Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1984)7ITD905(Hyd.)
1. This appeal is by the assessee and relates to the assessment year 1977-78.2. One set of the grounds of appeal contest the computation of relief available to the assessee under Section 80J of the Income-tax Act, 1961 ('the Act'). The ITO had made the computation holding that the amendment made by the Finance (No. 2) Act, 1980, being retrospective, was applicable to the assessment year in question. The contention of the assessee that the validity of the retrospective amendment was under challenge and, therefore, the computation should not be upheld, did not find acceptance of the Commissioner (Appeals) who rejected the claim.The assessee is in appeal before us on this point and it was brought to our notice by the learned counsel that for the succeeding assessment years, i.e., 1978-79, 1979-80 and 1980-81, a similar issue had arisen and he has taken us through our order in IT Appeal Nos. 221, 222 and 226 (Hyd.) of 1982, dated 18-7-1983. There we have considered the contentions of the ...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1986)18ITD515(Hyd.)
1. These appeals are by the assessee. As common issues are involved, they are disposed of in a consolidated order for the sake of convenience.2. The first point in dispute is as regards the quantum of deduction under Section 36(1)(viii) of the Income-tax Act, 1961 ('the Act')- The assessee, Andhra Pradesh State Financial Corpn., is approved by Central Government, for purposes of Section 36(1)(iii). During the relevant previous years, it had created a special reserve in its accounts and claimed deduction under Section 36(i)(viii) at 40 per cent, viz., 40/100 of its total income. The IAC, however, allowed the claim of the assessee at 40/140 of the total income. The assessee was unsuccessful before the Commissioner (Appeals).3. Before us, it was urged by Shri Y. Ratnakar, the learned counsel for the assessee, that the assessee is entitled to deduction of 40 per cent of its total income as it had created the necessary special reserve as envisaged in Section 36(1)(viii). The total income i...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1982)2ITD60(Hyd.)
1. In this appeal preferred by the assessee the only point agitated is that the deduction of the life insurance premia paid by the assessee, an individual, to keep in force an insurance policy on the lives of her children even after they attained majority should be allowed under the provisions of Section 80C(2)(a) of the Income-tax Act, 1961 ("the Act"), for the assessment year 1977-78.2. The ITO disallowed the claim, following the order passed by the AAC for the earlier assessment year 1976-77, holding that the assessee was not eligible for the said deduction. On appeal the AAC followed his own order for the earlier assessment year 1976-1977, in which he had held that accord-to Section 80C(2)(b)(;7), when a minor became a major he should adopt the ing policy in his name and the premia should also be paid by him and that in the assessee's case this was not so. He had further observed that the minors on whose lives the policies were taken had become majors and they were income-tax asse...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1984)7ITD133(Hyd.)
1. The appeal relating to the assessment year 1976-77 has been filed by Nagarjuna Fertilisers and Chemicals Ltd. as agents of L.H. Manderstaa and Partners Ltd. and the appeal for the assessment year 1978-79 has been filed by the revenue. Since some common issues are involved, they are dealt with together.2. The assessee is a public company in joint sector during the years and is now said to be a Government company. The business of the assessee was to run a fertiliser factory and during the years under consideration, the project was being established. The assessee had engaged the services of L.H. Manderstan and Partners Ltd. of United Kingdom to act as experts for assisting the assessee in establishing the project. There was correspondence culminating in an agreed draft agreement. However, even before the agreement was signed, the services had already been rendered and the amount had become due. Hence, there was no occasion for signing a formal agreement. The assessee applied for forei...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1984)8ITD249(Hyd.)
1. These appeals are by the revenue and they arise out of a common order of the Commissioner (Appeals). The assessee is common and, hence, they can be taken up together and disposed of conveniently by a common order. The assessee is a private limited company doing business in tobacco. The accounting year is Diwali year and so it ended by 31-10-1975, 31-10-1976, 31-10-1977, 31-10-1978 and 31-10-1979, respectively, for the assessment years 1976-77 to 1980-81.2. The first ground is against the allowance of business promotion expenses for the assessment years 1976-77 to 1980-81 and the amounts involved are Rs. 3,280, Rs. 534, Rs. 3,127, Rs. 10,480 and Rs. 7,858, respectively. These amounts were disallowed by the ITO on the ground that they include sums spent towards club subscriptions and entertainment expenditure in respect of guests. In the assessment year 1977-78, it is stated that the disallowance was of the expenditure incurred towards tea, coffee and biscuits supplied to the guests ...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1984)8ITD511(Hyd.)
1. This is an appeal filed by Vazir Sultan Tobacco Co. Ltd. of Hyderabad against the order of the Commissioner (Appeals) for the assessment year 1979-80.3. The next ground relates to the claim of the assessee under Section 35CC of the Income-tax Act, 1961 on a programme approved by the prescribed authority. The total amount expended was Rs. 4,56,898. Tee ITO disallowed Rs. 99,225 out of the same on the ground that this part of the expenditure was incurred before 21-2-1978, the date with effect from which the approval was granted by the prescribed authority. It is the assessee's case that once the programme is approved, there is no point in disallowing any part of the same as the expenditure for the programme as a whole has to be considered. The authorities, however, have pointed out that the proviso to Sub-section (1) of Section 35CC lays down that the approval should have been obtained before incurring expenditure. The first appellate authority confirmed the disallowance for the same...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (2007)106ITD256(Hyd.)
1. This is an appeal of the assessee challenging as erroneous the order dated July 26, 2004, of the Commissioner of Income-tax(Central), Hyderabad, cancelling the registration granted to the assessee under Section 12AA of the Income Tax Act, 1961.2.2 The Appellant-assessee, Sri Chaitanya Educational Committee(SCEC), is a Society registered (No. 26/87) with the Registrar of Societies, Machilipatnam, Krishna district, Andhra Pradesh, under the Societies Registration Act, 1860. It is engaged in academic: field. It was formed with Shri Boppana Satyanarayana Rao as the President and his wife Smt.Boppana Jhansi Lakshmi Bai, as the Secretary. Other members of the Society consist of their close relatives like daughters Ms. Sushmasree and Ms. Seema and brother Shri B. Rajendra Prasad. It was formed with various objects, more specifically set out in the trust deed dated 26,1.1987, and noted in para 1.2 of the impugned order dated 26.7.2004 of the Commissioner. The assessee Society had applied f...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (2007)288ITR226(Hyd.)
1. This reference arises out of the appeal, against the assessment order passed by the DCIT, Central Circle-I, Hyderabad under Section 158BC of the Income-tax Act for the block period from 1.4.1989 to 18.11.1999, dated Nil, stated in the brief facts of the case by the assessee as completed on 27.4.2001, filed with the Tribunal on 13.12.2001, challenging the levy of surcharge of Rs. 3,65,680 on the tax of Rs. 86,56,800 levied at the special rate of 60%.2. At the outset, it would be appropriate to refer to the reasons furnished by the Division Bench, which led to the constitution of the Special Bench. Its reasons are extracted below: 2 The short issue in this appeal is whether the levy of surcharge in terms of the provisions of the Finance Act, 2002, is valid in a block assessment made under Section 158BC of the Income-tax Act. The tax has to be charged in a block assessment in terms of Section 159BA(2) of the Income-tax Act read with Section 113 of the said Act. .1. The undisclosed inc...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1982)1ITD728(Hyd.)
1. This appeal is filed by the revenue against the order of the A AC, dated 2-7-1980, by which he cancelled the penalty of Rs. 40,260 imposed by the ITO under Section 271(1)(c) of the Income-tax Act, 1961 ("the Act") for the assessment year 1975-76 by his order dated 23-3-1979.2. The first contention of the revenue before us is that in view of the provisions of Section 246(2)(g) of the Act, the AAC ought not to have disposed of this appeal as the jurisdiction over the order of the ITO dated 23-3-1979 which is appealed against, vested with the Commissioner (Appeals). The learned departmental representative contended that the AAC erred in cancelling the penalty. He pointed out that the suppression of purchases was detected by the sales tax department on 27-11-1975, long before the completion of the original income-tax assessment, and that, therefore, the AAC has erred in observing that the assessee was not aware of the difference in stock particulars before the assessment was finalised ...
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1984)8ITD473(Hyd.)
1. All these appeals are by the revenue. IT Appeal No. 702 (Hyd.) of 1983 arises out of proceedings under Section 154 of the Income-tax Act, 1961 ('the Act') and relates to the assessment year 1977-78. IT Appeal No. 703 (Hyd.) of 1983 arises out of the assessment proceedings for the assessment year 1977-78. IT Appeal No. 704 (Hyd.) of 1983 relates to the assessment year 1978-79. IT Appeal No. 70S (Hyd.) of 1983 relates to the assessment year 1979-80. The last two arise out of regular proceedings. We first take up for consideration a common issue which is involved in the appeal arising out of proceedings under Section 154 for the assessment year 1977-78 as well as in the appeals for the assessment years 1978-79 and 1979-80.2. In the assessment year 1977-78, subsequent to the completion of the original assessment on 28-1-1980, an amendment was made by the Finance (No. 2) Act, 1980, by introduction, with retrospective effect from 1-4-1968. of a new provision, Section 80AA of the Act, whi...
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