CIT v. Indo Nippon Chemicals Co. Ltd.

261 ITR 275Supreme Court of India2003#445 most cited

What is CIT v. Indo Nippon Chemicals Co. Ltd. authority for?

A liability recognized in accordance with the Accounting Standards prescribed by the Institute of Chartered Accountants of India (ICAI) is an allowable expense for income tax purposes.

204

judgments rely on this decision, according to BharatTax’s citation analysis of 367,514 Indian tax judgments — from 2007 to 2025.

Also referred to as

CIT v. Indo Nippon Chemicals Co. Ltd. · 261 ITR 275 · allowable expense · liability recognition · Accounting Standards · ICAI · Section 37(1) Income Tax Act · business expenditure · mercantile system of accounting · SC decision

Also reported as

130 Taxmann 179

Sections most often in play

Section 41(1)Section 36(1)(va)Section 37(1)Section 41(2)Section 43BSection 2(24)Section 115JBSection 143(3)

Issues it is cited on

section 153b(i)(a)section 132(8)section 132(9a)section 153(1)(a)section 145avaluation of sharessection 65bsection 65section 153(1)icdsdumb documentssection 153b

Judgments citing CIT v. Indo Nippon Chemicals Co. Ltd.

The ACIT, Circle-5, Ahmedabad vs. Prima Automation (I) Pvt.Ltd., Ahmedabad

In the result, Cross Objection No

ITA 1717/AHD/2012[2009-10]Status: DisposedITAT Ahmedabad23 Nov 2017AY 2009-10

Bench: Shri Kul Bharat & Shri Pradip Kumar Kediasl.

For Appellant: Shri G.C. Pipara, ARFor Respondent: Shri V.K. Singh, Sr.DR
Section 145A

…material is revenue ITA Nos.1717/Ahd/12,3392/Ahd/14 (by Revenue) And CO No.195/Ahd/12 ( by assessee) ACIT vs. Prima Automation (I) P.Ltd. Asst.Years – 2009-10 & 2010-11 neutral. The appellant has also placed reliance on Indo Nippon Chemical Co. Ltd. (2003) 261 ITR 275 (SC). I have also perused the other case laws relied upon by the appellant and ratios of these case laws also support the case of the appellant. (2) The A.O. has not commented on the accounting policies followed by the appellant. The policy of valuation of closing stock consistently followed by the appellant in the previous years as well as in th…

Maruti Suzuki India Ltd., New Delhi vs. Addl. CIT, New Delhi

In the result, the appeal of the assessee is allowed in part for statistical purposes

ITA 6021/DEL/2012[2008-09]Status: DisposedITAT Delhi09 Nov 2017AY 2008-09

Bench: Shri N.K. Saini & Shri K.N. Charry

Section 143(3)Section 144CSection 144C(5)Section 14ASection 35DSection 43BSection 92C

…Purolator India Ltd. v. DCIT: ITA No. 1441/Del/2003 decided similar issue in favour of assessee by accepting the valuation of closing stock on net of MODVAT basis by following the decision of the Supreme Court in the case of CIT v. Indo Nippon Chemicals Ltd.: 261 ITR 275 (SC) wherein the non inclusive method of accounting for MODVAT followed by the assessee was approved by the Apex Court with the observations that, “As agreed by the learned representatives of both sides this issue is squarely covered in favour of the assessee by the decision of the Hon’ble Supreme Court in the case of CIT v. Indo Nippon Chemicals…

The DCIT(OSD) Circle-8, Ahmedabad vs. Voltamp Transformers Ltd., Ahmedabad

In the result appeal filed by the department is dismissed

ITA 2544/AHD/2014[2011-12]Status: DisposedITAT Ahmedabad26 Sept 2017AY 2011-12

Bench: Shri N.K. Billaiya & Shri Mahavir Prasad

For Appellant: Shri Prasoon Kabra, Sr. D.RFor Respondent: Shri Ashwin Shah, C.A
Section 115JSection 145ASection 14ASection 44A

…stock does not arise. 1.5 Therefore cenvat credit receivable [which includes service tax receivable] cannot be considered as income as held by Supreme Court DCIT vs. Voltamp Transformers Ltd. Asst.Year –2011-12 in the case of CIT Vs. Indo Nippon Chemicals Ltd 261 ITR 275 (Supreme Court), It was held as under:-"Held (i) that merely because the modvat credit was an irreversible credit available to manufactures upon purchase of duty paid raw material and that would not amount to income which was liable to be taxed under the Act: income was not generated to the extent of the modvat credit on unconsumed raw material a…

Alfa Transformers Ltd., Bhubaneswar vs. ACIT, Circle-2(1), Bhubaneswar

In the result, appeal filed by the assessee is allowed

ITA 35/CTK/2017[2006-07]Status: DisposedITAT Cuttack26 Apr 2017AY 2006-07

Bench: S/Shri N.S Saini & Kuldip Singhassessment Year :2006-07

For Appellant: Shri Prajna Raj Mohanty, ARFor Respondent: Shri A.Tigga, DR
Section 143(3)Section 145Section 145A

…bserve that similar issue came up before the Co-ordinate Bench in the case of ACIT vs. Puneet Industries Pvt Ltd., (supra), wherein, the Co-ordinate Bench followed the judgment of Hon. Supreme Court in the case of CIT vs. Indo Nippon Chemicals Co. Ltd. (2003) 261 ITR 275 (SC) and the Bench dismissed the appeal of Revenue by observing as under :- 3. We have heard the rival submissions, perused the material available on record and gone through the orders of the authorities below. The issue in the present case is with respect to inclusion of unutilized CENVAT credit to the closing stock. We find that Id. CIT(A) whi…

ACIT 2(1), Mumbai vs. Tata Motors Ltd ( Earlier Known As Tata Engg & Locomotive Co.Ltd), Mumbai

In the result the ground of appeal raised in Cross objections is dismissed being infructuous

ITA 3600/MUM/2011[20001-02]Status: DisposedITAT Mumbai03 Mar 2017

Bench: Shri B.R.Baskaran & Shri Pawan Singh

For Appellant: Shri Dinesh Vyas AdvocateFor Respondent: Shri Jayant Kumar (CIT-DR)
Section 143(3)Section 145ASection 147Section 148Section 253Section 254(1)Section 37(1)

…e including MODVAT Credit as per Annexure-24 of TAR filed along with return of income. The assessee further contended that MODVAT Credit does not affect the Profit & Loss A/c. The assessee further referred the decision of CIT vs. Indo-Nippon Chemical Co. Ltd. 261 ITR 275 and stated after coming this decision, the department had stopped making any investment in respect of MODVAT Credit. We have seen that the ld CIT(A) after considering the contention of the assessee made the following order: “5.3 I have considered the facts of the issue and the submission made by the AR and find merit in them. The calculation u/…

Maruti Suzuki India Ltd., New Delhi vs. Addl. CIT, New Delhi

Appeal is allowed

ITA 5720/DEL/2011[2007-08]Status: DisposedITAT Delhi12 Jul 2016AY 2007-08

Bench: Shri I.C. Sudhir & Shri L.P. Sahu Assessment Year: 2007-08 Assessment Year: 2007-08 Maruti Suzuki India Ltd., Vs. Additional Cit, Plot No.1, Nelson Mandela Road, Range-6, Vasant Road, New Delhi. New Delhi. (Pan: Aaacm0829Q) (Appellant) (Respondent) Assessee By: S/Shri Ajay Vohra, Sr. Adv. Neeraj Jain, Rohit Jain, Adv. Romit Katyal & Ms. Tejasvi Jain, Cas Department By:Shri Amrendra Kumar, Cit(Dr)

For Appellant: S/Shri Ajay Vohra, Sr. Adv. NeerajFor Respondent: Shri Amrendra Kumar, CIT(DR)

…a Ltd. v. DCIT: ITA No. 1441/Del/2003 decided similar issue in favour of appellant by accepting the valuation of closing stock on net of MODVAT basis. The Tribunal relied upon the decision of the Supreme Court in the case of CIT v. Indo Nippon Chemicals Ltd.: 261 ITR 275 (SC) wherein the non inclusive method of accounting for MODVAT followed by the appellant was approved by the Apex Court. The relevant findings are reproduced hereunder: “As agreed by the learned representatives of both sides this issue is squarely covered in favour of the appellant by the decision of the Hon’ble Supreme Court 40 in the case of C…

Gharda Chemicals Ltd, Mumbai vs. Addl CIT 9(1), Mumbai

ITA 5348/MUM/2009[2004-05]Status: DisposedITAT Mumbai29 Apr 2016AY 2004-05

Bench: S/Sh.Rajendra & C.N. Prasadआयकर अपील सं./Ita/5474/Mum/2009,िनधा"रण वष" /Assessment Year: 2004-05 Dcit, Circle-9(1) Gharda Chemicals Limited Churchgate,Mumbai-400 020. 5/6, Jer Mansion, W.P. Varde Marg, Vs. Off Turner Road, Bandra (W), Mumbai-50. Pan: Aaacg 1255 E आयकर अपील सं./Ita/5348/Mum/2009,िनधा"रण वष" /Assessment Year: 2004-05 Gharda Chemicals Limited Vs. Dcit, Circle-9(1) Mumbai-400 050. Aayakar Bhavan, Mumbai-400020. आयकर आयकर अपील आयकर आयकर अपील अपील संसंसंसं./Ita/8376/Mum/2010,िनधा"रण अपील िनधा"रण िनधा"रण वष" िनधा"रण वष" वष" /Assessment Year: 2005-06 वष" Gharda Chemicals Limited Vs. Dcit, Circle-9(1) Bandra (W),Mumbai-50. Aayakar Bhavan, Mumbai-400020. आयकर आयकर अपील आयकर आयकर अपील अपील संसंसंसं./Ita/8758/Mum/2010,िनधा"रण अपील िनधा"रण िनधा"रण वष" िनधा"रण वष" वष" /Assessment Year: 2005-06 वष" Dcit, Circle-9(1) Vs. M/S.Gharda Chemicals Limited Churchgate,Mumbai-400 020. Mumbai-400 018. (अपीलाथ" /Appellant) (""यथ" / Respondent) Revenue By: Shri Debashish Chandra Assessee By: Ms. Vasanti Patel & Shri Gopal Bohra सुनवाई की तारीख / Date Of Hearing: 13.04.2016 घोषणा की तारीख / Date Of Pronouncement: 29.04.2016 आयकर अिधिनयम,1961 की धारा 254(1)के अ"ग"त आदेश Order U/S.254(1)Of The Income-Tax Act,1961(Act)

For Appellant: Ms. Vasanti Patel & Shri Gopal BohraFor Respondent: Shri Debashish Chandra
Section 254(1)

…आयकर अपीलीय अिधकरण, , , , मुंबई “केकेकेके” खंडपीठ Income-tax Appellate Tribunal -“K”Bench Mumbai सव"ी राजे"",लेखा सद"य एवं सी. एन. "साद,"याियक सद"य Before S/Sh.Rajendra,Accountant Member and C.N. Prasad,Judicial Member आयकर अपील सं./ITA/5474/Mum/2009,िनधा"रण वष" /Assessment Year: 2004-05 DCIT, Circle-9(1) Gharda Chemicals Limited Churchgate,Mumbai-400 020. 5/6, Jer Mansion, W.P. Varde Marg, Vs. Off Turner Road, Bandra (W), Mumbai-50. PAN: AAACG 1255 E आयकर अपील सं./ITA/5348/Mum/2009,िनधा"रण वष" /Assessment Year: 2004-05 Gharda Chemicals Limited Vs. DCIT, Circle-9(1) Mumbai-400 050. Aayakar Bhavan, Mumbai-40002…

Ingersoll Rand (India) Limited, Bangalore vs. DCIT, Bangalore

In the result, the assessee's appeal is partly allowed

ITA 272/BANG/2012[2004-05]Status: DisposedITAT Bangalore30 Mar 2016AY 2004-05

Bench: Shri Abraham P George & Shri Vijay Pal Rao

For Appellant: Shri K.R. Vasudevan, AdvocateFor Respondent: Mrs. S. Praveena, Addl. CIT (D.R)
Section 143(3)Section 263Section 80H

…tock of the assessee to Rs.2,41,83,367/-, as against the addition of Rs.1,31,07,285/- made by the Assessing Officer on account of MODVAT credit. 44. The Hon’ble Supreme Court in the case of Commissioner of Income- tax v. Indo Nippon Chemicals Co. Ltd., (2003) 261 ITR 275 has held that whatever method the Assessing Officer adopts after invoking section 145, it 8 IT(T.P)A No.272/Bang/2012 has to be sustained with the accepted principles of accountancy. The Court held that it is not permissible to use gross methods for the purposes and net method for the unconsumed stock at the end of the year. Accordingly, it was h…

Addl Cirt G 3(2), Mumbai vs. Aditya Birla Nuvo Ltd, Mumbai

Appeal of the assessee is partly allowed

ITA 3178/MUM/2012[2008-09]Status: DisposedITAT Mumbai09 Dec 2015AY 2008-09
For Appellant: Shri J.D. MistriFor Respondent: Shri E. Sankaran-CIT(DR)
Section 143(3)Section 145Section 14ASection 254(1)

…आयकर अपीलीय अिधकरण, मुंबई ‘ए’ खंडपीठ Income-tax Appellate Tribunal -“A”Bench Mumbai सव"ी राजे"",लेखा सद"य एवं अिमत शु"ल "याियक सद"य Before S.Sh.Rajendra,Accountant Member and Amit Shukla,Judicial member आयकर आयकर आयकर अपील आयकर अपील अपील संसंसंसं /ITA No.3178/M/2012, िनधा"रण अपील िनधा"रण िनधा"रण वष" िनधा"रण वष" वष" /Assessment Year 2008-09 वष" DCIT-LTU, Aditya Birla Nuvo Ltd. (Formerly World Trade Centre, 28th Floor, known as Indian Rayon and Industries Limited)A4, Aditya Birla Centre, Centre-1, Cuffe Parade Vs. S.K. Ahire Marg,Worli, Mumbai-400 005. Mumbai-400 030. PAN:AACI 1747 H आयकर आयकर अपील अपील संसंसं…

Sunshield Chemicals Ltd, Mumbai vs. ITO 7(2)(3), Mumbai

In the result, the appeal filed by the assessee company is allowed for statistical purposes

ITA 5045/MUM/2010[2007-08]Status: DisposedITAT Mumbai09 Dec 2015AY 2007-08

Bench: Shri Amit Shukla & Shri Ramit Kocharआयकर अपील सं./I.T.A. No. 5045/Mum/2010 ("नधा"रण वष" / Assessment Year : 2007-08)

For Respondent: Shri Nitin Waghmode ,DR
Section 143(2)Section 143(3)Section 145ASection 29Section 30Section 32Section 32(1)Section 32(2)Section 71

…n closing stock, then corresponding adjustment is to made to opening stock, purchases and sales . The Ld. Counsel of the assessee company relied upon the decision ITA 5045/M/10 22 of Hon’ble Supreme Court in CIT v. Indo Nippon Chemicals Co. Ltd. in (2003) 261 ITR 275(SC) to support its contentions while the ld. DR relied upon the orders of the authorities below. 16. We have heard both the parties and perused the material on record including case laws relied upon by the both the parties. We have observed that the whole controversy revolves around the method of accounting employed by the assessee company a…

Aditya Birla Nuvo Ltd ( Formerly Known As Indian Rayon and Industries Ltd), Mumbai vs. Addl CIT RG 3(2), Mumbai

ITA 3703/MUM/2011[2007-08]Status: DisposedITAT Mumbai24 Nov 2015AY 2007-08
For Appellant: Shri J.D. MistriFor Respondent: Shri E. Sankaran-CIT(DR)
Section 143(3)Section 254(1)Section 43B

…आयकर आयकर अपीलीय आयकर आयकर अपीलीय अपीलीय अिधकरण अपीलीय अिधकरण अिधकरण, मुंबई अिधकरण मुंबई मुंबई ए खंडपीठ मुंबई खंडपीठ खंडपीठ खंडपीठ Income-tax Appellate Tribunal -“A”Bench Mumbai सव"ी राजे"",लेखा सद"य एवं अिमत शु"ल "याियक सद"य Before S/Sh.Rajendra,Accountant Member and Amit Shukla,Judicial Member आयकर आयकर आयकर अपील आयकर अपील अपील संसंसंसं /ITA No.3703/M/2011, िनधा"रण अपील िनधा"रण िनधा"रण वष" िनधा"रण वष" वष" /Assessment Year 2007-08) वष" Aditya Birla Nuvo Ltd. (Formerly known DCIT-LTU, as Indian Rayon and Industries Limited) World Trade Centre, 28th A4, Aditya Birla Centre, S.K. Ahire Vs. Floor, Marg, Worli, M…

Addl CIT 3(2), Mumbai vs. Aditya Birla Nuvo Ltd ( Formerly Known As Indian Rayon & Industries Ltd), Mumbai

ITA 3634/MUM/2011[2007-08]Status: DisposedITAT Mumbai24 Nov 2015AY 2007-08
For Appellant: Shri J.D. MistriFor Respondent: Shri E. Sankaran-CIT(DR)
Section 143(3)Section 254(1)Section 43B

…आयकर आयकर अपीलीय आयकर आयकर अपीलीय अपीलीय अिधकरण अपीलीय अिधकरण अिधकरण, मुंबई अिधकरण मुंबई मुंबई ए खंडपीठ मुंबई खंडपीठ खंडपीठ खंडपीठ Income-tax Appellate Tribunal -“A”Bench Mumbai सव"ी राजे"",लेखा सद"य एवं अिमत शु"ल "याियक सद"य Before S/Sh.Rajendra,Accountant Member and Amit Shukla,Judicial Member आयकर आयकर आयकर अपील आयकर अपील अपील संसंसंसं /ITA No.3703/M/2011, िनधा"रण अपील िनधा"रण िनधा"रण वष" िनधा"रण वष" वष" /Assessment Year 2007-08) वष" Aditya Birla Nuvo Ltd. (Formerly known DCIT-LTU, as Indian Rayon and Industries Limited) World Trade Centre, 28th A4, Aditya Birla Centre, S.K. Ahire Vs. Floor, Marg, Worli, M…

M/S. Ring Plus Aqua Ltd., Mumbai vs. CIT (A) - IX, Mumbai

In the result, the appeal filed by the assessee is treated as allowed for statistical purposes

ITA 1194/MUM/2006[1996-1997]Status: DisposedITAT Mumbai14 Oct 2015AY 1996-1997

Bench: S/Shri B.R.Baskaran (Am) & Ramlal Negi, (Jm) आमकय अऩीर सं./I.T.A. No.1194/Mum/2006 (ननधधायण वषा / Assessment Year :1996-97) बनाम/ Ring Plus Aqua Limited, The Asstt.Commisioner Of Income (Formerly Known As Acqua Tax , Circle 9(3), Vs. Bearings Limited) Aayakar Bhavan, M K Road, 605, Jagdamba Complex, Mumbai-400020 Link Road, Malad (W), Mumbai-400064 (अऩीरधथी /Appellant) (प्रत्मथी / Respondent) ..

…was brought into the Income tax Act by Finance (No.2) Act, 1998 w.e.f. 1.4.1999. Accordingly he submitted that the dispute under consideration is governed by the decision rendered by Hon’ble Supreme Court rendered in the case of Indo Nippon Chemicals Co. Ltd (261 ITR 275). We have gone through the said decision and notice that the Hon’ble Supreme Court has held that the valuation of purchases and unconsumed stock at Net of modvat credit is a proper method. The case of the assessee is that the profit and loss account is prepared net of excise duty and the said method has been consistently followed every year. The…

Greaves Cotton Ltd (Formerly Known As Greaves Ltd), Mumbai vs. ITO WD 6(3)(1), Mumbai

In the result, appeal of the assessee is partly allowed

ITA 7356/MUM/2011[2004-05]Status: DisposedITAT Mumbai13 Oct 2015AY 2004-05

Bench: Shri G S Pannu & Shri Amit Shuklaita

For Respondent: Shri N K Chand
Section 115JSection 143(3)Section 14ASection 80H

…addition of CENVAT amount is added to the closing stock, then it would distort the real profit and will disturb the consistency in valuation of inventory. Heavy reliance was placed on the decision of Hon’ble Supreme Court in the case of Indo Nippon Chemicals, 261 ITR 275. The Ld. CIT(A), held that if any adjustment is made on account of unutilized CENVAT credit in the closing stock then proper effect of section 145A should be given and corresponding adjustment is to be made in the opening stock. For coming to this conclusion, he relied upon the decision of Bombay High Court in the case of CIT 14 Greaves Cotton L…

The Commissioner of Income Tax V vs. Pepsico India Holdings Private Limited

ITA/149/2008HC Delhi25 Mar 2011

Bench: HON'BLE MR. JUSTICE A.K.SIKRI,HON'BLE MR. JUSTICE M.L. MEHTA

Section 143

…it receivable and its addition to the value of the closing stock. It could not be disputed by the learned counsel for the Revenue that this issue is covered by a judgment of the Supreme Court in the case of Commissioner of Income Tax Vs. Indo Nippon, 261 ITR 275. In fact, in the case of the assessee only on this aspect, earlier appeal ITA 291/2008 filed by the Revenue which pertains to the assessment year 1996-97 was dismissed by this Court following the aforesaid judgment. Mr. Aggarwal, learned Senior Counsel for the respondent/assessee has also drawn our attention to the orders passed by the…

The Commissioner of Income Tax V vs. Pepsico India Holdings Private Limited

ITA - 149 / 2008HC Delhi25 Mar 2011
Section 143

…it receivable and its addition to the value of the closing stock. It could not be disputed by the learned counsel for the Revenue that this issue is covered by a judgment of the Supreme Court in the case of Commissioner of Income Tax Vs. Indo Nippon, 261 ITR 275. In fact, in the case of the assessee only on this aspect, earlier appeal ITA 291/2008 filed by the Revenue which pertains to the assessment year 1996-97 was dismissed by this Court following the aforesaid judgment. Mr. Aggarwal, learned Senior Counsel for the 2011:DHC:1838-DB subsequent assessment year 2001-02 onwards as per which th…

M/s Jay Bharat Maruti Ltd vs. Commissioner of Income Tax

In the result the appeal is allowed and

ITA/501/2007HC Delhi20 Apr 2009
For Appellant: Mr R. Santhanam, AdvocateFor Respondent: Mr R.D. Jolly, Advocate
Section 142(1)Section 143(1)(a)Section 147Section 148Section 260ASection 43B

…never ever have formed a basis for reason to believe that the assessee‟s income had escaped assessment. In order to buttress his submission the learned counsel relied upon the judgment of the Supreme Court in CIT vs Indo Nippon Chemicals Co Ltd; (2003) 261 ITR 275 to the effect that the balance MODVAT credit would never amount to income amenable to tax under the Act. 7.1 In addition to above the learned counsel forcefully con ` tended that the initiation of reassessment proceedings would not give a carte-blanche to the Assessing Officer to reopen the assessment proceedings on ground „A…

Commissioner of Income Tax vs. Insilco Ltd

In the result, the question of law framed by us is answered in favour

ITA/873/2008HC Delhi27 Feb 2009

Bench: The Tribunal Against The Order Of The Commissioner Of Income Tax (Appeals) [Hereinafter Referred To As The „Cit(A)‟] Allowing Deduction On Account Of Provision Made By

For Appellant: Ms Prem Lata Bansal, Mr Sanjeev Rajpal & Mr MohanFor Respondent: Mr V.P. Gupta & Mr Basant Kumar

…o page 186(D). ITA 873/2008 & 1156/2008 Page 18 of 25 16.10 The applicability of the principles of accountancy by the courts has also found favour in the judgments of the Supreme Court in the cases of CIT vs Indo Nippon Chemicals Co ltd; (2003) 261 ITR 275 at page 277 (D – E) & CIT vs U.P. State Industrial Development Corporation; (1997) 225 ITR 703 and also the judgment of a Division Bench of this Court in CIT vs Woodward Governor India P Ltd; (2007) 294 ITR 451 at page 463-464 (paras 15-16). The observations of UPSIDC being apposite are extracted hereinbelow:- “In our opinion, this cont…

Commissioner of Income Tax-IV, New Delhi vs. Insilco Limited

In the result, the question of law framed by us is answered in favour

ITA-1156/2008HC Delhi27 Feb 2009

Bench: The Tribunal Against The Order Of The Commissioner Of Income Tax (Appeals) [Hereinafter Referred 2009:Dhc:678-Db

For Appellant: Ms Prem Lata Bansal, Mr Sanjeev Rajpal & Mr MohanFor Respondent: Mr V.P. Gupta & Mr Basant Kumar

…observations at page 185(H) to page 186(D). 2009:DHC:678-DB 16.10 The applicability of the principles of accountancy by the courts has also found favour in the judgments of the Supreme Court in the cases of CIT vs Indo Nippon Chemicals Co ltd; (2003) 261 ITR 275 at page 277 (D – E) & CIT vs U.P. State Industrial Development Corporation; (1997) 225 ITR 703 and also the judgment of a Division Bench of this Court in CIT vs Woodward Governor India P Ltd; (2007) 294 ITR 451 at page 463-464 (paras 15-16). The observations of UPSIDC being apposite are extracted hereinbelow:- “In our opinion, this cont…

Commissioner of Income Tax-IV, New Delhi vs. Insilco Limited

In the result, the question of law framed by us is answered in favour

ITA-873/2008HC Delhi27 Feb 2009

Bench: The Tribunal Against The Order Of The Commissioner Of Income Tax (Appeals) [Hereinafter Referred 2009:Dhc:679-Db

For Appellant: Ms Prem Lata Bansal, Mr Sanjeev Rajpal & Mr MohanFor Respondent: Mr V.P. Gupta & Mr Basant Kumar

…observations at page 185(H) to page 186(D). 2009:DHC:679-DB 16.10 The applicability of the principles of accountancy by the courts has also found favour in the judgments of the Supreme Court in the cases of CIT vs Indo Nippon Chemicals Co ltd; (2003) 261 ITR 275 at page 277 (D – E) & CIT vs U.P. State Industrial Development Corporation; (1997) 225 ITR 703 and also the judgment of a Division Bench of this Court in CIT vs Woodward Governor India P Ltd; (2007) 294 ITR 451 at page 463-464 (paras 15-16). The observations of UPSIDC being apposite are extracted hereinbelow:- “In our opinion, this cont…