Gujarat High Court
The Commissioner Of Income Tax-I vs Deepak Nitrite Limited - Opponent(S) on 26 August, 2008
Author: K.A.Puj
Bench: K.A.Puj
TAXAP/51220/2008 1/2 ORDER
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
TAX APPEAL No. 512 of 2008
=========================================================
THE COMMISSIONER OF INCOME TAX-I - Appellant(s)
Versus
DEEPAK NITRITE LIMITED - Opponent(s)
=========================================================
Appearance :
MRS MAUNA M BHATT for Appellant(s) : 1,MR MANISH R BHATT for
Appellant(s) : 1,
None for Opponent(s) : 1,
=========================================================
CORAM : HONOURABLE MR.JUSTICE K.A.PUJ
and
HONOURABLE MR.JUSTICE BANKIM.N.MEHTA
Date : 26/08/2008
ORAL ORDER
(Per : HONOURABLE MR.JUSTICE K.A.PUJ)
1. Heard Manish R. Bhatt, learned Senior Standing Counsel with Mrs.Mauna Bhatt, learned Standing Counsel, appearing for the Revenue. This Appeal is admitted in terms of the following substantial question of law.
"(A) Whether on the facts and in the circumstances of the case, the Tribunal was right in law in holding that the provision made for difference between the book value and the realizable value of the plant by sheer estimate, without any scientific or intelligible basis, was not a 'provision' in HC-NIC Page 1 of 2 Created On Fri Jun 10 01:40:33 IST 2016 TAXAP/51220/2008 2/2 ORDER terms of clause (c) of the Explanation below Section 115JA(2) of the Income-tax Act or, in any case, was not a 'reserve' in terms of clause (b) of the Explanation?
(B) Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in seeking to derive the meaning of the expression used in the Explanation below Section 115JA(2) of the Income-tax Act from rule 7 in Schedule-VI of the Companies Act when the scheme and the purpose of the two are quite different?"
2. Issue notice to the other side. Additional paper book, if any, be filed within three months from today.
(K. A. PUJ, J.) (B. N. MEHTA, J.)
kks
HC-NIC Page 2 of 2 Created On Fri Jun 10 01:40:33 IST 2016