2018 (2) TMI 761

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....hereinafter referred to as 'the Act') the appellant revenue has challenged the order dated 21.6.2017 made by the Income Tax Appellate Tribunal, Ahmedabad 'B' Bench (hereinafter referred to as 'the Tribunal') in ITA No.1430/ Ahd/ 2014, by proposing the following two questions stated to be the substantial questions of law: "(A) Whether the Appellate Tribunal is right in law and on facts in allowing the additional claim of the assessee without filing valid revised return? (B) Whether the Appellate Tribunal is right in law and on facts in allowing the expenses claimed by the assessee when the same were not debited to P&L Account?" 3. The assessment year is 2004-05 and the relevant accounting period is the previous year 2003-04. 4. In th....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ried the matter in appeal before the Commissioner (Appeals), who upheld the order of the Assessing Officer holding that the Assessing Officer, being clearly debarred from taking up any issue otherwise than by way of revised return, was justified in not entertaining the assessee's claim of expenses since there was no valid claim before him. By the said order certain grounds of appeal have been decided in favour of the assessee. Being aggrieved in respect of certain grounds decided in favour of the assessee, the revenue went in appeal before the Tribunal. In the said appeal, the assessee filed cross objection against the action of the Commissioner (Appeals) in confirming the action of the Assessing Officer in not allowing the claim of expendi....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ck the sum in the return of income of the succeeding assessment year. He, accordingly, directed the Assessing Officer to allow the expenditure of Rs. 90,97,755/- in the year under consideration. 7. The revenue carried the matter in appeal before the Tribunal, which upheld the order passed by the Commissioner (Appeals). 8. Mrs. Mauna Bhatt, learned senior standing counsel for the appellant, submitted that the decision of the Tribunal is erroneous as the assessee had filed revised return of income after the time limit had expired. Since the revised return of income had been filed after the due date, it means that there was no revised return of income as per the provisions of the Act. Referring to the decision of the Supreme Court in the cas....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....l, the Tribunal directed the Commissioner (Appeals) to decide the issue as an additional ground taken by the assessee on merits. The question as to whether the assessee had filed a valid revised return, can no longer be agitated by the revenue as such issue has attained finality in view of the earlier order dated 15.3.2013 passed by the Tribunal, whereby it had remanded the matter to the Commissioner (Appeals) to decide the additional ground taken by the assessee on merits and the revenue has not challenged the same before the higher forum. 11. Pursuant to the remand, the Commissioner (Appeals) decided the additional ground on merits and allowed the expenditure for the year under consideration observing that for the subsequent year, the as....