2004 (8) TMI 11

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ection 256(1) of the Income-tax Act, 1961, for the opinion of this court: "Whether on the facts and in the circumstances of the case, the Tribunal was justified in law in holding that the assessee's claim for Rs. 15,498 representing sales tax liability and penal interest on it for earlier years was an allowable deduction under the Income-tax Act, 1961, specially when the said amount was offered....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... created by the sales tax authorities on November 2, 1976. An additional demand created in the relevant assessment year, ought to have been allowed as a deduction. The Tribunal also found that when the aforementioned demand was set aside in appeal, the amount was refunded then, it has been subjected to tax in the assessment year 1979-80. We have heard Shri A.N. Mahajan, learned counsel appearing f....