2019 (12) TMI 905

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....e correctness of the order passed by the ld Pr. CIT, Central-1, Kolkata u/s 263 of the Act. 3.When this appeal was called out for hearing, learned counsel for the assessee invited our attention to the order dated 31.01.2018, passed by the Division Bench of Jaipur Tribunal in the case of M/s ARL Infratech Ltdin ITA No.404/JP/2016for the Assessment Year 2012-13 whereby the issue "that order passed by the assessing officer is not prejudicial to the interest of Revenue when the Minimum Alternate Tax (MAT) u/s 115JB of the Act payable by assessee is more than the tax liability payable under normal provision", has been discussed and adjudicated in favour of assessee. The ld Counsel submitted before us that it is settled proposition of law the ....

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.... book profit u/s 115JB of the Act computed at Rs. 9,01,53,202/- and therefore, even if the claim of higher/additional depreciation is disallowed there will be no effect on the tax liability as the AO has computed the total income as per the provisions of Section 115JB and charged MAT on the same. Therefore, we find that the claim of higher depreciation on the Energy Saving Equipments as well as pollution control equipments is not going to effect the Revenue when the income of the assessee was assessed u/s 115JB and MAT was charged. Even if the claim was disallowed if the higher depreciation claim was disallowed the tax liability under MAT was still higher than the normal computation. It is settled proposition of law the Commissioner can inv....

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....other materials available on record. We note that first of all let us examine the tax liability under the normal provision of the Act and under section 115JBMinimum Alternate Tax. (A). Computation of Tax Liability under normal provisions of I.T.Act   Amount (Rs.) Amount Amount (Rs.) Total income as per order u/s 154 /143(3) dated 14.08.2015     1,24,35,94,229 Add: Additional Depreciation as discussed at para no. 4 above     1,93,20,000 Total income     1,26,29,17,229 Tax liability     42,93,91,857 Computation of Tax Liability under u/s 115JB-MAT Book profit as per order u/s 154 / 143(3) dated 14.08.2015    &nbs....