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2010 (7) TMI 1125 - AT - Income TaxApplication under Rule 27 - reopening of the assessment - opening stock of TTK Biomed Ltd.- HELD THAT:- A perusal of the Balance Sheet and Schedule 7 thereto of TTK Biomed Ltd. as on 30.6.1999 clearly shows that the closing balance shown is as on 30.6.1999 at ₹ 6,91,58,608/-. Thus the opening stock as on 1.7.1999 would be at ₹ 6,91,58,608/-. In the circumstances we are of the view that the assessee has adopted the opening stock of TTK Biomed Ltd. as on 1.7.1999 at ₹ 6,91,58,608/- and such figure is not the opening stock as on 1.4.1999. Therefore the issue as noted in the assessment order being the first issue is held against the Revenue. Consequently, Revenue’s appeal stand dismissed. excess grant of depreciation - HELD THAT:- From the facts, it cannot be said that income chargeable to tax has escaped assessment on account of the excess grant of depreciation on the plant and machinery transferred by TTK Biomed Ltd to the assessee company. We may also mention here that the learned CIT(A) has deleted the addition made on this count and the Revenue has not preferred any ground against such deletion. subsidy received by the assessee - HELD THAT:- From the facts as the subsidy received are not the income of the assessee for the relevant assessment year the finding of the learned CIT(A) in deleting the same is found to be correct and also the same does not result in escapement of income which gives room for reopening. We may also mention here that the order of the learned CIT(A) in deleting this addition has also been accepted by the Revenue insofar as no ground has been raised against such deletion. In the circumstances, the appeal of the Revenue is partly allowed and the application under Rule 27 of the ITAT Rules raised by the assessee is admitted for adjudication and dismissed on merits. Consequently the reopening of the assessment is upheld and the Revenue’s appeal stands partly allowed.
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