Incentives for Market Expansion Are Capital, Not Income u/s 2(24)(xviii)

DCIT Vs Loocust Incorp (ITAT Chennai) Duty Scrip Rewards Not ‘Income’ u/s 2(24)(xviii): Export Incentive Not Taxable- MEIS/MLFPS Sale Proceeds Are Capital Receipts—Chennai ITAT Dismisses Revenue’s Appeal Revenue filed appeal against order of Ld. CIT(A) deleting addition of Rs.3,66,94,795/- made by AO on account of sale of Market Linked Focus Product Scheme (MLFPS) licence. Assessee, engaged in export of hosiery garments, had treated the MLFPS licence proceeds as capital receipt. AO viewed the same as revenue receipt taxable u/s 28. CIT(A), relying on Chennai ITAT’s decision in ACIT V...