ThynkTax /Tax Reference /Case Laws /Goodyear India

Goodyear India

Supreme Court of India·1991·ITR
Facts

Disallowance under Section 80HHC for export profits.

Issue

Computation of "profits derived from exports" - direct vs incidental nexus.

Held

Only profits with a direct nexus to exports qualify. Other business income (like interest on FDs) does not.

Ratio

"Derived from" requires direct, not incidental, nexus.

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