Held that deduction under section 80IB(9) has to be computed after ascertaining profits and gains of eligible business in terms of section 80IA(5), therefore, there is no scope to adjust expenses relating to other undertaking while computing deduction under section 80IB(9). Term ‘mineral oil’, for purpose of claiming deduction under section 80-IB(9) includes natural gas and condensate and therefore profit derived from sale of natural gas and condensate was to be allowed as deduction under section 80IB(9). (AY. 2016-17)
Reliance Industries Ltd. v. ACIT (2023) 198 ITD 158 (Mum) (Trib.)
S. 80IB : Industrial undertakings-Eligible business-No adjustment could be made in respect of expenses relating to other undertaking while computing deduction-Mineral oil, for purpose of claiming deduction under section 80-IB(9) includes natural gas and condensate and therefore profit derived from sale of natural gas and condensate was to be allowed as deduction under section 80IB(9). [S.80IA(5),80IB(9)]