TaxTMI 
TaxTMI 
1996 (1) TMI 94
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....llowed in the original assessment ? (2) Alternatively, and in any view of the matter, should not the Commissioner of Agricultural Income-tax hold that the assessee is entitled to deduction of at least Rs. 83,660, the amount paid towards Central sales tax liability, in accord with the notification of the Government, dated March 21, 1979 ? (3) What is the scope and impact of the Government notification dated March 21, 1979, vis-a-vis the claim of the assessee for deduction for the assessment year 1978-79 as the liability accrued under the Central Sales Tax Act ? " The assessee is a company. The assessment year concerned is 1978-79. The assessment for the year was originally completed as per the order dated March 8, 1983, passed by th....
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....application under section 60(2) of the Agricultural Income-tax Act seeking for reference of certain questions of law, as arising out of the revisional order dated August 7, 1988. The said application being rejected, the assessee-company filed an application before this court for compelling the Commissioner of Agricultural Income-tax to refer the questions specified in the reference application. This court by judgment dated October 6, 1989, in O. P. No. 4531 of 1989, directed the Commissioner of Agricultural Income-tax to refer the three questions extracted hereinabove for the decision of this court. Though learned counsel for the assessee sought to raise a question regarding the jurisdiction of the Commissioner of Agricultural Income-tax....
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....ication that the Government by notification waived the tax payable under the Central Sales Tax Act with the rider that any tax, already paid, will not be refunded. It is true that an assessee, who is maintaining accounts following the mercantile system of accounting is eligible to make a provision for sales tax payable, even though the tax due has not been quantified and demand notice served by the assessing authority. It has been so held by the Supreme Court in Kedarnath Jute Mills' case [1972] 82 ITR 363. But the assessee will not be entitled to make a provision in its accounts in a case where the liability is non-existent. By virtue of the Government order dated March 21, 1979, the liability to pay Central sales tax on the inter-State....
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....t and set right the illegality in the assessment order dated March 8, 1983. The Commissioner of Agricultural Income-tax has complied with the provisions of section 34 of the Act and there is no grievance to the assessee that the provisions have not been complied with. In such circumstances, we do not find any illegality in the order passed by the Commissioner of Agricultural Income-tax under section 34 of the Act. Learned counsel for the assessee alternatively submitted that the company had paid a sum of Rs. 83,660 towards liability to Central sales tax for which provision has been made in the accounts, when coercive proceedings were initiated for recovery of the said amount and that by virtue of the provisions of the Government order da....