Dismissing the appeal of the revenue the Court held that ; ninety per cent. of only the net interest, which had been included in the profits of the business of the assessee as computed under the head “Profits and gains of business or profession”, was to be deducted under clause (1) of Explanation (baa) to section 80HHC for determining the profits of the business. ( AY. 1996 -97)
CIT v. Banaras House Ltd. (2018) 402 ITR 88 (Delhi) (HC)
S. 80HHC : Export business – Ninety per cent. of only net interest is to be Included in profits of business As Computed under head “Profits and gains of business.