Court : Chennai
Decided on : Jan-24-2006
Reported in : 284ITR364(Mad)
..... failure to furnish the report of audit before the due date, as provided under section 44ab of the income-tax act. the assessee, by its reply has stated that no penalty is contemplated in the act for assessees who have got the audit completed, and furnished the report of such audit and further stated ..... p.p.s. janarthana raja, j.1. the present appeal is filed under section 260a of the income-tax act, 1961 by the revenue, in i.t.a. no. 879/mds/ 99 dated february 10, 2005, passed by the income-tax appellate tribunal, madras 'a' bench raising the following substantial questions of law.1. whether, on the ..... is leviable in this case, and levied a penalty of rs. 1,00,000 under section 271b of the act. aggrieved by the order, the respondent filed an appeal before the commissioner of income-tax (appeals) and held that no penalty was imposable under section 271b as the section envisaged levy of penalty for ..... case, the report was filed under neither section, the question of specific date does not arise. the commissioner of income-tax allowed the appeal. the revenue took up the matter to the income-tax appellate tribunal. the tribunal held that it is sufficient if the audit report was obtained in time and the delay in ..... levy of penalty for failure to get his accounts audited, obtain a report of such audit and furnish the said report along with his return of income filed under section 139(1) or in response to a notice under section 142(1), the submission that the audit report should have been filed .....Tag this Judgment!
Court : Chennai
Decided on : Jun-13-2006
Reported in : (2006)204CTR(Mad)108; 288ITR92(Mad)
..... inland letters, note books, labels, etc. and sells the same. but, the exemption claimed by the assessee under section 5(1)(xxxi) of the income-tax act, was denied by the respondent therein on the ground that the assessee was doing only cooly printing and therefore, the business which he was carrying on was ..... case, the tribunal was right in holding that the assessee is an industrial undertaking eligible for the benefit of section 80hh and section 80i of the income tax act?the above two appeals, both preferred by the revenue, are relating to the assessment years 1988-89 and 1989-90.2. the assessee is ..... as the appellate tribunal erred in holding that the assessee is an 'eligible industrial undertaking' to avail the benefit of 80hh and 80i of the income-tax act.5.2. it is further contended that the assessee, being a job worker, is not entitled to the benefit, because the assessee, being a ..... kaleeswari fire works will disentitle the assessee to claim the benefit of 80hh and 80i of the act.8. before proceeding further, it is apt to refer the relevant portions of 80hh and 80i of the income-tax act, as prevailed during the assessment years 1988-89 and 1989-90, which read as follows:80hh ..... are alien to the interpretation contemplated for the purpose of conferring the benefit of 80hh and 80i of the act.11. in view of the above, we are satisfied that the commissioner of income-tax (appeals) and the tribunal having fully satisfied that the assessee is entitled for the benefit of 80hh and 80i .....Tag this Judgment!
Court : Chennai
Decided on : Jun-27-2006
Reported in : 298ITR325(Mad)
..... for a sum of rs. 1,30,000/- paid to the partner was disallowed by the assessing officer under section 40(b) of the income tax act and was added as the income of the firm. on appeal, the commissioner of income tax (appeals), following his earlier year's order, allowed the appeal directing the assessing officer to delete the addition, which was, on further appeal ..... . following the decision cited supra, the andhra pradesh high court in commissioner of income tax v. chitra kalpana : 169itr678(ap) , held as under.section 40(b) of the income-tax act, 1961, corresponds to section 10 (4)(b) of the indian income-tax act, 1922. section 10(4)(b) was incorporated in the 1922 act in the year 1939. the legislative history is sufficient to indicate that the ..... business or profession of the firm of which he is a partner....5.1. in commissioner of income tax v. gemini productions : 110itr847(mad) , this court, while dealing with the application of section 10(4)(b) of the income tax act, 1922, corresponding to section 40(b) of the income tax act, 1961, held as follows.for the application of section 10(4)(b) there must be ..... income of the firm and out of the said income the firm should have made a payment by way of interest, salary, commission or remuneration .....Tag this Judgment!
Court : Chennai
Decided on : Aug-01-2006
Reported in : (2006)205CTR(Mad)365; 288ITR489(Mad)
..... the non-payment or short payment due to the computation of income under section 115j of the act attracts the levy of interest under sections 234b and 234c of the act and that the estimation of current income does not exclude the income computed under section 115j of the act.4. section 115j of the income tax act, which provides special provisions relating to certain companies, contemplates the companies ..... income of rs. 5,39,670/-, taking a stand that the unabsorbed loss or unabsorbed depreciation, whichever is less, is to be set off ..... circumstances of the case the tribunal was right in holding that interest under section 234a, 234b and 234c of the income tax act, 1961 cannot be levied in cases where the assessment was on the basis of book profits under section 115j of the act?2.1. the relevant assessment year is 1989-90. the respondent/assessee is a closely held company carrying on ..... business in textiles. the assessee filed its return of income for the assessment year 1989-90 admitting nil total income. the assessing officer passed an assessment order dated 27.3.1992 under section 143(2) of the income tax act (for brevity 'the act'), computing the book profit under section 115j of the act as rs. 17,90,717/- and arrived at the .....Tag this Judgment!
Court : Chennai
Decided on : Jun-19-2006
Reported in : (2007)207CTR(Mad)512; 288ITR39(Mad); (2006)4MLJ1644
..... or be void, as the case may be', the definitions of the expressions, discount, dividend, prize amount, as extracted above, will prevail over the similar definitions as found in the income-tax act, because a non obstante clause is generally appended to a section with a view to give the enacting part of the section in case of conflict, an overriding effect over ..... . 9.2. at this juncture, it is apt to refer to sections 5 and 145 of the income-tax act. 5. scope of total income: (1) subject to the provisions of this act, the total income of any previous year of a person who is a resident includes all income from whatever source derived which-(a) is received or is deemed to be received in india in ..... have preferred the present appeals raising the following common questions of law:a) whether the income tax tribunal is right in law particularly in the light of sections 5 and 145 of the income tax act, 1961, in rejecting the method of accounting adopted by the appellant under which income or loss as the case may be arises or accrues by netting dividend against chit loss ..... , only at the end of the chit period of each chit group ?b) whether the income-tax tribunal is right in law in applying the .....Tag this Judgment!
Court : Chennai
Decided on : Jul-17-2006
Reported in : 288ITR400(Mad)
..... is not mandatory but only directory and that the assessing officer has power under sub-sections (5) and (9) of section 139 of the income-tax act to grant opportunity to rectify the omission and he is not justified in disallowing the claim of the assessee under section 80hhc on the ground that ..... .b.b. motilal malwasie trust : 195itr825(cal) , wherein the calcutta high court held as follows:sub-section (5) of section 139 of the income-tax act, 1961, enables an assessee to file a revised return and sub-section (9) of section 139 empowers the assessing officer to intimate defects in the return to ..... are unable to accept the said contention. in this connection, we are inclined to refer to sub-sections (5) and (9) of section 139 of the income-tax act, which read as follows:(5) - if any person, having furnished a return under sub-section (1), or in pursuance of a notice issued under sub-section ..... 93 for the assessment year 1993-94 claiming a loss of rs. 12,31,784/- and the assessment under section 143(3) of the income-tax act (for brevity 'the act') was completed on 29.3.96. in this assessment, the interest paid on borrowed funds which was diverted to sister-concerns was not disallowed ..... cannot be ignored simply because the revised return was not furnished unless it is shown that the purpose of the act is not satisfied. 7.2. again in murali export house v. commissioner of income-tax : 238itr257(cal) , the calcutta high court has held that the filing of the special audit certificate .....Tag this Judgment!
Court : Chennai
Decided on : Sep-05-2006
Reported in : (2007)209CTR(Mad)246; 289ITR245(Mad)
..... .4.1997 and hence, the amounts should be construed as additional compensation charged on receipt basis under section 45(5)(b) of the income-tax act.6. before proceeding further, it is apt to refer section 45(5) of the income-tax act as under:45(5) notwithstanding anything contained in sub-section (1), where the capital gain arises from the transfer of a capital asset ..... time limit to prefer appeal expired.2.3. the assessing officer reopened the assessments for assessment years 1997-98 and 1998-99 under section 147 of the income-tax act and made reassessments bringing to tax the amounts received by the assessees as per interim directions of the calcutta high court as additional compensation assessable as capital gains under section 45(5)(b) of ..... . in the view we have taken, it is not necessary to go into (i) the question of applicability of section 45(5)(c) of the income-tax act; and (ii) the question of non-consideration of the decision of this court in t. girija ammal case : 282itr614(mad) by the tribunal.in the result, the first question ..... the income-tax act.2.4. the commissioner of income-tax (appeals) dismissed the appeal filed by the assessees. on further appeal, the appellate tribunal upheld the order of the commissioner of income-tax (appeals). hence, the present appeal.3. the primary issue that arises in all the appeals is as .....Tag this Judgment!
Court : Chennai
Decided on : Oct-25-2006
Reported in : (2007)207CTR(Mad)428
..... export of garments and textiles. the assessee filed a 'nil' return of income for the assessment year 1993-94 on 29.10.1993. the return was processed under section 143(1)(a) of the income-tax act, 1961 (hereinafter referred to as 'the act') and an intimation dated 2.3.1994 was sent to the assessee. 2 ..... .2. then, notice under section 143(2) of the act was issued and a detailed questionnaire dated 30.6.1995 eliciting explanation ..... said 20% disallowance out of total payment of rs. 27,61,100/- paid in cash under section 40a(3) of the act, the assessee preferred an appeal before the commissioner of income-tax (appeals), who, by order dated 30.7.1998, held as follows:the appellant pleaded that the payment made to the associate ..... increased to rs. 20,000/-.5. it is also relevant to refer rule 6dd(j) of income-tax rules, 1962 (hereinafter referred to as 'the rules'), framed in exercise of the powers conferred by section 295 of the act, which reads thus:6dd. no disallowance under sub-section (3) of section 40a shall be ..... the reason that the payments were made to associate concerns and such reason that weighed the commissioner of income-tax (appeals) is not only illogical, but also outside the scope of section 40a(3) of the act. if such reason is accepted, the transactions which frustrate section 40a(3) would pave way for .....Tag this Judgment!
Court : Chennai
Decided on : Oct-10-2006
Reported in : (2007)212CTR(Mad)228; 292ITR310(Mad)
..... p.p.s. janarthana raja, j.1. this appeal is filed by the revenue under section 260a of the income tax act, 1961 in i.t.a. no. 1771/mds/1994, passed by the income tax appellate tribunal, madras, 'b' bench raising the following substantial questions of law. (i) whether in the facts and circumstances of the case the tribunal was right in quashing the order ..... the total income at rs. 13,14,679/-. the assessee surrendered the group gratuity scheme with lic and received a sum of rs. 8,22,925/- during the year relevant to the ..... on 26.12.1989 as nil income. later, the assessee filed revised return on 15.11.1991 returning nil income. the revised return was filed beyond the time limit prescribed under the act. the same was ignored by the assessing officer and the assessment was completed under section 143(3) of the income-tax act (hereinafter referred to as the 'act') on 21.01.1992 and determined ..... assessment year 1989-90. as there was no proper enquiry made by the assessing officer in the assessment completed on 21.01.1992, the commissioner of income-tax passed order under section 263 of the act and set aside the assessment, with a direction to the assessing officer to assess the said amount under section 41(1) of the .....Tag this Judgment!
Court : Chennai
Decided on : May-23-2006
Reported in : 133CompCas568(Mad); 2006(204)ELT386(Mad); 70SCL203(Mad); 2006STR406
..... there is no provision either in fera 1973 or in fema 1999, enabling the payment of interest on refund, though similar such provisions are incorporated in the other acts like customs act, central excise act and income tax act. therefore, cases arising under fera should not be equated with the cases arising under other enactments. 11. in the written submissions, it is also submitted that, ..... order passed in the above said c.m.as is not wrongful or illegal. 9. it is the further submission of the learned senior counsel that in other acts like, central excise act, customs act and income tax act, specific provisions have been incorporated providing for payment of interest under specified circumstances whereas, there is no such provision in fera 1973. further, according to the ..... senior counsel further submitted that the hon'ble supreme court of india in the case of sandvik asia ltd. v. cit reported in (2002) 280 itr 643, has directed payment of interest on interest in a case arising under the income tax act, eventhough there is no provision. the learned senior counsel further submitted that in the case of one smt. r. ..... . in the case of collector of central excise v. thermo electric madras . v. commissioner of income-tax and ors. reported in : 280itr643(sc) , the hon'ble supreme court directed payment of interest on interest, eventhough there is no provision to that effect in the income tax act. in that decision, it is laid down as follows: even assuming that there is no provision .....Tag this Judgment!