Sec 10A – Deduction allowed to new unit being independent unit, physical demarcation with old unit not relevant

Brief of the Case ITAT Lucknow held in the case of DCIT vs. M/s E-Soft Technologies Ltd. that as per the CBDT Circular No. 01 of 2013 and as per the Tribunal decision of the Pune Bench in the case of ACIT Vs Symantec Software India P. Ltd in ITA No. 787/PN/09, dated 30th November 2011, it was held that physical demarcation is not a criteria to decide the eligibility of deduction under section 10A so long as the new unit is independent of the old existing unit. Physical independence of the two units is not envisaged in section 10A (2) (ii) and 10A (2) (iii) read with explanation 2 to section 80...