80IB

This query is : Resolved

selva (Querist)
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27 October 2009 we have 20 units out of which we are claiming deduction u/s 80IB for two units. we have incurred common expenses at corporate office level for all the units including 80IB units.

my query is whether can we claim allocated common expense on sales basis as deduction in computing income from 80IB units.

thanks in advance

HARI K V

HARI K V (Expert)
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27 October 2009 If u can ascertain the actual expenditure and if the can be substantiated to the AO on his aking, u can apportion and claim the expenditure.

Rahul Vora

Rahul Vora (Expert)
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27 October 2009 I think you can claim allocated common expense on sales basis

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Jinesh Bansal

Jinesh Bansal (Expert)
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28 October 2009 you can allocate the coomon exps to unit elegible u/s 80IB.It must be genuine and reasonable pertains to business entity as whole. we can allocate it on sale basis.