Provision of Section 80IA on inter unit and intra unit transfer

Last updated: 26 July 2013

Court :
INCOME TAX APPELLATE TRIBUNAL

Brief :
The assessee is a company and is engaged in the business of manufacture of fertilizers, chemicals, soya oil etc. It manufactures and sells single super phosphate, Sulphuric Acid in its three fertilizers unit situated at Nimrani (MP), Jhansi (UP) and Nimbakhera (Rajasthan) and De-oiled cake, soya oil in its Agro based unit at Ratlam (MP). The assessee also is engaged in trading activities in the above products. The assessee company is having power generation unit at Nimrani, MP, wherein it has set up a 3.2 MW turbo generating set. The assessee had claimed deduction u/s 80 IA, on 100% of the profits of its power division. It further claimed deduction u/s 80 IA at 30% of the profits on its single super phosphate and Sulphuric Acid unit

Citation :
Dy.CIT, Co.Circle 5(1) New Delhi (Appellant) Vs. M/s Khaitan Chemicals & Fertilizers Ltd. 201, Skipper House, 62-63 Nehru Place New Delhi 110 019(Respondent)