2007 (2) TMI 119

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....f the Income-tax Appellate Tribunal dated 2.5.2003 made in ITA No.236/Mds/1994 for the assessment year 1986-87, and is admitted on the following questions of law: "(i) Whether  in the facts and circumstances  of  the case,  the  Tribunal was right in  holding  that  the excise  and customs duty component had to be excluded from the value of closing s....

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....he assessee, the Tribunal, allowed the same following the order of the Special Bench of the Tribunal in ITO v. Foods Specialities Ltd.,  [1994]  49 ITD 21 wherein it was held that no part of the duty which is related  to the goods that remained unsold at the  close  of the year should be added to the charge of the closing stock. Being exasperated,  the Revenue has pre....

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....nbsp; the excise duty liability is not to be included in the valuation of closing stock, held the issue against the Revenue and in favour of the assessee. 6. In Berger Paints India Ltd. Vs. Commissioner of Income-tax [2004] 266 ITR 99 ; [2004] 2 RC 702 the Apex Court held that theentire amount of excise duty/customs duty paid by theassessee in a particular accounting year is allowable undersect....