S. 263 – AO’s acceptance of Jurisdictional HC Law may be ‘erroneous & prejudicial

INCOME TAX APPELLATE TRIBUNAL, MUMBAI

Star India Limited Vs. Additional Commissioner of Income Tax

ITA No. 7476/Mum/07 and 3201/Mum/10, Assessment year: 2003- 04

Additional Commissioner of Income Tax Vs. Star India Limited   

ITA No. 3315/Mum/2010 , Assessment year 2003- 04

Date of pronouncement : November 30, 2011

O R D E R

Per Pramod Kumar:

3. While the assessee has raised as many as eleven grounds of appeal, the main grievances pressed before us pertain to CIT(A)’s initiating the revision proceedings (i) in respect of set off of loss from eligible profits of business for the purpose of computing deduction under section 80 HHF of the Act, and thus denying deduction under section 80 HHF amounting to Rs 9,51,70,949 ; (ii) in respect of deductibility of expenses incurred in foreign currency from export turnover and total turnover, for the purpose of computing deduction under section 80 HHF of the Act; and (iii) in respect of allow-ability of bad debts as a deduction.