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2016 (7) TMI 524 - AT - Income TaxRevision u/s 263 - disallowance under section 14A by applying Rule 8D - Held that:- We find merit in the contention of assessee that the said Rule not being applicable to the year under consideration, i.e. A.Y. 200607, it cannot be said that there was any error in the order of the Assessing Officer in not making disallowance under section 14A by applying the said Rule. At the time of hearing before us, even the ld. D.R. has not been able to raise any material contention to dispute this position. We, therefore, hold that there was no such error in the order of the Assessing Officer calling for revision by the ld. CIT under section 263.- Decided in favour of assessee MAT - Not adding the profit arising from sale of shares while computing the book profit - Held that:- It is observed that such profit was not credited by the assessee to the Profit & Loss Account for the year under consideration and the same was shown as liability in the balance-sheet. The amount of such profit, therefore, was not included in the profit as reflected in the Profit & Loss Account prepared by the assessee, which was duly audited and presented in the A.G.M. As held by the Hon’ble Supreme Court in the case of Apollo Tyres (2002 (5) TMI 5 - SUPREME Court ), the profit reflected in the Profit & Loss Account, which is duly audited and presented before the A.G.M., cannot be tinkered with except by way of adjustments, which are permissible as per Explanation to Section 115JB. It is an undisputed position that the adjustment on account of profit arising from sale of shares, which was not credited to the Profit & Loss Account of the assessee-company is not covered by such Explanation. Moreover, it is also pertinent to note that this issue was examined by the Assessing Officer during the course of assessment proceedings and the claim of the assessee thereon was accepted by the Assessing Officer on such examination by applying his mind, as is evident from the relevant observations recorded by the Assessing Office. Thus we are of the view that there was no error in the order of the Assessing Officer in not including the profit arising from the sale of shares of M/s. Apeejay Finance Group Limited in the book profit as alleged by the ld. CIT in his impugned order calling for revision under section 263.- Decided in favour of assessee Not verifying the quantum of short-term capital gain declared by the assessee on sale of flats as per the relevant section 50 - Held that:- As the assessee has not raised any argument to dispute or challenge the same. We, therefore, uphold the impugned order of the ld. CIT in so far as this issue is concerned. - Decided against assessee
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