2015 (1) TMI 1458

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....revenue has preferred this appeal challenging the order passed by the Tribunal setting aside the order passed by the Commissioner under Section 263 of the Income-tax Act (hereinafter referred to as 'the Act') interfering with the assessment order passed by the Assessing Authority. 2. The assessee is a company engaged in the manufacture of poultry and cattle feed. The assessee claimed dedu....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....d in (2008) 299 ITR 444 (SC) has held the profits of the eligible units have to be computed without the loss from the rearing division being adjusted against the same and he held that the assessee was right in quantifying deductions in respect of Section 80-IB without adjusting the loss of Rs. 39,75,115/- against the profit of Rs. 1,63,84,963/- in the eligible unit. Thus he allowed the appeal. Agg....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....as to be done only after adjusting the income of the loss making unit and therefore, he submits the impugned order passed by the Tribunal calls for interference. 6. Per contra, the assessee supported the impugned order. 7. Though, the word used in business at Section 80-IB, the careful reading makes it clear that, business has to be understood with reference to the business referred in Sections ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....-A. They impose a ceiling on the total amount of deduction and, therefore the non-obstante clause in Section 80-I(6) cannot restrict the operation of Sections 80A(2) and 80B(5) which operate in different spheres. As observed earlier Section 80-I(6) deals with actual computation of deduction whereas Section 80-I(1) deals with the treatment to be given to such deductions in order to arrive at the to....