IN THE HIGH COURT OF JUDICATURE AT BOMBAY O. O. C. J. INCOME TAX APPEAL NO.3369 OF 2010 WITH INCOME TAX APPEAL NO.3539 OF 2010 The Commissioner of Income Tax-9 ..Appellant. Vs. Mangal Rich Linens Pvt. Ltd ..Respondent. .... Mr. Suresh Kumar for the Appellant. Mr.S.C.Tiwari with Ms.Meghana Butala for the Respondent. ..... CORAM : DR.D.Y.CHANDRACHUD & J.P.DEVADHAR, JJ. 29 June 2010. P.C. : As many as eight questions have been raised by the Revenue in these appeals under Section 260-A of the Act. Both the learned counsel are agreed in stating that questions (a) to (g) shall stand covered in favour of the Revenue and against the assessee by the judgment delivered today by this Court in Commissioner of Income Tax v. Kalpataru Colours and Chemicals (ITA(L) 2887 of 2009). In the circumstances, the aforesaid questions shall stand governed by the judgment of this Court. The Assessing Officer shall on remand pass fresh orders in the light of the judgment of this Court. The appeal is admitted on the following substantial question of law : “h) Whether on the facts and in the circumstances of the case and in law, the ITAT is justified in directing the AO to recompute the deduction under Sec. 80HHC after netting of interest and ignoring the ratio laid down by Apex Court in the case of Pandian Chemicals Ltd. 262 ITR 278 (SC), Sterling Foods Ltd. 237 ITR 579 (SC)?” Both the learned counsel are agreed in stating that the aforesaid question shall stand answered in favour of the Revenue and against the assessee by the judgment of this Court in Commissioner of Income Tax v. Asian Star Co. Ltd. (ITA 200 of 2009 decided on 18 March 2010). The question is accordingly answered in favour of the Revenue and against the assessee. The appeals are accordingly disposed of. There shall be no order as to costs. (Dr. D.Y.Chandrachud, J.) (J.P. Devadhar, J.)