Punjab-Haryana High Court
The Commissioner Of Income Tax vs M/S Leader Paper Processing (P) Ltd on 12 March, 2013
Bench: Hemant Gupta, Ritu Bahri
IN THE HIGH COURT OF PUNJAB AND HARYANA
AT CHANDIGARH
Date of decision: 12.3.2013
ITC No. 77 of 1997
The Commissioner of Income Tax ......Petitioner
vs.
M/s Leader Paper Processing (P) Ltd. .....Respondent
CORAM: - HON'BLE MR. JUSTICE HEMANT GUPTA
HON'BLE MS. JUSTICE RITU BAHRI
Present: - Mr. Vivek Sethi, Advocate for the petitioner.
.......
Revenue has filed the present petition under Section 256(2) of the Income Tax Act, 1961 (for short the 'Act') claiming following substantial question of law as arising out of the order of the Income Tax Appellate Tribunal (for short the 'Tribunal') dated 18.2.1997 in relation to the assessment year 1987-88 for consideration: -
"Whether, on the facts and in the circumstances of the case, the learned Income Tax Appellate Tribunal is right in law in reversing the order of the learned CIT (A) who upheld the application of the provision of Section 145(2) and consequent addition of Rs. 1,59,000/- as against Rs. 1,84,642/- made by the A.O?
The said question is said to have arisen out of an order passed by the assessing officer on 30.3.1990 (Annexure P-3), applying gross profit rate of 20% on the correspondingly enhanced sales by making additions of the sum of Rs. 1,84,642/- in the Trading Account. In appeal, the Commissioner of Income Tax (Appeals) on 6.11.1990 (Annexure P-4) upheld such additions. -2- However, the Income Tax Appellate Tribunal (for short the 'Tribunal') in its order dated 18.2.1997 (Annexure P-7) found that the gross profit rate of
19.72% was applied for the assessment year 1985-86 and 1986-87 as well. It was found that such gross profit rate applied for the year 1985-86 was affirmed by the Commissioner of Income Tax (Appeals), though the appeal was pending before the Tribunal.
The question whether 20% or 19.72% gross profit rate should be applied, is the question of fact. Learned Tribunal has applied gross profit rate of 19.72% as such rates were applied in the earlier years of assessment.
Consequently, we do not find any question of law arises for consideration by this Court.
Dismissed.
(HEMANT GUPTA) JUDGE (RITU BAHRI) 12.3.2013 JUDGE preeti