Calcutta High Court
Tide Water Oil Company (India) Limited vs The Commissioner Of Income Tax on 17 November, 2008
Author: Pinaki Chandra Ghose
Bench: Pinaki Chandra Ghose
ITA No. 797 of 2008
IN THE HIGH COURT AT CALCUTTA
Constitutional Writ/Civil Appellate/Ordinary Original Civil Jurisdiction
ORIGINAL SIDE
TIDE WATER OIL COMPANY (INDIA) LIMITED Plaintiff/Petitioner/Applicant
Versus
THE COMMISSIONER OF INCOME TAX, KOLKATA- Defendant/Respondent
II, KOLKATA
BEFORE:
The Hon'ble JUSTICE PINAKI CHANDRA GHOSE
The Hon'ble JUSTICE SANKAR PRASAD MITRA
Date : 17th November, 2008.
The Court :- After hearing the learned Counsel for the
appellant the following substantial questions of law are referred
for adjudication:
" Whether the learned Tribunal misdirected itself in law,
and it adopted a wholly erroneous approach, in interpreting
the provisions of section 80-1A(5) of the Income Tax Act, 1961
to hold that the Corporate Expenses in the sum of
Rs.1,18,32,044, incurred by the assessee company at its
Registered and Head Office at Calcutta, during the financial
year relevant to the assessment year 2000-01, were essential
expenses, and had direct nexus with the running of its Silvasa
Unit, and were therefore, deductible in computing the profits
and gains derived from the eligible business for the purposes
of sub-section (1) of Section 801A of the said Act and whether
the findings of the learned Tribunal to this effect were
wholly unreasonable, based on irrelevant consideration,
contrary to the facts and evidences on record and/or otherwise
perverse?
2. Whether on a correct interpretation of section 80-1A of
the Income Tax Act, 1961, the assessee company was rightfully
entitled to enjoy deduction in the sum of Rs.5,86,98,349/- in
respect of profit and gains derived from the eligible business
of Silvasa Unit in respect of the assessment year 2000-01?"
Let the Paper Book be filed within 8 weeks from date. Let the
appeal be listed for hearing 12 weeks hence.
All parties concerned are to act on a signed copy of the
minutes of this order on the usual undertakings.
Urgent xerox certified copy of this order, if applied for, be
supplied to the parties subject to compliance with all requisite
formalities.
.
(PINAKI CHANDRA GHOSE, J.) (SANKAR PRASAD MITRA, J.) dg/