2010 (4) TMI 238

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....03 pleading that for the assessment year 1990-91, the Commissioner of Income-tax (Appeals), Rohtak has passed an order in respect of the assessment year 1990-91 on January 4, 1999, in favour of the assessee and against the Revenue. According to the Commissioner of Income-tax (Appeals), the Assessing Officer committed an error by including the amount of deprecation of Rs. 2,73,87,218 for the purpose of ascertaining book profits. Accordingly, the Commissioner of Income-tax (Appeals) directed the Assessing Officer to exclude the same for the purposes of determination under section 115J of the Income-tax Act, 1961 (for brevity "the Act"). The submission made by the assessee-applicant is that the order passed on January 4, 1999 (R.2) has attaine....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ot accept the contention that depreciation could be provided as per the Schedule under the Act and ignored the revised return where the revised computation of profit under section 115J of the Act was given. The Assessing Officer held that it was incumbent upon the assessee to provide for depreciation as per requirement of Schedule XIV to the Companies Act. On appeal, the Commissioner of Income-tax (Appeals) upheld the view taken by the Assessing Officer. 6. On further appeal by the assessee, the Tribunal decided the issue in favour of the assessee by citing the judgment rendered by the Ahmedabad Bench of the Tribunal rendered in the case of Asst. CIT v. Bell Ceramics Ltd. [1999] 69 ITD 156. The view of the Tribunal is discernible from pa....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....rking out the amount of depreciation differently for the purpose of section 115J, there was no prohibition to restrain the assessee from doing so. It was also concluded that what was required under section 115J(1A) of the Act is that every assessee, being a company, shall for the purpose of this section prepare its profit and loss account for the relevant previous year in accordance with the provisions of Parts II and III of Schedule VI to the Companies Act. There was no controversy before the Bench that the assessee had not complied this requirement and accordingly the Bench concluded that there was no further requirement that the profit and loss account so prepared should be the same or similar to the profit and loss account placed before....