TaxTMI 
TaxTMI 
TaxTMI 
2018 (9) TMI 606
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....cts necessary to decide the case are that in this case the Assessing Officer ('AO') disallowed the assessee's claim for deduction under Section 80HHE of the Act in the course of scrutiny of assessment for Assessment Year (A.Y.) 1996-97. It was argued that the amounts should have been claimed - if at all, when they became due having regard to the export made in the previous years which were realised within a time-frame and for which the limited extension of six months could be granted. It was also urged that the assessee had not claimed this deduction at relevant time when it filed the returns. 3. It appears that the assessee had claimed deduction under Section 80HHE of the Act during the course of assessment proceedings and submitted a cer....
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.... consideration of export was received in the previous year 1995-96 relevant to A.Y. 1996-97 and the same is being taxed in that year. Since it is sale proceed of export the appellant is also entitled to deduction u/s 80 HHE as the appellant exported computer software. The contention of the appellant that since it has already disclosed the income in A.Y. 1997-9 and the same has also been assessed by the Assessing Officer u/s 143(1)(a) the same should not be taxed in 1994-95 and 1996-97 has not been accepted by the learned Member of the Assessing Officer as well as by me. 2.5 As per the provision of Section 80 HHE the deduction can be allowed only when the consideration is received within six months of the end of the previous year or within ....
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....ceived, i.e. 1996-97, the assessee's claim that it could be deducted during that year, was justified. It was also noticed that similar dispute had arisen in the assessee's case for A.Y. 1994-95 and that the Tribunal had decided in its favour in ITA 586/Del/98. 6. Learned counsel for the Revenue urged that the CIT(A) and the ITAT fell into error in granting the deduction for a period subsequent to the year in which the export proceeds were to be received. It was also highlighted that besides, the assessee never claimed these deductions in the first instance and rather during the course of assessment, and quite justifiably, the AO declined it. 7. This Court is unpersuaded with the Revenue's contentions; firstly, for the previous year as wel....