2015 (8) TMI 181

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....n the assessment year 2005-06. 2. The revenue contends that the following substantial questions of law arise for consideration:- "i) Whether the findings have been recorded by ITAT on misreading and misinterpretation of facts and evidence emanating on record? ii) Whether the ITAT did not commit grave error in arriving at such conclusions after adopting erroneous criteria and by importing such facts and circumstances which are contrary to record? iii) Whether, on the facts and in the circumstances of the case, the Ld. ITAT has erred in law in deleting the addition of Rs. 31.10 lacs on account of sale of scrap in A.Y. 2005-06 by holding it to be pertaining to assessment year 2007-08, when on the basis of seized documents exact year of ....

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.... of income of a company, tax is attracted at a uniform rate, and whether the deduction in respect of bonus was granted in the assessment year 1952-53 or in the assessment year corresponding to the accounting year 1952, that is in the assessment year 1953-54, should be a matter of no consequence to the Department; and one should have thought that the Department would not fritter away its energies in fighting matters of this kind. But, obviously, judging from the references that come up to us every now and then, the Department appears to delight in raising points of this character which do not affect the taxability of the assessee or the tax that the Department is likely to collect from him whether in one year or the other." 6. This judgment....

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....eal question concerning us is the year in which the assessee is required to pay tax. There is no dispute that in the subsequent accounting year, the assessee did make imports and did derive benefits under the advance licence and the duty entitlement pass book and paid tax thereon. Therefore, it is not as if the Revenue has been deprived of any tax. We are told that the rate of tax remained the same in the present assessment year as well as in the subsequent assessment year. Therefore, the dispute raised by the Revenue is entirely academic or at best may have a minor tax effect. There was, therefore, no need for the Revenue to continue with this litigation when it was quite clear that not only was it fruitless (on merits) but also that it ma....