Allahabad Court October 2006 Judgments

Cit Vs. Raza Textiles Ltd.

Court: Allahabad

Reported in: [2007]293ITR92(All)

R.K. Agrawal, J.1. Affidavit of service filed today be placed on record. 2. Both the appeals have been filed under Section 260A of the Income-tax Act, 1961 (hereinafter referred to as 'the Act'), and pertain to the assessment years 1974-75 and 1977-78, respectively.3. Sri Shambhoo Chopra, learned standing counsel for the revenue, submitted that in both the appeals common substantial questions of law have been raised and the facts are similar.4. The assessing authority had disallowed the claim of expenditure in respect of incentive bonus amounting to Rs. 48,929 and Rs. 7,17,830 respectively made by the respondent-assessee. The matter went up to the Tribunal and the Tribunal had directed the assessing authority to make enquiry and examine as to whether the payments were genuine or not and if the payments were found to be genuine and have been actually made by the assessee, then, its claim should be allowed. The operative portion of the order passed by the Tribunal is reproduced below:We ...