2011-VIL-16-SC-DT
Equivalent Citation: [2012] 340 ITR 593
Supreme Court of India
Civil Appeal Nos. 33750/2009
Date: 20.10.2011
COMMISSIONER OF INCOME TAX
Vs
BHARI INFORMATION TECH SYSTEMS (P) LTD.
Bishwajit Bhattacharya, ASG Arijit Prasad, Adv., Vikas Malhotra, Adv., Ajay Singh, Adv., Judy James, Adv., N. Swarup, Adv., B.V. Balaram Das, Adv., for the Appellant
Ramesh Singh, Adv., Pratap Venugopal, Adv., and Namrata Sood, Adv., for the Respondent
BENCH
K.S. Radhakrishnan, Swatanter Kumar, JJ.
JUDGMENT
2. In the present case we are concerned with Section 80HHE which is referred to in the Explanation to Section 115JA, clause (ix). In our view, the judgment of the Special Bench of the Tribunal in Syncome Formulations (supra) squarely applies to the present case. Following the view taken by the Special Bench in Syncome Formulations (supra), the Tribunal in the present case came to the conclusion that deduction claimed by the assessee under Section 80HHE has to be worked out on the basis of adjusted book profit under Section 115JA and not on the basis of the profits computed under regular provisions of law applicable to computation of profits and gains of business. The judgment of the Tribunal has been upheld by the High Court.
3. We see no reason to interfere with the impugned judgment. We agree with the view taken by the Special Bench of the Tribunal in the case of Syncome Formulations (supra) vide para 61 of the judgment. Accordingly, the special leave petition filed by the Department stands dismissed with no order as to costs.
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