TaxTMI 
TaxTMI 
2024 (7) TMI 433
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....quence to the order dated 24.10.2018 of the Assessing Officer [In Short 'the AO'] passed under section 154/147/143(3) of the Act for the Assessment Year [In Short, the 'AY'] 2006- 07 is justified. 3. The relevant facts, in brief, are that the appellant/assessee is a Central Government Public Sector Unit, which came into existence on 13.01.2006. It commenced its business from February, 2006. This is the first AY of the appellant/assessee consisting of previous year of two months only. It filed its Income Tax Return [In short, the 'ITR') declaring income of Rs. 9,11,18,593/-on 30.11.2006. The case was scrutinized and the original assessment was completed under section 143(3) of Income Tax Act, 1961 [In short, the 'Act') on 28.11.2008 accepti....
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....re was no prior period expenses. The regular expenses were wrongly classified as prior period expenses in the Profit & Loss Account though the audit report filed in Form 3CD along with the ITR did not show any prior period expenses. The Ld. AR thus contended that the expenses of Rs. 1,69,71,833/- was allowable in the relevant year. However, the wrong classification of expenses as prior period expenses in the Profit & Loss Account resulted the disallowance expenses of Rs. 1,69,71,833/-. Placing reliance on the decisions of the Hon'ble Supreme Court in the cases of Tuticorin Alkali Chemicals &Fertilizers Ltd. 227 ITR 172 and Taparia Tools Ltd. 372 ITR 605 and the decisions of the Hon'ble Delhi High Court in the cases of Modipan Ltd. 334 ITR 1....
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....mpugned order deserved to be annulled. 5. The Ld. Sr. DR submitted that the impugned rectification order dated 24.10.2018 passed under section 154/147/143(3) of the Act had nothing to do with the merit of the reassessment order passed under section 147/143 of the Act on 02.09.2011 because the reassessment order was different than that the impugned order dated 24.10.2018 passed under section 154/147/143(3) of the Act. The Ld. Sr. DR vehemently contended that the reassessment order passed under section 147/143 of the Act on 02.09.2011 attained finality as the appellant/assessee accepted the same and never challenged the said reassessment order before any appellate authority. Now by filing appeal against the rectification order dated 24.10.20....