Kerala H.C : Whether, on the facts and in the circumstances of the case, the Tribunal was correct in holding that the commission payments to Indian agents on foreign sales was eligible for weighted deduction under s. 35B(1)(b) ?

Counsel Appeared

Ravindranatha Menon, for the Revenue : B.S. Krishnan, for the Assessee

KOCHU THOMMEN, J.:

The following question has been, at the instance of the Revenue, referred to us by the Tribunal, Cochin Bench:

” Whether, on the facts and in the circumstances of the case, the Tribunal was correct in holding that the commission payments to Indian agents on foreign sales was eligible for weighted deduction under s. 35B(1)(b) ? “

2. In the light of our decision in I.T.R. Nos. 7 and 8 of 1982 [CIT vs. C. Tharian and Sons (1987) 166 ITR 607 (Ker)], we answer the question in the negative, that is, in favour of the Revenue and against the assessee.

3. We direct the parties to bear their respective costs in these tax referred cases.

[Citation : 170 ITR 411]