COMMISSIONER OF INCOME-TAX VS GOGINENI TOBACCO LTD.
2004 P T D 2149
[253 I T R 800]
[Supreme Court of India]
Present: B.N. Kirpal and S. Rajendra Babu, JJ
COMMISSIONER OF INCOME‑TAX
Versus
GOGINENI TOBACCO LTD.
Civil Appeal No.3790 of 1999, decided on /01/.
th
July, 1999. (Appeal by special leave from the judgment and order, dated October 16, 1998 of the Andhra Pradesh High Court in Income‑tax Case No.45 of 1998).
Income‑tax‑‑‑‑
‑‑‑‑Reference‑‑‑Export business‑‑‑Special deduction‑‑‑Whether to be claimed on total income after deduction of unabsorbed losses and unabsorbed depreciation or otherwise‑‑‑Question of law‑‑‑Indian Income Tax Act, 1961, Ss.80HHC & 256‑‑‑[CIT v. Gogineni Tobacco Ltd. (1999) 238 ITR 970 reversed].
The question whether the benefit under section 80HHC of the Income Tax Act, 1961, can be claimed on the total income after deduction of unabsorbed loss and unabsorbed depreciation or otherwise is a question of law.
(The Supreme Court accordingly directed the Appellate Tribunal to state a case on this question of law to the High Court).
CIT v. Gogineni Tobacco Ltd. (1999) 238 ITR 970 reversed.
R. N. Trivedi, Additional Solicitor General of India (Tara Chand Sharma and S. K. Dwivedi, Advocates with him) for Appellant.
A. Subba Rao, Advocate for Respondent.
ORDER
Special leave granted.
After hearing counsel for the parties, in our opinion, the High Court was not correct in dismissing the application under section 256(2) of the Income Tax Act, 1961. A question of law does arise. We, therefore, allow the appeal and direct the Tribunal to state the case and refer the following question of law to the High Court:
"Whether, on the facts and in the circumstances of the case, benefit of section 80HHC can be claimed on the total income after deduction of unabsorbed losses and unabsorbed depreciation or otherwise?"
M.B.A./1106/FCOrder accordingly.