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2007 (7) TMI 210 - RAJASTHAN HIGH COURTLiability written back in the profit and loss account treated as income for the assessment year set aside by ITAT Held that:- It is trite saying that if there is a doubt about the taxing provision, the benefit of doubt must go to the assessee. The fact that clarification was introduced under section 41(1) with effect from April 1, 1997, clearly shows that the doubt prevailing in respect of section 41(1) has been clarified and that benefit must go to the assessee. As a matter of fact, this position is clarified by section 16 of the Finance (No.2) Act, 1996, which clarifies that the amendment by way of Explanation 1 will take effect from April 1, 1997, and will, accordingly, apply in relation to the assessment year 1997-98 and not previous years. The consideration of the matter by the Income-tax Appellate Tribunal does not suffer from any error of law.
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