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TMI Blog2020 (11) TMI 931X X X X Extracts X X X X X X X X Extracts X X X X ..... manufacturing and selling of Polyester chips, polyester films and engineering plastics. For the assessment year 2005-06, they have filed their return of income on 30.10.2005 showing nil income after adjusting the brought forward losses to the tune of Rs. 17,61,29,318/-. Assessment u/s. 143(3) of the Income-tax Act (for short "the Act") was complete at Rs. Nil, but making certain disallowances of Rs. 16,50,000/- towards investments in mutual funds, Rs. 3,70,696/- towards club fees besides disallowing Rs. 1,16,64,344/- denying the carry forward short-term capital loss and the learned Assessing Officer reached the total income at Rs. 18,30,23,363/- under the normal provisions of the Act. The learned Assessing Officer further added a sum of R ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an opportunity to submit the material, if any, for verification of the entitlement to carry forward short term capital loss and therefore, we set aside the impugned finding of the ld. CIT(A) and remand the matter to the file of Learned Assessing Officer for verification of the claim of the assessee to carry forward short term capital loss by giving an opportunity to the assessee. Ground No. 1 of the assessee is, therefore, allowed for statistical purposes. 5. In so far as the second ground of appeal in respect of addition of Rs. 16.5 lacs towards unexplained investment is concerned, the assessee has been contending before the authorities below that two items of investment in Reliance Mutual Fund to the tune of Rs. 8.00 lacs on 02.04.2004 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s and direct the Learned Assessing Officer to delete these expenses. 7. Ground No. 4 & 5 relate to the addition of Rs. 18,18,000/- by disallowing the provision for bad and doubtful debt and advances and Rs. 4,82,73,000/- in respect of provision for deferred tax by adding it to the book profit u/s. 115JB for MAT. Ld. CIT(A) confirmed this addition by referring to the retrospective amendment to Section 115JB w.e.f. 01.04.2001 by way of Finance Act, 2008. Though the assessee placed reliance on certain decisions like AppolloTyres Ltd. Vs. CIT (2002) 255 ITR 273(SC) and decision of Hon'ble Delhi High court in CIT vs. HCL Comnet Systems & Services Ltd. (2008) 305 ITR 409 etc., in view of retrospective amendment to section 115JB, we cannot find f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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