Section 80-IC Deduction Denied on Duty Drawback, But Netting of Duties Allowed

Narayan Industries Vs ACIT (Delhi High Court) In Narayan Industries Vs ACIT, the Delhi High Court examined two substantial questions of law concerning deduction under Section 80-IC of the Income Tax Act. The first issue related to denial of deduction of Rs. 1,52,07,079/- on account of duty drawback, held by the Assessing Officer and upheld by the Tribunal as not being income derived from an industrial undertaking. The second issue concerned denial of deduction of Rs. 6,58,683/- relating to interest on KDR; however, this ground was not pressed by the appellant and was dismissed. With respect to...