80HHC -Hero Exports vs. CIT (Supreme Court)

Hero Exports vs. CIT (Supreme Court)

Though section 80HHC does not provide so, an assessee is entitled, in computing the indirect cost of goods exported, to claim deduction at 10% as indirect expenses incurred for earning export incentives, misc income and brokerage etc. The deduction is allowed on estimate basis and as per the underlying principles of apportionment.

Note: The judgement of the P&H High Court in CIT vs. Hero Exports 292 ITR 571 has been reversed.