Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2011 (9) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2011 (9) TMI 136 - HC - Income TaxComputation of book profit - minimum alternate tax (MAT) - Adjustment on account of provision for bad and doubtful debts and advances - rectification u/s 154 - adjustment on account of depreciation provision prior to 1.4.1998 written back in the profit and loss account is to be included as part of book profit - Held that:- it is apparent that the sum of Rs.11,71,39,380/- which is the depreciation on fixed assets and which were sold or disposed of was provided for in the previous year ending on 30th September, 1987 and had been credited/written back to the Profit & Loss Account for the current year. Clause (i) of Explanation to Section 115J(1A) is clearly attracted and the said amount is to be reduced from the book profit. - the authorities below committed substantial error of law in adding the amount of Rs.11,71,39,380/- by totally misinterpreting the provisions of Section 115J of the Act and ignoring the aforesaid observations of the Supreme Court in Apollo Tyres Ltd. Vs. CIT, reported in AIR (2002 -TMI - 6081 - SUPREME Court) - Decided in favor of assessee.
|