COMMISSIONER OF INCOME TAX Vs. RAGHAVENDRA TRADING CO

JUDGEMENT

(1.) THE Income-tax Appellate Tribunal has referred the following question of law arising out of its order dated July 21, 1997, in respect of the assessment yean 1992-93, 1993-94 and 1994-95 :

(2.) THE facts of the case are that during the relevant year the assessee was engaged in the business of quarrying and exporting the granite ores. THE Tribunal found in its order that undisputedly, the granite blocks, alter being quarried, were being cut into size and also dressed, i.e., some initial polish is given thereto. THE assessee claimed deduction under Section 80HHC on the export income of the granites. THE claim of the assessee was denied by the Assessing Officer, which was again confirmed by the Commissioner of income-tax (Appeals). THE assessee filed further appeal before the Income-tax Appellate Tribunal. THE Income-tax Appellate Tribunal after taking into consideration the facts of the case and various decisions of different authorities and mainly relying on its earlier order dated May 19. 1997, in ITA No. 162/Bang. of 1996 in the case of God Granites, allowed the claim of the assessee.