2009 (4) TMI 33

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....Dr. Anitha Sumanth for the Respondent. JUDGMENT The Judgment of the Court was delivered by K. RAVIRAJA PANDIAN,J. - The revenue on appeal against the order of the Income Tax Appellate Tribunal dated 22.09.2006 passed in ITA.No.829/Mds/2006 relating to the assessment years 2001-02. 2. The material facts culled out from the statement of facts stated in the memorandum of appeal are as fol....

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....ribunal dismissed the appeal in favour of the assessee by excluding excise duty and sales tax from the total turnover for the purpose of deduction u/s 80HHC by following the decision of this Court in the case of CIT vs. Wheels India Limited reported in 275 ITR 319.  With regard to MAT credit also, the Tribunal upheld the orders of the CIT (A) by following its own earlier order in the case of ....

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....t the revenue by the decision of the Supreme Court in the case of Commissioner of Income Tax vs. Lakshmi Machine 2007 (290 ITR 667) wherein it has been held as follows : Section 80HHC of the Income Tax Act, 1961, is a beneficial section : it was intended to provide incentive to promote exports. The intention was to exempt profits relatable to exports. Just as commission received by the assessee....

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....e revenue, in favour of the assessee. 6. With regard to the second question of law, the MAT credit is to be set off from the tax payable before levying interest under Section 234B and 234 C, a Division Bench of this Court in the case of THE COMMISSIONER OF INCOME TAX, CHENNAI VS. M/S. CHEMPLAST SANMAR LIMITED, CHENNAI  (T.C.No.887 of 2005 etc., batch), by judgment dated 9.4.2009 to which o....