TMI Blog2014 (7) TMI 219X X X X Extracts X X X X X X X X Extracts X X X X ..... rged u/s 143(1A) of the Act could be deleted u/s 154 - an order passed u/s 250 or 254 of the Act by which the disallowance has been deleted has to be given effect to by a consequential act to be done by the Assessing Authority u/s 154 of the Act - Decided against Revenue. - Income Tax Appeal No.24 of 2000 - - - Dated:- 1-7-2014 - Hon'ble Tarun Agarwala And Hon'ble Mahesh Chandra Tripathi,JJ. ORDER (Per: Tarun Agarwala, J.) The assessee filed the return of income for the assessment year 1990-91, which was processed under Section 143(1)(a) of the Income Tax Act, 1961 (hereinafter referred to as the Act). The Assessing Officer, while processing the return of income, made various adjustments including computation of book ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ccount of depreciation claimed by the assessee on tube well was incorrect and that there was no justification for the Assessing Authority to make any disallowance by way of adjustment while processing the return under Section 143(1)(a) of the Act. The appellate authority, accordingly, held that the adjustment so made was liable to be rectified under Section 154 of the Act. The appellate authority however, found that the disallowance under Section 43-B of the Act was justifiable in view of the fact that the conditions laid down under Section 43-B of the Act was not satisfied by the appellant. The appellate authority further found that the additional tax was incorrectly charged by the Assessing Officer holding that no additional tax was ch ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... total income declared in the return by any amount, the Assessing Officer shall, - (i) further increase the amount of tax payable under sub-section (1) by an additional income tax calculated at the rate of twenty per cent of the tax payable on such excess amount and specify the additional income tax in the intimation to be sent under sub-clause (I) of clause (a) of sub-section (1); (ii) where any refund is due under sub-section (1), reduce the amount of such refund by an amount equivalent to the additional income tax calculated under sub-clause (i). (b) where as a result of an order under section 154 or section 250 or section 254 or section 260 or section 262 or section 263 or section 264, the amount on which additional income tax ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... then additional tax could be imposed. In the light of the aforesaid, the CIT (A) was not justified in holding that no additional tax was chargeable where the net result of adjustment was a negative figure. The Tribunal also committed an error in affirming this finding in view of the decision of the Supreme Court in J.K. Synthetics Ltd. (supra). However, the decision of the Tribunal on this limited ground cannot be set aside, inasmuch as the appellant has no where indicated nor attacked the order of the CIT (A) on merits whereby the appellate authority held that the Assessing Authority was not justified in making the disallowance by way of adjustment while processing the returns under Section 143(1)(a) of the Act. The appellant has no ..... X X X X Extracts X X X X X X X X Extracts X X X X
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