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2018 (1) TMI 1739 - ITAT KOLKATAAddition of excise duty on closing stock - AO observed that since the deduction of excise duty on closing stock was already allowed in the P&L account, further deduction of the excise duty on closing stock in the computation of income u/s. 43B of the Act is not allowable and accordingly, he added back the amount to the income of the assessee - HELD THAT:- We note that the deduction claimed in the earlier year i.e. AY 2005-06 was added back in the relevant assessment year under consideration i.e. AY 2006-07. This treatment is inconsonance with the ratio decidendi in Berger Paints India Ltd. [2004 (2) TMI 4 - SUPREME COURT] We note that similar issues arose in subsequent year in assessee’s own case for AYs. 2009-10, 2008-09 and 2007-08 and the Tribunal held that the treatment carried out by the assessee in respect of the excise duty as legally tenable. We note that in identical case the decision in the case of Exide Industries Ltd. [2013 (6) TMI 533 - ITAT KOLKATA] was upheld by the Hon’ble jurisdictional High Court in [2014 (1) TMI 1844 - CALCUTTA HIGH COURT] and the CIT(A) has relied on the Tribunal’s order in ordering deletion of the addition made by the AO. Therefore, we do not find any infirmity in the order passed by Ld. CIT(A) and we uphold the same. Therefore, appeal of revenue is dismissed.
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