The Commissioner Of Income Tax - 3, Mumbai v. M/S.adbhut Trading Co. Private Limited

IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.4937 OF 2010 The Commissioner of Income Tax - 3, Mumbai ..Appellant. Versus M/s.Adbhut Trading Co. Private Limited..Respondent. Mr.Vimal Gupta for the appellant.Mr.J.D. Mistri, Senior Advocate with Mr.P.C. Tripathi with Mr.Raj Darak for the respondent. CORAM : J.P. Devadhar & A.A. Sayed, JJ. P.C. : DATE : 20[th] July, 2011. 1.In the present case, the Income Tax Appellate Tribunal has confirmed the order of the Commissioner of Income Tax (Appeals) in deleting the addition of Rs.1.98 crores made by the Assessing Officer while computing the book profit under Section 115JB of the Income Tax Act, 1961 by following the decision of the Apex Court in the case of Apollo Tyres V/s. CIT reported in 255 ITR 273. According to the Revenue, the assessee has intentionally prepared a wrong profit and loss account. Once the accounts including profit and loss account are certified by the authorities under the Companies Act, it is not open to the assessing officer to contend that the profit and loss account has not been prepared in accordance with the provisions of the Companies Act, 1956. 2.In these circumstances, deletion of the addition by the Tribunal by following the decision of the Apex Court in the case of Apollo Tyres Limited (supra) cannot be faulted. In the result, we see no merit in the appeal. The appeal is accordingly dismissed with no order as to costs. (A.A. Sayed, J.) (J.P. Devadhar, J.)