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2017 (12) TMI 566 - AT - Income TaxDisallowance of business expenses - Held that:- Bare perusal of the highlighted expenses disallowed by the AO and sustained by the ld. CIT (A) goes to prove that apparently, the same cannot be treated as business expenses without perusing the exact nature and detail of the expenses. Ld. CIT (A) has merely sustained the addition on the basis of estimation without calling upon the detail as to the nature thereof and without providing an opportunity of being heard to the AO. So, in these circumstances, the question framed is answered in favour of the assessee and this issue is remanded to the file of the ld. CIT (A) to decide afresh by providing an opportunity of being heard to the assessee Addition to the book profit computed u/s 115JB instead of addition to the normal loss computed under the Act - Held that:- Hon’ble Supreme Court in Apollo Tyres Ltd. (2002 (5) TMI 5 - SUPREME Court ) has held that the AO while computing the book profit of a company u/s 115JB of the Act has only the power of examining whether the books of account were certified by the authorities under the Companies Act or having been properly maintained under the Companies Act. In the instant case, undisputedly, the AO has not found any discrepancies in the audited books of account relied upon by the assessee company. So, in these circumstances, the AO to compute the tax liability u/s 115JB in accordance with law laid down by Hon’ble Apex Court in Apollo Tyres Ltd. (supra). - Decided in favour of assessee.
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