COMMISSIONER OF INCOME TAX Vs. MORGAN STANLEY

JUDGEMENT

(1.) Although several questions are raised by the Revenue in this appeal, the basic question raised in the appeal is :

(2.) The assessment year involved herein is A.Y. 2004 05.

(3.) In the present case, admittedly the export proceeds amounting to Rs.2.20 crores has not been received within six months from the end of the relevant assessment year. As the exports were effected prior to 31 st March 2004, the export proceeds ought to have been realized by 30 th September 2004 for availing deduction under Section 10A of the Act unless extension was obtained from the Competent Authority namely the Reserve Bank of India. In the present case, it is not in dispute that the entire outstanding export proceeds have been realized by the assessee by the first week of December 2004 that is, beyond the period of six months from the end of the relevant assessment year. The question is, in the absence of specific extension granted by the Competent Authority namely the Reserve Bank of India for realization of the export proceeds as contemplated under Section 10A(3) of the Act whether the assessee could be allowed benefit under Section 10A of the Act.