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2015 (10) TMI 397 - HC - Income TaxMAT - Book profit - whether the Assessing Officer while assessing a Company for income-tax under Section 115J of the Income Tax Act could question the correctness of the profit and loss account prepared by the assessee-company and certified by the statutory auditors of the company as having been prepared in accordance with the requirements of Parts II and III of Schedule VI to the Companies Act? - Held that:- Tribunal should not place reliance on decisions without discussing as to how the factual situation fits in with the fact situation of the decision on which reference is placed. However, in the instant case, as we have observed above, once net profit shown in the profit and loss account of the Company has been prepared in accordance with the provisions of part II and III of Schedule VI to the Companies Act, it was not open to the Assessing Officer to embark upon a fresh inquiry in regard to the entries made in the books of account of the company. Therefore, the question of remitting the matter to the Tribunal does not arise. In our view the controversy involved in the present appeal is squarely covered by the decision of the Supreme Court in the case of Apollo Tyres (2002 (5) TMI 5 - SUPREME Court) that there cannot be two incomes, one for the purpose of the Companies Act and another for the purpose of income-tax. We are of the opinion that the provision of Section 115J does not empower the Assessing Officer to embark upon a fresh inquiry in regard to the entries made in the books of account of the company.
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