Bombay High Court
The Commr.Of Income ... vs The Vidarbha ... on 4 February, 2016
Author: B.P. Dharmadhikari
Bench: B. P. Dharmadhikari, V.M. Deshpande
Judgment itr8.96
1
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
NAGPUR BENCH, NAGPUR.
INCOME TAX REFERENCE No. 8 OF 1996.
The Commissioner of Income Tax,
Vidarbha, Nagpur. .... APPLICANT.
VERSUS
Society Ltd., Nagpur.
The Vidarbha Cooperative Marketing
.... RESPONDENT .
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Mr. B. Mohata, Advocate for Applicant.
Shri L.S./K.P. Dewani, Advocate for Respondent.
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CORAM : B. P. DHARMADHIKARI
& V.M. DESHPANDE, JJ.
DATE : FEBRUARY 04, 2016.
ORAL JUDGMENT. (Per B.P. Dharmadhikari, J)
In this Reference under Section 256 (1) of the Income Tax Act, 1961 at the instance of the department, the following two questions have been referred to this Court :
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2. Whether the Appellate Tribunal was ig correct in holding that the rebate in respect of sale cannot be treated as an application of profit and it has no connection in profit of the assessee, which could be treated as an application of profit and the decision so arrived at was in accordance with the provisions of law ?"
2. We have perused the orders of assessment. Respective learned counsel appearing for the parties invite attention to the order of CIT (Appeal) for Assessment Year 1984-85. Perusal of the said order dated 12.08.1993 shows that the amount of disputed rebate was Rs.12,48,202/-.
3. Perusal of order of same date for the Assessment Year 1983-85 shows that the said amount in dispute to be Rs. 10,96,329/-.
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3. It is therefore, obvious that when the instruction no.21 dated 10.12.2015 is applied in this matter, individual tax effect for this Assessment Year shall not exceed Rs.20 lacs.
4. We therefore, return the Reference unanswered.
JUDGE JUDGE
Rgd.
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