TaxTMI 
TaxTMI 
2014 (9) TMI 726
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....ear 2009-10. The issue pertains to the high level of operating profits and the consequent alleged excessive deduction taken by the petitioner / assessee under Section 10A of the said Act. 2. The petitioner had filed its objections and the Assessing Officer passed an order rejecting the objections. In that order the Assessing Officer specifically noted that the fact that the assessee was claiming excessive deduction, as above, under Section 10A surfaced for the first time during the assessment proceedings for assessment year 2009-10 in the case of the petitioner itself. It was also noted that while going through the income tax return details for the subject year it was observed that here also the petitioner / assessee had adopted the same m....
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....ts AEs aimed at producing extra ordinary profits in the hands of the assessee. The conclusion drawn by the authorities below in such circumstances cannot be ex consequenti sustained." 4. The consequence of the above decision by the Tribunal is that the very basis for forming the purported reason to believe that income had escaped assessment in respect of the assessment year in question does not survive any further. The learned counsel for the petitioner, therefore, contended that the proceedings pursuant to the impugned notice under Section 148 ought to be quashed as also the order rejecting the objections needed to be set aside. He placed reliance on a decision of this court in Silver Oak Laboratories Private Limited and Another v. Deputy....
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.... the Tribunal. It was also noted in the said decision that the Revenue had not filed any appeal against the decision of the Tribunal deleting the said additions. 5. In these circumstances this court, in Silver Oak Laboratories (supra), quashed further proceedings in respect of the notice under Section 148 and also set aside the order whereby the objections of the assessee had been rejected by the Assessing Officer. A similar order is sought by the learned counsel for the petitioner in the present case. 6. We find that there is one factor which is different from that case and, that is, that while in the previous case no appeal had been filed against the Tribunal's order, in the present case the Tribunal's order had been passed only on 26.0....