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Showing contexts for: parle biscuits in Parle Biscuits Private Limited, Mumbai vs Acit ,Rg. 10(3)(2) [Old Range - 9(2)], ... on 21 December, 2016Matching Fragments
ITA No. 1611 & 1565/Mum/2015 Parle Biscuit P Ltd.
IN THE INCOME TAX APPELLATE TRIBUNAL, BENCH "C", MUMBAI BEFORE SHRI P.K. BANSAL, ACCOUNTANT MEMBER AND SHRI PAWAN SINGH, JUDICIAL MEMBER Parle Biscuit Pvt. Ltd ACIT, Range -10(3) (2), North Level Crossing Room No. 212, Vile Parle (E) Vs. Aayakar Bhavan, M. K. Road, Mumbai-400057 Mumbai-400020 PAN : AAACP0485D (Appellant) (Respondent) ACIT, Range -10(3) (2), Parle Biscuit Pvt. Ltd Room No. 212, North Level Crossing Aayakar Bhavan, M. K. Road, Vs. Vile Parle (E) Mumbai-400020 Mumbai-400057 PAN : AAACP0485D (Appellant) (Respondent) Assessee by Sh. Girish Dave (AR) Revenue by Ms. Mahua Sarkar (DR) Date of hearing 19.12.2016 Date of pronouncement 21.12.2016 Order under section 254(1) of Income Tax Act PER PAWAN SINGH JUDICIAL MEMBER:
ITA No. 1611 & 1565/Mum/2015 Parle Biscuit P Ltd.
Deduction under section 80-IC
1. The learned CIT(A) erred in confirming the action of the Deputy Commissioner of Income-tax, Range 9(2), Mumbai ('DCIT') in reducing the following other income while computing the deduction under section 80-le on the basis that it is not a first degree or the proximate profit of the business of the appellant:
3. "On the facts and in the circumstances of the case and in law, the Ld.CIT(A) erred in holding that the income of Rs.1,25,82,977/- received on waste generated from manufacturing process is to be included in "Business Income"
instead of "Income from Others Sources" for the purpose of deduction u/s 80IC."
4. We have heard ld. AR of the assessee and the ld DR for revenue and gone through the material placed before us. The learned AR of assessee argued that grounds of appeal raised in assessee's appeal is covered in his favour and the issue ground raised in Revenue's appeal is covered against assessee by various decision of this Tribunal in assessee's own case for AY 2008-09, 2009-10 & ITA No. 1611 & 1565/Mum/2015 Parle Biscuit P Ltd.
"8. We have considered the rival submissions and perused the orders of the lower authorities. Undoubtedly the assessee may have some arrangement with its bank which the amount exceeding a certain limit would automatically be converted into flexible deposit receipts. But nevertheless the nature of income is interest on bank deposits. Therefore we do not find any reason to tinker with the finding of ld CIT(A).
9. The second item relates to scrap sales of drum, the bags etc. The details of which were provided to the AO and the same have been exhibited at page 77 of the paper book. The AO was of the opinion that such a scrap sale has no direct link with the profit and gains derived from an industrial undertaking making it eligible for deduction under section 80 IC of the Act and profits from such undertaking has to be distinguished as to whether they belong to the category of "first-degree profit "or 'auxiliary profit'. The AO concluded that it cannot be said that scrap that has been generated is the first-degree approximate profit of business of the assessee. The business of the assessee is to make item of confectionery etc, and does not earn income by sale of such a scrap ITA No. 1611 & 1565/Mum/2015 Parle Biscuit P Ltd.