2003 (7) TMI 272

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....IT(A), Patiala for the asst. yr. 1994-95. 2. The only effective issue raised in this appeal is that CIT(A) was not justified in sustaining the demand of Rs. 1,44,838 on account of additional tax charged by the AO under s. 143(1)(a). The facts of the case are that the return received was processed by the AO under s. 143(1)(a) of the IT Act. In the return of income, the assessee had claimed deduc....

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....in respect of excess deduction claimed under s. 80HHC. 3. Aggrieved, the assessee impugned the additional tax charged in appeal before the CIT(A). It was contended before the CIT(A) that as per sub-cls. (A) & (B) of s. 143(1A), additional tax is chargeable in a case where total income as declared by an assessee is increased or where the loss declared by an assessee is reduced by way of adjustme....

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....fter deductions under Chapter VI results in nil income." Assessee is aggrieved by the order of the CIT(A). Hence, this appeal before us. 4. The learned counsel for the assessee filed written submissions by a letter dt. 9th Sept., 2003, reiterating the submissions made before the learned first appellate authority. He further relied on the judgment of Rajasthan High Court in the case of Rajast....

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....(1)(a), the total income was determined at nil. The only variation in the income declared and returned was due to excess claim under s. 80HHC. Now the issue that requires to be considered by this Bench is whether additional tax is leviable in a case where total income computed as per provisions of the Act remains at nil. Sub-s. (1A) of s. 143 provides for levy of additional tax in a case where as ....