TMI Blog2005 (12) TMI 463X X X X Extracts X X X X X X X X Extracts X X X X ..... s Account after obtaining it from the assessee. 2. In course of arguments before us, it was submitted by learned AR of the assessee that surplus on revaluation should have been credited directly to Revaluation Reserve Account and not to Profit Loss Account as per the provisions of the Companies Act and Accounting Standards particularly AS-10 issued by the Institute of Chartered Accountants of India. It was submitted that as per this Accounting Standard, surplus on revaluation is to be credited to Revaluation Reserve Account. It was contended that this submission of the assessee was rejected by the Tribunal by relying on the judgment of Hon ble Apex Court rendered in the case of Apollo Tyres Ltd. v. CIT [2002] 255 ITR 273 but this ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is Tribunal order. 4. We have considered the rival submissions and perused the materials on record and we have gone through the provisions of section 115J and section 115JA and also the judgments cited by both sides. We have also gone through the impugned Tribunal order dated 30-9-2002 and we find that as per the contentions of learned counsel of the assessee as recorded by the Tribunal on page 8 in para 5 of this Tribunal order, the main contention of the assessee was that the Assessing Officer should have computed the net profit in accordance with Parts II and III of Schedule VI of the Companies Act, 1956 even if the assessee had not correctly done so. This aspect of the issue was decided by the Tribunal on page 13 of the impugned Tri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eneral meeting in accordance with the provisions of section 210 of the Companies Act, 1956 (1 of 1956) : Provided further that where a company has adopted or adopts the financial year under the Companies Act, 1956 (1 of 1956), which is different from the previous year under the Act, the method and rates for depreciation shall correspond to the method and rates which have been adopted for calculating the depreciation for such financial year or part of such financial year falling within the relevant previous year." 6. In view of these two provisos in section 115JA(2), we find force in the contention of learned AR of the assessee. There is no doubt that these two provisos make the provisions of section 115JA materially different with t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s of section 210 of the Companies Act, 1956 (1 of 1956) is to be adopted for the purpose of section 115JA except for making adjustments as provided in Explanation to section 115JA(2), then there was no need or purpose of these two provisos and these provisos have no application and they become redundant. We do not foresee any situation other than preparing of a separate Profit Loss Account, where these provisos can be put to use. Legislature do not add any thing in the statute which is redundant and is of no use and therefore, we find that there is a mistake in this Tribunal order since this aspect of the matter was decided by following the judgment rendered in the case of Apollo Tyres Ltd. ( supra ) without considering the difference ..... X X X X Extracts X X X X X X X X Extracts X X X X
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