The assessee had set up its business in a backward area it was entitled to the benefit of a scheme under which  collection of value added tax from the customer on sale was entitled to a remission of 99 per cent. as issued by the Commercial Tax Department.  The Tribunal held that  remission  is  a business receipt because the assessee is allowed to retain the amount for the growth of the business and, therefore, the value added tax remission in the hands of the undertaking was very much business income and entitle to deduction under section 80IC of the Act. Order of the Tribunal is affirmed.  (AY.2007-08 to 2011-12)