2017 (4) TMI 251

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....on of law : "Whether the Appellate Tribunal has substantially erred in law and on facts in deleting the disallowance of provision for expected loss/defect liability amounting to Rs. 2,37,99,162/=, where the same is not ascertained and contingent in nature ?" 2. The facts leading to the present Appeal in nutshell are as under : 2.1 The assessee filed return of income on 30th October 2005 for A.Y 2005-2006 declaring loss of Rs. 20,79,62,690/=. The Assessing Officer framed the scrutiny assessment under Section 143 [3] of the Income-tax Act, 1961 ["Act" for short] determining loss at Rs. 16,96,15,838/=. While determining the aforesaid loss, the Assessing Officer made the following addition/disallowance : [1] Delayed Payment of PF & ....

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....ith the aforestated proposed question of law. 6. Ms. Mauna Bhatt, learned counsel for the Revenue has vehemently submitted that in the facts and circumstances of the case, the learned Tribunal has materially erred in straightway relying upon the decision of the Apex Court in the case of Rotork Controls India Private Limited [Supra]. It is submitted that even assuming that the decision of Hon'ble Supreme Court in the case of Rotork Controls India Private Limited [Supra] was applicable and the estimation was permissible, in that case also, the learned Tribunal ought to have remanded the matter to the Assessing Officer to consider the actual estimated loss. 6.1 It is further submitted by Ms. Bhatt, learned counsel appearing on behalf....