TMI Blog2014 (9) TMI 1173X X X X Extracts X X X X X X X X Extracts X X X X ..... lly following the decision of Adbhut Trading Co. Pvt. Ltd. (supra) and in the case of Akshay Textiles Trading and Agencies Pvt. Ltd [2007 (10) TMI 251 - BOMBAY HIGH COURT]), we do not find any infirmity in the order of ld. CIT(A) for deleting the addition under Section 115JB. - I.T.A. No.6665/Mum/2008, C.O. No. 158/Mum/2014 (Arising out of ITA No. 6665/Mum/2008) - - - Dated:- 8-9-2014 - SHRI R.C. SHARMA, ACCOUNTANT MEMBER SHRI AMIT SHUKLA, J.M. For the Appellant : Shri Sujit Bungar For the Respondent : Shri Satish Mody ORDER PER R.C. SHARMA, A.M. : This is an appeal filed by the Revenue and C.O. filed by the assessee are directed against the order of ld. CIT(A) - XXVII, Mumbai dated 28-8-2008 for the A.Y. 200 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e in the instant case, the profit was not credited to the P L account and the books of assessee company was certified by the Board of Directors of the company, in terms of decision by the Hon ble Supreme Court in the case Apollo Tyres Ltd. (supra), the A.O. was not justified in twinkling the P L account prepared by the assessee. The adjustments so made by A.O. does not fall within any of the clauses of Explanation provided below section 115JA. We find that the issue raised before us has already been considered and decided by the Hon'ble Supreme Court in the case of Apollo Tyres Ltd. vs. CIT(255 ITR 273). In that case, the assessee had claimed arrears of depreciation in the P L Account prepared under the Companies Act. The AO held that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uced below as a ready reference. The Assessing Officer, while computing the book profits of a company under section 115J of the Income-tax Act, 1961, has only the power of examining whether the books of account are certified by the authorities under the Companies Act as having been properly maintained in accordance with the Companies Act. The Assessing Officer, thereafter, has the limited power of making increases and reductions as provided for in the Explanation to section 115J. The Assessing Officer does not have the jurisdiction to go behind the net profits shown in the profit and loss account except to the extent provided in the Explanation. The use of the words in accordance with the provision of Parts II and III of Schedule VI to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rt in CIT Vs. Veekaylal Investment Co. (P) Ltd., (2001) 166 CTR (Bom) 96: (2001) 249 ITR 597 (Bom), was not applicable? The above issue was decided by the Hon ble jurisdictional High Court as under :- 2. Insofar as question C , our attention is invited to the judgment of the Supreme Court in Apollo Tyres Ltd. Vs. CIT (2002) 174 CTR (SC) 521 : (2002) 255 ITR 273 (SC). The question framed therein which is similar to the question C has been answered in favour of the assessee and against the Revenue. In the light of that the question of law as framed would not arise. 6. In the case of Adbhut Trading Co. Pvt. Ltd. 338 ITR 94, the Hon ble Bombay High Court held that once the accounts including profit and loss account had been prepar ..... X X X X Extracts X X X X X X X X Extracts X X X X
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