TaxTMI 
TaxTMI 
2010 (4) TMI 1247
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....d 143(3) r.w.s. 263 of the Income-tax Act, 1961 (hereinafter referred to as 'the Act') vide his orders of different dates i.e. 25-11-2005 and 30-09-2005for the assessment year 2003-04 and 2001-02 respectively. 2. The first issue in ITA No.1605/Ahd/2007 of this appeal of the Revenue is against the order of CIT(A) in directing the Assessing Officer to exclude Sales Tax and Excise duty from the total turnover while computing deduction u/s. 80HHC(3) of the Act. We find that this issue is squarely covered by the decision of Hon'ble apex court in the case of CIT vs. Lakshmi Machine Works (2007) 290 ITR 667 (SC), wherein the Hon'ble Apex Court has held as under:- "6. The learned CIT(Appeals)-V, Ahmedabad erred in confirming that excise....
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....cting the A.O not to exclude 90% of the other income of Exchange rate fluctuation gain at Rs. 3,95,650/- from the profits of business in computing the deduction u/s. 80HHC and u/s.80IB. 4. The Ld. CIT(A) has erred in law and on the facts of the case in directing the A.O not to eliminate the exchange rate fluctuation gain of Rs. 3,95,650/- while computing the deduction u/s. 80IB(3) of the I.T. Act, 1961." 4. At the out Ld. Counsel for the assessee stated that both the issue of deduction u/s. 80HHC and 80-IB of the Act are squarely covered by the Hon'ble Gujarat High Court in the case of CIT v. Amba Impex (2006) 282 ITR 144 (Guj), wherein the Hon'ble Gujarat High Court has held as under:- "The entire case of the R....
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....d no further inquiry is necessary. Therefore, the entire controversy as to whether such receipt amounts to "any other receipt" stipulated in Explanation (baa)(1) need not be taken up for consideration. Once the Legislature has provided for treating a receipt within a period of six months after the end of the previous year, or within further extended period, as sale proceed relatable exports, it would not be open to the Revenue to raise such a controversy. The Legislature in its wisdom has taken into consideration the fact that in the case of exports made, sale proceeds are not necessarily realizable immediately within the accounting period in which exports have been made. As a corollary, by the time such sale proceeds are received within th....
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....r stated that as regards to deduction u/s.80-IB of the Act on this exchange rate fluctuation gain, the issue is covered in assessee's own case in ITA No. 807/Ahd/2009 for assessment year 2005-06, wherein the "C" Bench of this Tribunal has allowed the claim of the assessee vide para-7 as under:- "7. So far as the gains on account of foreign exchange fluctuations are concerned, the 1issue is covered in favour of the assessee by the judgment of the Hon'ble Gujarat High Court in CIT v. Amba Impex (282 ITR 144) in which it has been held that the extra realization on account of foreign exchange fluctuation is only part of the sale proceeds and should be considered as having been derived from the undertaking. The CIT(A) has followed the a....