Practical Accounts And Taxation
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As technical meaning of total turnover, which does not predict the reduction of any expenses from total amount, is to be taken into consideration for computing deduction under section 10A the definition of 'total turnover' given under sections 80HHC and 80HHE cannot be adopted for purpose of section 10A.
If a term is defined under section 2, then definition would be applicable to all provisions wherein same term appears. 'Total turnover' explanation to sections 80HHC and 80HHE, wherein it has been clearly stated that 'for purposes of this section only', it would be applicable only for purposes of that sections and not for purpose of section 10A.When object of formula for computation of deduction under section 10A is to arrive at profit from export business, expenses excluded from export turnover have to be excluded from total turnover also. Otherwise, any other interpretation makes formula unworkable and absurd hence, such deduction shall be allowed from total turnover in same proportion as well.
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