INFLUENCE Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS appeal by the assessee, which relates to assessment year 1993 -94, was admitted for hearing vide order dated 7th October, 2002, on the following substantial question of law: -

(2.) THE facts are in narrow compass and in view of the limited issue which arises for consideration, we need not refer to the facts in great detail.

(3.) THE appellant -assessee, a firm, during the relevant period was engaged in the business of manufacture and export of goods and merchandise such as leather jackets, shoes, sweaters, jeans, bed sheet etc. In the return of income for the assessment year 1993 -94 filed on 31st October, 1993, taxable income of Rs. 64,92,460/ - was declared. In the computation of taxable income, the appellant -assessee had claimed deduction under Section 80HHC of the Income Tax Act, 1961 ('Act', for short) of Rs. 3,57,90,698/ -. The return was duly accompanied by the audit report duly prepared by a Chartered Accountant as required under Section 44AB and Section 80HHC of the Act.