Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2019 (1) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (1) TMI 38 - HC - Income TaxProceedings u/s. 158BD initiated in order to disallow depreciation on assets leased to REPL - search conducted u/s 132 - difference between the regular assessment and the block assessment - Held that:- Once the Assessing Officer (or the searched person) was satisfied that any undisclosed income belonged to the Assessee, as in the present case, he would hand over the books of account, other documents or assets seized or requisitioned to the Assessing Officer of the present assessee who would than proceed under Section 158BC of the Act. Accordingly, even in case of the person other than searched person, upon finding of any income belonging to the person during search, the block assessment procedure had to be undertaken. As decided in COMMISSIONER OF INCOME-TAX VERSUS DR. M. KE MEMON [2000 (3) TMI 19 - BOMBAY HIGH COURT] regular assessment is to ensure that the assessee had not understated the income or has not computed excessive loss or has not underpaid the tax in any manner whereas what is assessed under Chapter XIVB is only the undisclosed income for the block period and not the income or loss of the previous year which is only done in the normal regular assessment under section 143(3). Tribunal was right in holding that proceedings u/s. 158BD ought to have been initiated in order to disallow depreciation on assets leased to REPL - decided against revenue Allowance of broken period interest - Held that:- Question (b) is covered by the Judgment of this Court in the case of CIT v/s. HDFC Bank Ltd. [2014 (8) TMI 119 - BOMBAY HIGH COURT]. Since there is no dispute with respect to this, we do not find it necessary to give detail background of the issue and the decision of the Court in case of this very Assessee. This question is, therefore, not entertained Appeal admitted for consideration of the question (c)- “(c) Whether on the facts and circumstances of the case and in law, the Tribunal was right in holding that depreciation on the sale and lease back transaction of the assets to AEL should be allowed u/s.32 of the Income Tax Act,1961?”
|