The Commissioner Of Income Tax, Aurangabad v. Terna Shetkari Sahakari Sakhar Karkhana Ltd

IN THE HIGH COURT OF JUDICATURE OF BOMBAYBENCH AT AURANGABAD TAX APPEAL NO. 86 OF 2008 THE COMMISSIONER OF INCOME TAX, AURANGABAD.VERSUSTERNA SHETKARI SAHAKARI SAKHAR KARKHANA LTD. ... ASG for Appellant : Shri Alok Sharma Advocates for Respondent : Shri A.A.Nimbalkar h/f Shri V D Salunke ... CORAM : D. G. KARNIK & S. B. DESHMUKH, JJ.Dated: February 10, 2012 ... PERCOURT :- 1.Heard respective counsel. 2.By consent, the appeal is taken up for final hearing at the stage of admission. 3.The only issue which is pressed on behalf of the Revenue in this appeal is:- “ Whether on the facts and circumstances of the case and in law, the Tribunal was justified in deleting the dis-allowance made by the Assessing Officer under Section 40A(2) and 37(1) of the Income Tax Act, 1961 on account of excessive payment of the sugarcane price paid to it's members and non-members by the assessee ( a co-operative society) ?” 4.Learned counsel for the parties are at ad idem that identical issue was decided by the Supreme Court in the case of Deputy Commissioner of Income-TaxVs. Shri Satpuda Tapi Prarisar SSK Ltd. and others [(2010) 231 CTS (SC) 224] and in that case the matter has been remanded by the Supreme Court to the Commissioner of Income Tax (appeals) for deciding it afresh in the light of IN THE HIGH COURT OF JUDICATURE OF BOMBAYBENCH AT AURANGABAD 2 TAX APPEAL NO. 86 OF 2008 directions issued by the Supreme Court therein. Since the issue involved in the present case is also identical, in our view, the remand order would be appropriate. Hence, we pass the following order. 5. The impugned order is set aside and the matter is remanded back to the Commissioner of Income Tax (Appeals) for deciding it afresh in the light of the decision of the Supreme Court in the case of Deputy Commissioner of Income TaxVs. Shri Satpuda Tapi Parisar Sahakari Sakhar Karkhana Ltd. and others [(2010) 231CTS(SC)224]. ( S. B. DESHMUKH, J. ) ( D. G. KARNIK, J. )...