Allahabad Court July 1993 Judgments

Abbas Wazir Pvt. Ltd. Vs. Income-tax Appellate Tribunal and ors.

Court: Allahabad

Reported in: [1994]205ITR457(All)

V.N. Khare, J. 1. The petitioner is engaged in the business of manufacture and sale of carpets. For the assessment year 1982-83, the petitioner was assessed towards income-tax by the Inspecting Assistant Commissioner of Income-tax, Varanasi. In the year 1986, the Assessing Officer reopened the assessment for the year 1982-83, and one of the grounds for reopening the assessment was that the bonus paid by the assessee to its workmen was in excess of the amount permissible under the Payment of Bonus Act, 1965. By the order dated March 22, 1987, the Inspecting Assistant Commissioner of Income-tax (Assessment) reassessed the income of the petitioner for the assessment year 1982-83. Aggrieved, the petitioner preferred an appeal before the Commissioner of Income-tax (Appeals), Varanasi. The Commissioner of Income-tax (Appeals) by order dated March 24, 1988, partly allowed the appeal. The Commissioner of Income-tax allowed the claim of the petitioner regarding payment of bonus at the rate of 2...