2019 (8) TMI 1261

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....g grounds of appeal: 1. For that the Order of the Commissioner of Income Tax (Appeals) is contrary to law, facts and circumstances of the case and to that extent prejudicial to the interest of the Appellant. At any rate the impugned Order is opposed to the principles of equity, natural justice and fair play. 2. For that the Commissioner of Income Tax (Appeals) failed to appreciate that the Order of the Assessing Officer is on a wrong interpretation of 115JA of Income Tax and is further without jurisdiction. 3. The Ld.CIT(A) erred in confirming the incorrect interpretation of provisions of sec.115JA by the Assessing Officer 4. The Ld.CIT(A) failed to appreciate that the Appellant is even otherwise eligible....

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....ssee credited sum of Rs. 50.00 lakhs to the reserve and surplus a/c being the amount received in lieu of surrender of tenancy rights. However, under the normal computation of income, the same was claimed exempt u/s.54E by investment in U.S.64 units of U.T.I. However, while computing the taxable income under the provisions of Sec.115JA, the same was not added to book profits. The AO was of the opinion that the same is liable to be reckoned for the purpose of computation of book profit u/s.115JA. Accordingly, the AO assessed the same u/s.115JA of the Act. 4. Being aggrieved by the Assessment Order, an appeal was filed before the Ld.CIT(A) who vide impugned order dismissed the appeal. Hence, the assessee is before us in the present gr....

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....hus, the adjusted book profits would be further eligible to the benefits set out in the other provisions of the Act and the plain language of Section 115 JB thus admits of the grant of relief under section 54 EC in an assessment thereunder. We now deal with the case law relied upon by the Assessing officer in denying relief to the assessee. The Supreme Court, in the case of Apollo Tyres, (supra) is to the effect that the assessing officer is not empowered to embark on an enquiry with regard to the entries in the profit and loss account maintained in accordance with the provisions of the Companies Act 1956 and approved in the AGM except to the extent of effecting modifications in accordance with the Explanation to section 115J. The Bombay Hi....