https://www.taxtmi.com/caselaws?id=21301 The court allowed the petition, quashed the order levying additional tax under section 143(1A) of the Income-tax Act, and directed the Department to refund the amount. The court emphasized that tax is payable on income implying profit, not on losses, and additional tax is justified only if adjustments change a return from a loss to a profit. The court rejected the argument that reduction in loss attracts additional tax, as it does not convert a loss into a profit. The court also clarified that provisions for an alternative remedy are prospective, not retrospective, and no costs were awarded in this matter. en-us Thu, 12 Nov 1992 00:00:00 +0530 Sat, 21 Nov 2009 13:13:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=21301 The court allowed the petition, quashed the order levying additional tax under section 143(1A) of the Income-tax Act, and directed the Department to refund the amount. The court emphasized that tax is payable on income implying profit, not on losses, and additional tax is justified only if adjustments change a return from a loss to a profit. The court rejected the argument that reduction in loss attracts additional tax, as it does not convert a loss into a profit. The court also clarified that provisions for an alternative remedy are prospective, not retrospective, and no costs were awarded in this matter. Case-Laws Income Tax Thu, 12 Nov 1992 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=21301