Gujarat High Court
The Principal Commissioner Of Income ... vs M/S Orient Abrasives Ltd. on 3 August, 2021
Author: Bela M. Trivedi
Bench: Bela M. Trivedi, Ashokkumar C. Joshi
C/TAXAP/137/2021 ORDER DATED: 03/08/2021
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/TAX APPEAL NO. 137 of 2021
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THE PRINCIPAL COMMISSIONER OF INCOME TAX
Versus
M/S ORIENT ABRASIVES LTD.
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Appearance:
MRS MAUNA M BHATT(174) for the Appellant(s) No. 1
DARSHAN R PATEL(8486) for the Opponent(s) No. 1
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CORAM:HONOURABLE MS. JUSTICE BELA M. TRIVEDI
and
HONOURABLE DR. JUSTICE ASHOKKUMAR C. JOSHI
Date : 03/08/2021
ORAL ORDER
(PER : HONOURABLE MS. JUSTICE BELA M. TRIVEDI) The Tax Appeal is Admitted on the following Substantial Questions of law:
(A) Whether the Appellate Tribunal has erred in law and on facts in allowing the additional evidence filed by the assessee in contravention of Rule 29 of Income Tax (Appellate Tribunal) Rules, 1963 and thereby restoring the issue of set of loss of Rs.2,05,11,110/- from Furnace oil (FO) based power generation unit against the profit of Rs.3,96,73,980/-
from coal based power generation unit before working out the profit of the eligible units for claiming deduction u/s 80IA of the Act, to the file of the Assessing Officer without considering the fact that the Appellate Tribunal has not pointed out any infirmity in the order of the CIT(A) who has confirmed the addition?
(B) Whether the Appellate Tribunal has erred in law and on facts in allowing deduction of Rs.3,96,73,980/- claimed under Section 80IA of Page 1 of 2 Downloaded on : Thu Aug 05 06:47:43 IST 2021 C/TAXAP/137/2021 ORDER DATED: 03/08/2021 the Act as against the claim allowed by the Assessing Officer at Rs.86,13,318/- in respect of power generated by power generation units for captive consumption?
(C) Whether the Appellate Tribunal has erred in law and on facts in allowing the asessee's claim for deduction under Section 80IA of the Income Tax Act on the basis of purchase price of power from GEB by its customers without appreciating the fact that the Assessing Officer had correctly adopted the rate at Rs.5.2984/- per unit i.e. excluding the electricity duty at Rs.0.5797/- per unit, since the assessee had utilized power generated by its Captive Power Plant for captive consumption of its eligible units and had not sold electricity in the market and as such, the electricity duty should have been excluded from such sale price of electricity charged by the GEB?
(D) Whether the Appellate Tribunal has erred in law on facts in allowing the excess claim of electricity duty amounting to Rs.1,05,49,552/-, which was never paid by the assessee, while computing the deduction under section 80IA of the Act?
(BELA M. TRIVEDI, J) (A. C. JOSHI,J) J.N.W Page 2 of 2 Downloaded on : Thu Aug 05 06:47:43 IST 2021