https://www.taxtmi.com/caselaws?id=32897 The High Court upheld the Income Tax Appellate Tribunal's decision to delete the addition on account of the closing stock of Bagasses, stating that the valuation method used by the assessee was consistent and justified. However, the Court disagreed with the Tribunal's restriction of disallowance out of guest house expenses, holding that all expenses related to maintaining a guest house, including those for employees, are disallowable. The Court also canceled the interest levied under Section 220(2) of the Income Tax Act, ruling that interest could only be charged after the service of notice under Section 156. en-us Mon, 09 Apr 2007 00:00:00 +0530 Wed, 08 Apr 2009 00:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=32897 The High Court upheld the Income Tax Appellate Tribunal's decision to delete the addition on account of the closing stock of Bagasses, stating that the valuation method used by the assessee was consistent and justified. However, the Court disagreed with the Tribunal's restriction of disallowance out of guest house expenses, holding that all expenses related to maintaining a guest house, including those for employees, are disallowable. The Court also canceled the interest levied under Section 220(2) of the Income Tax Act, ruling that interest could only be charged after the service of notice under Section 156. Case-Laws Income Tax Mon, 09 Apr 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=32897