S. 10B Set-off of eligible unit’s loss against income of non-eligible unit during tax holiday period cannot be allowed

IN THE ITAT BANGALORE BENCH ‘A’ Karle International (P.) Ltd. Versus Assistant Commissioner of Income-tax IT APPEAL NO. 381 (BANG.) OF 2012 [Assessment year 2008-09] OCTOBER 12, 2012 ORDER N.V. Vasudevan, Judicial Member  The Assessee is a partnership firm. It is engaged in the business of manufacture and export of ready-made garments. For AY 08-09, the Assessee filed return of income declaring total income of Rs. 12,89,760/-. The Assessee had three units. Unit-I is a Domestic Tariff Area (DTA) Unit. This unit was not entitled to any exemption. We will refer to this as a non-eli...