2019 (7) TMI 234

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....or Advocate with Ms. Vadana Kuthiala, Advocate. For the respondents : Mr. Vishal Mohan, Advocate. ORDER V. RAMASUBRAMANIAN, CHIEF JUSTICE, (ORAL) The Revenue has come up with the above appeal under Section 260-A of the Income Tax Act, 1961, raising the following substantial questions of law:- "1. Whether the Hon'ble ITAT has erred in holding the reopening of the case u/s 147 o....

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....a new industry of a kind mentioned in sub-section (2) of Section 80-IC of the Act and starts availing exemption of 100 per cent tax under sub-section (3) of Section 80-IC (which is admissible for five years) can start claiming the exemption at the same rate of 100% beyond the period of five years on the ground that the assessee has now carried out substantial expansion in its manufacturing unit?" ....

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.... Section 80-IC has made all the difference. Therefore, we are of the opinion that the aforesaid judgment does not lay down the correct law. (b) An undertaking or an enterprise which had set up a new unit between 7th January, 2003 and 1st April, 2012 in State of Himachal 25 Pradesh of the nature mentioned in clause (ii) of sub-section (2) of Section 80-IC, would be entitled to deduction at....

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.... For example, if the expansion is carried out immediately, on the completion of first five years, the assessee would be entitled to 100% deduction again for the next five years. On the other hand, if substantial expansion is undertaken, say, in 8th year by an assessee such an assessee would be entitled to 100% deduction for the first five years, deduction @ 25% of the profits and gains for the nex....