TaxTMI 
TaxTMI 
2002 (8) TMI 95
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....relevant assessment year is 1991-92. The facts of the case are as follows: The assessee is a partnership firm engaged in export of marine products. The assessee filed a return of income for the assessment year 1991-92 on March 27, 1992, declaring taxable income of Rs. 19,800 which was processed under section 143(1)(a) of the Income-tax Act (hereinafter referred to as "the Act"). Thereafter, the Assessing Officer issued notice under section 148 of the Act and the assessment was completed under section 143(3) determining the total income of Rs. 17,58,230. 2. While working out the deduction under section 80HHC, the assessee has included export bills amounting to Rs. 11,10,377 which have not been realised before six months from the ....
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....y objection to the assessment was rejected. So also, the Appellate Tribunal rejected the contention regarding the two amounts, namely Rs. 11,10,377 and Rs. 15,23,037. The Tribunal accepted the two other contentions of the assessee. The first contention was that the Assessing Officer was not correct in denying proportionate deduction under section 80HHC of the Act on Rs. 11,10,377. The next ground raised before the Tribunal was that as the appellant was not able to realise the export proceeds of Rs. 11,10,377, the entire amount should have been allowed as deduction in the computation of the total income. The Tribunal gave a direction to the Assessing Officer to exclude the amount while computing the income under the head "Business". The othe....
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....tion shall be deemed to be a notice of demand issued under section 156. The intimation may be either that the amount is due as per the return filed by the assessee or that refund is due to the assessee. In this case there was no proceeding under section 143(2) or (3). The return was processed under section 143(1)(a) of the Act. Then notice was issued under section 148 and finally, the order was passed under section 143(3) of the Act. The contention of the assessee is that since no order was passed under section 143(3) of the Act before the notice was issued under section 148, the procedure under section 148 of the Act is invalid. We are not able to appreciate the contention of learned counsel for the assessee. 6. Even though many decisio....
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....duction is allowable only on the profit derived by the assessee from the export of specified goods and merchandise. Income from deposits cannot be deemed to be profit of exports. In CIT v. lose Thomas [2002] 253 ITR 553 (Ker), it has been held that interest on bank deposits does not constitute business income for the purpose of section 80HHC of the Act. We agree with the above decision and hold that the amount is not deductible. Another amount for which deduction was sought was an amount of Rs. 11,10,377. This represents export sale proceeds which could not be brought into India in convertible foreign exchange. Here, as rightly held by the Tribunal, the amount was not brought into India within six months. 9. In view of the above, we agre....