2019 (7) TMI 1095

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....owing two questions of law :- (A) " Whether the Appellate Tribunal has erred in law and on facts in upholding the order of the CIT(A) deleting the disallowance of Rs. 2,40,18,801/- made under section 37(1) r.w.s 3 of the Act, without properly appreciating the facts of the case and the material brought on record ?" (B) " Whether the Appellate Tribunal has erred in law an don facts in upholding the order of the CIT(A) deleting the disallowance of Rs. 1,11,38,327/- made under section 32 r.w.s 3 of the Act, without properly appreciating the facts of the case and the material brought on record ?" 3. With regard to the first question, as proposed by the Revenue is concerned, the finding of fact recorded by the Tribunal is as under : " ....

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....rofit and loss account for the first time since tis operation disclosing interest document fees, license fees, scrutiny fees and water charges and claimed deduction of various administrative office expenses. Subsequently, the assessee company has also claimed deduction of depreciation by filing revised return of income. The learned CIT(A) has also referred the decision of Saurashtra Cement and chemical Ltd. Vs. CIT of the jurisdictional High Court wherein its is held that the business would commence when the activity which is first in point of time and which necessarily precede the other activity is started. It is dear from the decision of jurisdictional High Court that as soon as activity which is an essential activity in the course of car....