Court : Income Tax Appellate Tribunal ITAT Madras
Reported in : (1996)57ITD55(Mad.)
1. This appeal filed by the assessee is against the order of the CIT (Appeals) dated 26-10-1988 for the assessment year 1985-86, for which the previous year ended on 24-10-1984.2. The assessee is a trust. For the assessment year 1985-86 it filed a return of income on 30-9-1985 in the status of Association of Persons showing an income of Rs. 1,69,412 under the head 'business'. The assessment was completed under Section 143(3) on 13-12-1985 computing the total income at Rs. 1,84,720. The Income-tax payable thereon was calculated at the rate of 61.875%, which worked out to Rs. 1,14,295.The assessee preferred a petition dated 10-4-1986 under Section 154 of the Income-tax Act, 1961 and prayed that there was a mistake apparent from the record in the calculation of Income-tax. According to the said petition the Income-tax should be calculated at Rs. 81,846 and surcharge at Rs. 10,231. According to the assessee, the Income-tax and Surcharge would come to Rs. 92,077 as against Rs. 1,14,295 det...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Madras
Reported in : (1996)57ITD286(Mad.)
1. This is an appeal by the assessee. The appellant is a company in which public are substantially interested. The previous year of the appellant ended on 31-3-1992 relevant to the assessment year 1992-93.The assessment was completed under the provisions of Section 143(3) of the Income-tax Act. In arriving at the business income, the appellant had debited a sum of Rs. 1,59,75,409 as interest paid (which included a sum of Rs. 1,20,20,766 being interest paid to the holding company). The Assessing Officer noticed from the accounts that a sum of Rs. 1,99,78,000 was due from M/s. Unitel Communications Limited, a joing sector project promoted by U.B. Group companies, of which the appellant is one such company. But no interest was charged by the appellant on such advance. It was explained before the Assessing Officer that the financial position of Unitel Communication's Limited was in a precarious condition and as the assessee is one of the major shareholders, at the request of the borrower ...
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