TMI Blog2020 (2) TMI 520X X X X Extracts X X X X X X X X Extracts X X X X ..... Ampthil Hospital were not allowable expenses and the additions made on variation in the raw materials and production was also justified and unless such findings rendered by the Tribunal are found to be perverse by this court, the Appeals under Section 260A of the Act are not maintainable. - Decided against assessee. - Tax Case (Appeal) Nos.670 & 671 of 2010 - - - Dated:- 29-1-2020 - Dr. Justice Vineet Kothari And Mr. Justice R. Suresh Kumar For the Appellant : Mr.Venkatnarayanan for M/s.Subbaraya Aiyar Padmanabhan For the Respondent : Mr.T.Ravikumar Senior Standing Counsel COMMON JUDGMENT DR.VINEET KOTHARI, J. The Assessee has filed the Appeals agreed by the common order passed by the learned Tribunal for the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed products from the major raw materials, the assessing officer referred to the quantitative information in respect of each class of raw materials consumed and goods manufactured. The assessing officer compared the ratio of total production of raw materials consumed in the previous year with the current assessment year and held that consumption was more to the extent of ₹ 13,02,479/- as excess consumption of raw materials. Upon assessee's appeal, the learned CIT(A) did not find the assessee's explanation sufficient and upheld the order of the Assessing Officer. 6. We have heard both the counsels and perused the records. The learned D.R. averred that the assessee has neither maintained nor provided the necessary details as r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e in consumption which in other words means abnormal shortage/wastage/loss is actually justified. As such the uphold the order of the lower authorities and decide the issue against the assessee. ..... ...... 14. One issue raised in ITA 1852 is regarding disallowance of contributions made to the Lady Amphthill Hospital. On this issue, it is to be noted that the assessee has made contribution of ₹ 3,00,000/- towards the hospital and claimed the sum as the admissible expenses on account of staff welfare. The assessee has claimed that the contribution would enable the employees to have medical facilities at a confessional rate. However, it has been noted by the A.O. and the learned CIT(A) that the assessee has not given any proof fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aterials? ii) Whether, on the facts and in the circumstances of the case, the Tribunal was justified in holding that the appellant had not established the increase in consumption of raw materials, in spite of the break-up of raw materials and production details furnished by the appellant? and iii) Whether, on the facts and in the terms of the case, the Tribunal was justified in law in holding that the contribution made to Lady Ampthill Hospital by which the employees were entitled to concessional facilities, is not an allowable deduction? 4. The learned counsel Mr.Venkat Narayanan appearing for the Assessee sought to urge that the learned Tribunal was not justified in upholding the disallowances of the expenses made by the lo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e additions made on variation in the raw materials and production was also justified and unless such findings rendered by the Tribunal are found to be perverse by this court, the Appeals under Section 260A of the Act are not maintainable. 9. Even though these Appeals were admitted on the questions of law quoted above, we do not find them to be really questions of law arising from the order of the learned Tribunal. 10. Therefore, we are satisfied that there is no merit in the present Appeals filed by the Assessee and in the absence of any relevant evidence produced by the Assessee, the Authorities had no other option, but, to draw an adverse inference against the Assessee. Therefore, the Appeals of the Assessee are dismissed and questi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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