TaxTMI 
TaxTMI 
2024 (2) TMI 39
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....e and in law; 1. The order dated 17.12.2014 ['the impugned order'] passed under section 250(6) of the Income Tax Act, 1961 [the 'Act] by the Ld. Commissioner of Income Tax (Appeals), Dehradun [the 'Ld. CIT], is erroneous, based on surmises and conjectures, illegal, without jurisdiction and hence bad in law. 2. That on the facts and in the circumstances of the case, the ld.CIT(A) has erred in holding that that the deduction under section 80-IC is not allowable to the Appellant, inter alia, because: 2.1. the nature of activities/business carried out by the appellant for Hindustan Unilever Limited ('HUL') have not been appreciated in correct perspective, 2.2. the terms of agreement between the Appellant and HUL have been misread and misconstrued and the Ld. CIT(A) has failed to appreciate the same in the context of evidences brought on record before him. 2.3. the reliance placed on the clarification issued by HUL is completely erroneous and the fact that the officer who had issued the said clarification was not competent to do so has been completely ignored. 2.4. the reliance placed on evidences collected by the Ld. AO behind the back of the Appellant and with ....
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....icle or thing. Accordingly, the A.O. held that the assessee is not eligible for deduction u/s 80IC of the Act. 4. Aggrieved by the Assessment Orders for A.Y 2007-08 to 2014-15, the assessee preferred the appeals before the CIT(A). The Ld. CIT(A) dismissed the Appeals filed by the assessee and confirmed the assessment orders. As against the orders of the Ld. CIT(A) for the Assessment Year 2007-08 to 2014-15, the assessee preferred the present Appeals on the grounds mentioned above. 5. The Ld. Counsel for the assessee canvassing on the Grounds of Appeal submitted that the assessee is having manufacture factory which is registered under the Factories Act, 1948 and is also approved by Pollution Control Board, the assessee's factory premises are not only adjoining, but also connect to the mother unit i.e. HUL's Factory through pipelines and conveyor belts. The assessee had also made significant capital investment and is installed sophisticated and complex machinery having employees around 400 to 500 in a year basis including contractual workers. As per the agreement entered into by the assessee with HUL dated 22/04/2004 the main role of the assessee is to process the raw material prov....
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.... facilities of the assessee has been set off for processing of raw material provided by HUL and thereafter for receiving final products, i.e. stacking and packing the said final product and dispatching the same. It is the case of the assessee is that in the first part the mechanical process employed by the assessee leads to creation of precise quality and quantity of inputs as per the requirements and instructions of HUL for batch processing and manufacture of end products i.e. shampoo, creams, lotions, talcum powder, toothpaste, surf excel and the said process brings into existence of commercially new goods which are of the exact specifications, size and quality which is used to manufacture the said products and the bulk materials received by the assessee are in partial solid state which are heated, sanitized, quality cleared and divided into smaller and precisely measured quantities with HUL provided specifications before dispensing/pumpin them into HUL mother plants. The assessee contended that the following activities undertaken by the assessee are five different types of which are: -SLES bulk pumping/storing operations. This involves hearting partially solid raw material usi....
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....sophisticated plant and machinery deployed in its facility which are placed at pages 379 to 389 of paper book 2. b) Log sheets and raw material requisition slips for sorbitol issued by HUL which are placed at pages 401 to 403 of PB c) Standard operating procedures with respect of various activities and process undertaken - placed at pages 405 to 421 of PB, d) HUL instructions/SOP for SLES tank sanitization placed at pages 422 of PB e) Specimen of quality control procedures performed by Appellant placed at pages 423 to 428 of PB. f) Raw material requisition slips/SOP instructions placed at page 430- 432 of PB. g) Registration and license to work as a factory placed at page 517 to 524 of PB. h) Approval letter issued by Regional officer, Uttarakhand Environment Protection and Pollution Control Board at pages 525 to 527 of PB, i) Approval letter under Weights and Measurement Act at pages 528 to 533 of PB. j) Test certificates of machines employed at pages 534 of PB. k) Manufacturing process flow chart at pages 535 l) Return in Form 21 and 22 under Factories Act, 1948 at pages 539 to 546. m) Photographs of the raw materials received and pumped into HUL premises ....