a clarification is issued by the Department of Information Technology, Govt. of India that no further ratification of approvals issued by the Directors of the STPI Unit is required from the Inter-Ministerial Standing Committee (IMSC). Thus, according to the learned Counsel for the assessee, the Board of Approval have been substituted by IMSC and it has been clarified that the ratification is not required from IMS and hence the assessee cannot be denied the deductions u/s 10B of the Act. The learned Counsel for the assessee has also filed before us the copies of a number of judgments of the Hon'ble High Court of Andhra Pradesh and also the Hon'ble Gujarat High Court and decisions of the various Benches of this Tribunal h....