Sec 10A Exemption Compuation

This query is : Resolved

CA.CS.V.Viswanathan

CA.CS.V.Viswanathan (Querist)
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09 December 2009 Respected Experts,

A Company has Export Turnover of 10000 and other turnover of 5000 and its book profit showed show a profit of 2000. and further dis allowance for non deduction of TDS and allowance on Prior year TDS now made was there
Net Profit as per p&l 2000
Add:Depreciation considered
separately(Company Act Dep) 500
Add:Dis allownace For non 200
Deduction of TDS
Less:Last Year TDS Disalloance 100
now allowed on Payment
Less:Depreciation as per 200
Income tax Act
INCOME FROM BUSINESS FORM BUSINESS 2400

Should 10A Exemption be calculated on 2400(INcome form PGBP) or 2000 Book Profits .

Please Explain the Term "Turnover" under sec 10A with any relevant case laws...

CA Anand Sarda

CA Anand Sarda (Expert)
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10 December 2009 Dear Viswanathan,

Book Profit is considered only for calculating MAT.
and for calculating deduction under sec10A, Income from PGBP will be considered(i.e 2400)

The term 'Export Turnover' under Sec10A is the exports amount which has been realised within Six months from the end of the previous year.