However, the A.O. took the view that the provisions of section
10A/10AA of the Act are a special code by themselves. Accordingly ... deduction u/s 10A of the Act does not arise. The Ld A.R
submitted that the position for section 10AA of the Act also
reads thus:
"3 Error in computation of deduction under Section 10AA
of the Act
3.1 While computing the deduction under section 10AA ... considered profits and gains of the units
eligible for relief under section 10AA of the Act without
considering the disallowance of part of business service
overseas jurisdiction in relation to income eligible for
deduction under section 10A / 10AA of the Act in India.
19. The Ld. counsel for the assessee ... provided for taxes paid in overseas jurisdiction, in respect of
section 10A /10AA eligible income in India, as per the provisions of
respective DTAA
u/s 68 of the Act.
5. Thereafter, the AO also found that the assessee has
claimed deduction u/s 10AA ... Hyderabad.
u/s 80IB of the Act which is the alternate claim of the assessee to
the claim of deduction u/s 10AA
disallowance of deduction u/s 35D of the Act would go to
increase profit of the business on which deduction ... increase the profits of the business which is
eligible for deduction u/s. 10AA of the Act and that deduction u/s.
10AA
regard to set off of losses of units
claiming deduction under Section 10A / 10AA of the Act is
squarely covered by decision of the Supreme ... disallowed the depreciation claimed
on software, which was treated as royalty under Section
40(a)(ia) of the Act on the ground that decision
