2013 (10) TMI 69

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....:- R. R. Agrawal, S. Agrawal ORDER We have heard Shri Shambhu Chopra, learned counsel for the income tax department. Shri Suyash Agrawal appears for the respondent-assessee. This income tax appeal under Section 260A of the Income Tax Act, 1961 arises out of the judgment and order dated 7.1.2011 passed by the Income Tax Appellate Tribunal in ITA No.1752/Del/2007 for the assessment year 199....

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....ally stated that in loss cases the notional tax effect should be taken into account and admittedly in the present case the return of income filed by the assessee was a loss return?" The Income Tax Appellate Tribunal has not gone into the merits of the matter and dismissed the appeal on the ground that in view of the tax demanded for the assessment year 1999-2000, which is Rs.2,26,774/- and whic....

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....sessed and the tax that would have been chargeable had such total income been reduced by the amount of income in respect of the issue against which appeal is intended to be filed (hereafter referred to as 'disputed issues'). However, the tax will not include any interest thereon. Similarly, in loss cases notional tax effect should be taken into account. In the cases of penalty orders, the tax effe....

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....rest shall be the tax effect. In cases where returned loss is reduced or assessed as income, the tax effect would include notional tax on disputed additions. In case of penalty orders, the tax effect will mean quantum of penalty deleted or reduced in the order to be appealed against." In the present case on examination of the order of the Assessing Officer, we find that notional tax effect on l....