2017 (10) TMI 102

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....nt : Mr Manish J Shah, Advocate ORAL ORDER (PER : HONOURABLE MR.JUSTICE AKIL KURESHI) 1. Revenue is in appeal against the judgment of the Income Tax Appellate Tribunal dated 19.12.2016 raising following questions for our consideration: "(A) Whether on the facts and in the circumstances of the case, the ITAT was right in law in deleting enhancement of additional tax under section ....

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.... loss declared by the assessee in the return of income. The Assessing Officer was of the opinion that with the aid of the provisions of subsection (1A) of section 143 as amended by Finance Act, 1993 with retrospective effect from 01.04.1989 on such reduced losses, any tax at the rate of 10% would have to be levied. The Tribunal however by the impugned judgment, allowed the assessee's appeal an....

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....d not result into any evasion of tax. In short, the assessee would earn no benefit out of the reduced depreciation which can always be claimed in later years. 3. We may notice that section 143(1A) prevailing at the relevant time provided for levying of additional tax at the rate of 20% where in case of an assessee, total income as a result of adjustments made under first proviso to subsection (....

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....d that section 143(1A) can only be invoked where it is found on facts that the lesser amount stated in the return filed by the assessee is a result of an attempt to evade tax lawfully payable by the assessee. The burden of proving that the assessee has so attempted to evade tax is on the Revenue which may be discharged by the Revenue by establishing facts and circumstances from which a reasonable ....