TMI Blog2016 (1) TMI 1033X X X X Extracts X X X X X X X X Extracts X X X X ..... e acquisition of land results into displacement of land owners, as per the policy of resettlement and rehabilitation for land outstees, they are to be given employment in the assessee company and till such employment is given the assessee company is liable to pay subsistence allowance at the rate of ₹ 2,500/per month per person. It has no corelation with area or extent of land acquired. The company, as a prudent measure, has evolved the policy to pay a lump sum consideration to such land oustees in lieu of employment. If the company is not in a position to provide employment, then only the subsistence allowance at the rate of ₹ 2,500/was/ is being paid. Thus, this subsistence allowance is a liability which arises only after the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es on that count. 3] Insofar as the overloading charges are concerned, after hearing learned Advocate Shri Parchure for the Revenue and learned Advocate Shri Dewani for the assessee, we find that the percentage of overloading charges paid by the assessee to the railways as compared to the normal loading charges is minuscule. The overloading charges do not appear to have been paid deliberately. Learned Advocate Shri Dewani attempted to explain that on account of mechanical process of loading coal into railway wagons, some times the extra coal is overloaded. He submits that all these are the contingencies in the course of business and no malice can be contributed to anybody. He states that the ITAT in paragraph 7 of its order correctly app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he policy of resettlement and rehabilitation for land outstees, they are to be given employment in the assessee company and till such employment is given the assessee company is liable to pay subsistence allowance at the rate of ₹ 2,500/per month per person. It has no corelation with area or extent of land acquired. The company, as a prudent measure, has evolved the policy to pay a lump sum consideration to such land oustees in lieu of employment. If the company is not in a position to provide employment, then only the subsistence allowance at the rate of ₹ 2,500/was/ is being paid. Thus, this subsistence allowance is a liability which arises only after the land is acquired if employment cannot be offered. Therefore, the ITAT ha ..... X X X X Extracts X X X X X X X X Extracts X X X X
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