TaxTMI 
TaxTMI 
1985 (5) TMI 78
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.... all have been made. This claim is based on the decision of the Hon'ble High Court of Calcutta in the case of Century Enka Ltd. vs. ITO 1976 CTR (Cal) 493 : (1977) 107 ITR 909 (Cal). Both the assessee's ld. Counsel, Shri V. H. Patil, as well as the ld. Departmental Representative, Shri Vohra, submitted to us that after the decision of the Hon'ble Supreme Court in the case of Lohia Machines Ltd. & Anr. vs. Union of India & Ors. (1985) 44 CTR (SC) 328 : (1985) 152 ITR 308 (SC), the decision on this issue has to be in accordance with the law laid down by the Hon'ble Supreme Court. 3. We have carefully considered the rival submissions. The Hon'ble Supreme Court in the case of Lohia Machines Ltd. & Anr. Vs. Union of India & Ors. having overrul....
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....till that date the computation of capital employed under s. 80J of the IT Act, 1961 and consequently the deduction under s. 80J based thereon was as laid down by the decision of the Hon'ble High Court of Calcutta in the case of Century Enka Ltd. vs. ITO 1976 CTR (Cal) 493 : (1977) 107 ITR 909 (Cal), Hon'ble High Court of Madras in the case of Madras Industrial Limings Ltd. vs. ITO 1978 CTR (Mad) 45 : (1977) 110 ITR 256 (Mad), Hon'ble High Court of Allahabad in the case of CIT vs. U. P. Hotel Restaurant Ltd. (1980) 123 ITR 626 (All). Kota Box Mfg. Co. Ltd. vs. ITO (1980) 123 ITR 623 and Rampur Distillery & Chemical Co. Ltd. vs. CIT (1983) 30 CTR (All) 285 : (1982) 140 ITR 725 (All), Hon'ble High Court of Punjab and Haryana in the case of Gan....
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....) 132 ITR 453 (Bom) and CIT vs. P. Rajesh & Co. (1984) 41 CTR (Bom) 183 in support of the contention that an appeal against the charge of interest under s. 217 does not lie. Reference in this connection was made by him to the observations of the Hon'ble High Court of Bombay in the case of CIT vs. Shantilal J. Mehta wherein their Lordships laid down that denying the liability to be assessed or be subjected to advance tax alone can justify the appeal on the issue of penal interest, Reference was also made by him to a ruling of the Hon'ble High Court of Madhya Pradesh in the case of Vineet Talkies vs. CIT (1984) 41 CTR (MP) 130, where their Lordships laid down that no appeal under s. 246 (c) lies against levy of interest under s. 217 (1A). He,....
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.... the Special Leave Petition by the Department was dismissed by the Hon'ble Supreme Court (1984) 143 ITR (St.) 64 and other Hon'ble High Courts in the cases of National Products vs. CIT 1976 CTR (Kar) 179 : (1977) 108 ITR 935 (Kar), Bhikhoobhai N. Shah vs. CIT 1978 CTR (Guj) 172 : (1978) 114 ITR 197 (Guj), CIT vs. Karam Chand Thapar & Bros. (P.) Ltd. (1979) 119 ITR 751 (Cal), CIT vs. Mahabir Prashad & Sons (1980) 17 CTR (Del) 161 : (1980) 125 ITR 165 (Del), CIT vs. Associated Stone Industries (Kotah) Ltd. (1981) 130 ITR 868 (Raj) and Bihar State Road Transport Corporation vs. CIT (1984) 43 CTR (Pat) 129 (FB) : (1984) 149 ITR 208 (Pat) (FB), in all of which it was laid down that where there is a total denial of liability against charge of int....
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.... an appeal on this point lies. Coming to the merits, it cannot be disputed that, according to the judgments of the Hon'ble High Court of Calcutta in the case of Century Enka Ltd. vs. ITO & Ors. decisions available till the due date of the filing of the advance tax estimate, i.e. 15th Dec. 1979, the deficiency under s. 80J brought forward from the earlier years was more than the income for the current year, which, it will be necessary here to point out, has been assessed at Rs. 73,630 after allowing unabsorbed deficiency of Rs. 12,974 instead of Rs. 92,228 according to the judgments as already described. In these circumstances, if the assessee did not file the advance tax estimate because according to the various judicial pronouncements of t....