TMI Blog2014 (9) TMI 1005X X X X Extracts X X X X X X X X Extracts X X X X ..... ant by : Shri Navdeep Sharma Respondent by : Shri Manjit Singh, DR ORDER Per SUSHMA CHOWLA, J.M. : The appeal filed by the assessee is against the order of the Commissioner of Income Tax(Appeals)-II, Ludhiana dated 01.06.2012 relating to assessment year 2008-09 against the order passed under section 143(3) of Income Tax Act, 1961 (in short the Act ). 2. The assessee has raised the following grounds of appeal: 1. That the Ld. CIT (A) -II erred in law and facts in not deleting the addition of ₹ 6206581/- made by the assessing officer u/s 14A by applying rule 8D of the Income Tax Rules on account of expenses deemed to have been incurred to earn Dividend Income and Long Term Capital Gain. Directions be given ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... izing of expenditure. 4. The learned A.R. for the assessee fairly admitted that first part of ground No.1 is not pressed and similarly even ground No.2 is not pressed. Consequently, the only issue arising before us is in relation to computation of book profits under section 115JB of the Act. The learned A.R. for the assessee further pointed out that the issue is squarely covered by the order of the Tribunal in ITA No.870/Chd/2013 in the case of sister concern of the assessee. 5. The learned D.R. for the Revenue placed reliance on the orders of the authorities below. 6. We have heard the rival contentions and perused the record. We find that recomputation of book profits under section 115JB of the Act arose before the Tribunal in AC ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ve heard the rival contentions and perused the record. The only issue arising in the present appeal is in respect of computation of book profits under section 115JB of the Act. The Assessing Officer while computing the said book profits had added back the disallowance worked out under section 14A of the Act of the net profits of the business and computed the tax liability of the assessee company thereafter. We find that the issue in the present case is covered by the order of the Chandigarh Bench of the Tribunal in DCIT Vs. Ind-Swift Ltd. (supra) where vide order dated 30.11.2009 vide para 8 it was held as under: 8. The ground 1(iv) raised by the Revenue is against the computation of book profits u/s 115 JB of the Act. The Assessing Off ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... determining book profits under section 115JB of the Act. 7. Similar issue was arose in assessment year 2009-10 in assessee s own case in ITA No.1353/Chd/2012 - order dated 16.4.2013. Following the parity of reasoning and issue being identical we find no merit in the aforesaid addition made by the Assessing Officer and upholding the order of the CIT (Appeals) we dismiss the grounds of appeal raised by the Revenue. 7. The issue before us is identical to the issue before the Tribunal in the case of sister concern and following the same parity of reasoning we direct the Assessing Officer to exclude the disallowance made under section 14A of the Act, while computing the book profits u/s 115JB of the Act. We direct the Assessing Officer to ..... X X X X Extracts X X X X X X X X Extracts X X X X
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