2019 (3) TMI 2014

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....appeal against the judgment of the Income Tax Appellate Tribunal ("the Tribunal" for short) raising following questions for our consideration:- "(a) Whether on the facts and in the circumstances of the case and in law, the Tribunal erred in directing the AO to grant the benefit of deduction u/S. 35(2AB) when the approval for the R & D activities were given in the subsequent assessment years and ....

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.... only proportionate disallowance at 10% of the interest expenditure? (d) Whether on the facts and in the circumstances of the case and in law, the Tribunal was correct to direct the AO to treat exchange rate fluctuation as business income and not the income from other source stating that similar relief was granted in AY 2002-03 when in the preceding year, the same issue was set aside to the CIT(....

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....the approval would relate back to the date of application. Reference in this respect can be made to the decision of the Division Bench of Gujarat High Court in the case of CIT Vs. Claris Lifesciences Ltd. (2008) 174 Taxman 113 and the decision of the Delhi High Court in case of CIT New Delhi Vs. Sandan Vikas (India) Ltd. 335 ITR 117. We are informed that the decision of Delhi High Court in case of....

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....tion No. (d), the issue is whether the additional proceeds of export sales due to foreign exchange rate fluctuation would also qualify for deduction under Section 80HHC of the Income Tax Act, 1961 ("the Act" for short". The Assessing Officer was of the opinion that the said amount cannot be said to have arisen out of the assessee's export business. The CIT(A) and the Tribunal, however, reverse....