Payment of entry tax is an allowable deduction even if it is set off against VAT liability of assess

IT: Where assessee, a manufacturer cum exporter, claimed deduction under section 80HHC on foreign exchange income received on account of cancellation of forward contract, following decision of Supreme Court rendered in case of CIT v. K. Ravindranathan Nair [2007] 295 ITR 228/165 Taxman 282, orders of lower authorities were set aside and matter was sent back to Assessing Officer for decision afresh in light of said decision