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“book profits”

Special Rate ProvisionsSection 115JBSection 115JB1,713 judgments

The decision most relied on for book profits is Godrej & Boyce Mfg. Co. Ltd. v. DCIT (328 ITR 81), cited in 1,183 judgments on BharatTax.

Leading authorities on book profits

Godrej & Boyce Mfg. Co. Ltd. v. DCIT
328 ITR 81 · 2010 · High Court
1,183
citing judgments

Rule 8D, for computing disallowance under Section 14A for expenses related to exempt income, applies from Assessment Year 2008-09 onwards; for prior years, a reasonable disallowance must be made. The disallowance under Section 14A cannot exceed the actual exempt income earned.

ACIT v. Vireet Investment Pvt. Ltd.
165 ITD 27 · 2017 · ITAT
882
citing judgments

No disallowance under section 14A can be made while computing book profits under section 115JB unless the expenditure is debited to the profit and loss account and satisfies clause (f) of Explanation 1 to section 115JB(2).

Joint Investments Pvt. Ltd. v. CIT
372 ITR 694 · 2015 · High Court
803
citing judgments

Disallowance under section 14A of the Income Tax Act cannot exceed the actual amount of exempt income earned by the assessee. This principle also applies when computing book profits under section 115JB.

ACIT v. Vireet Investment Pvt. Ltd.
82 Taxmann.com 415 · 2017 · High Court
789
citing judgments

Disallowance computed under Section 14A, read with Rule 8D, cannot be added to book profits under Section 115JB for Minimum Alternate Tax (MAT) purposes. Additionally, for Section 14A disallowance, only investments that yielded exempt income during the year are considered for calculating their average value.

Apollo Tyres Ltd. v. CIT
255 ITR 273 · 2002 · Supreme Court
657
citing judgments

For the purpose of computing book profits under Section 115J, arrears of depreciation, including those arising from assets working extra shifts, are a necessary charge on profits if debited to the profit and loss account and are allowable as such.

Kedarnath Jute Mfg. Co. Ltd. v. CIT
82 ITR 363 · 1971 · Supreme Court
654
citing judgments

Tax liability for an item of income or expenditure is determined solely by the provisions of the Income-tax Act. Entries in an assessee's books of account are not conclusive and do not govern the taxability or deductibility of an item, as the legal rights and obligations under the Act prevail.

CIT v. President Industries
258 ITR 654 · 2002 · High Court
471
citing judgments

When books of account are rejected and unaccounted sales or receipts are discovered, the income addition is restricted to the net profit element embedded in these undisclosed transactions, not the entire sale proceeds or receipts, especially if corresponding purchases are not proven to be outside the books.

CIT v. Yokogawa India Ltd.
341 ITR 385 · 2012 · High Court
270
citing judgments

A provision for doubtful debts cannot be added back while computing book profits under Section 115JB of the Income-tax Act for Minimum Alternate Tax (MAT) purposes.

Judgments citing book profits

Shapoorji Pallonji and Company Pvt. Ltd, Mumbai vs. DCIT Cir 3(3) (1), Mumbai

ITA 2025/MUM/2021[2014-15]Status: DisposedITAT Mumbai28 Mar 2024AY 2014-15

Bench: Shri B R Baskaran, Am & Ms. Kavitha Rajagopal, Jm & Co No. 55/Mum/2022 (Arising Out Of Ita No.2233/Mum/2021) (Assessment Year: 2014-15) Shapoorji Pallonji & Company Private Dy. Cit, Circle-3(3)(1) Limited Mumbai 1St Floor, 41/44, S P Centre, Minoo Vs. Desai Marg, Colaba, Mumbai-400 005

For Appellant: Shri Rajan Vora & Nikhil TiwariFor Respondent: Shri H M Bhatt
Section 10Section 115JSection 143(1)Section 143(3)Section 14ASection 250

related services. The assessee had filed its return of income dated 28.11.2014, declaring loss at Rs.10,83,63,227/- under the normal provisions and book profit u/s. 115JB of the Act at Rs.85,05,38,143/- and the same was processed u/s. 143(1) of the Act. The assessee ... Revenue’s appeal and ground nos. 4, 5 and 6 of the assessee’s cross objection pertain to the adjustment of the book profit u/s. 115JB of the Act in relation to the expenditure relatable to earning income. It is observed that the assessee while computing its book profits

Seo Lehenga House, Jagraon vs. DCIT Central Circle(3), Ludhiana

In the result, ground no. 3,4,5 & 6(a) are dismissed as not pressed and ground no

ITA 618/CHANDI/2022[2018-2019]Status: DisposedITAT Chandigarh27 Mar 2024AY 2018-2019

Bench: SHRI. AAKASH DEEP JAIN (Vice President), SHRI. VIKRAM SINGH YADAV (Accountant Member)

For Appellant: Shri Sudhir Sehgal, Advocate and Shri Rishabh Marwah, CAFor Respondent: Smt. Kusum, CIT, DR
Section 132(1)Section 133ASection 139(1)Section 142(1)Section 143(3)Section 153ASection 69Section 69C

Anantharam Veerasinghaiah & Co vs CIT (1980) 123 ITR 457 where the Lordships have held that where an intangible addition is made to the book profits during an assessment proceeding, it is on the basis that the amount represented by that addition constitute the undisclosed income of the assessee ... part of real income as that disclosed in the account books, has the same existence and could be available to the assessee as the books profits could be and may constitute a fund from which the assessee may draw subsequently for meeting expenditure or introducing amount in his books

Seo Bridal Studio Pvt Ltd, Ludhiana vs. DCIT Central Circle(3), Ludhiana

In the result, ground no. 3,4,5 & 6(a) are dismissed as not pressed and ground no

ITA 617/CHANDI/2022[2018-2019]Status: DisposedITAT Chandigarh27 Mar 2024AY 2018-2019

Bench: SHRI. AAKASH DEEP JAIN (Vice President), SHRI. VIKRAM SINGH YADAV (Accountant Member)

For Appellant: Shri Sudhir Sehgal, Advocate and Shri Rishabh Marwah, CAFor Respondent: Smt. Kusum, CIT, DR
Section 132(1)Section 133ASection 139(1)Section 142(1)Section 143(3)Section 153ASection 69Section 69C

Anantharam Veerasinghaiah & Co vs CIT (1980) 123 ITR 457 where the Lordships have held that where an intangible addition is made to the book profits during an assessment proceeding, it is on the basis that the amount represented by that addition constitute the undisclosed income of the assessee ... part of real income as that disclosed in the account books, has the same existence and could be available to the assessee as the books profits could be and may constitute a fund from which the assessee may draw subsequently for meeting expenditure or introducing amount in his books

M/S Seo Lehenga House, Jagraon vs. DCIT, Central Circle -3, Ludhiana

In the result, ground no. 3,4,5 & 6(a) are dismissed as not pressed and ground no

ITA 310/CHANDI/2022[2017-2018]Status: DisposedITAT Chandigarh27 Mar 2024AY 2017-2018

Bench: SHRI. AAKASH DEEP JAIN (Vice President), SHRI. VIKRAM SINGH YADAV (Accountant Member)

For Appellant: Shri Sudhir Sehgal, Advocate and Shri Rishabh Marwah, CAFor Respondent: Smt. Kusum, CIT, DR
Section 132(1)Section 133ASection 139(1)Section 142(1)Section 143(3)Section 153ASection 69Section 69C

Anantharam Veerasinghaiah & Co vs CIT (1980) 123 ITR 457 where the Lordships have held that where an intangible addition is made to the book profits during an assessment proceeding, it is on the basis that the amount represented by that addition constitute the undisclosed income of the assessee ... part of real income as that disclosed in the account books, has the same existence and could be available to the assessee as the books profits could be and may constitute a fund from which the assessee may draw subsequently for meeting expenditure or introducing amount in his books

M/S Seo Lehenga House, Jagraon vs. DCIT, Central Circle-3, Ludhiana

In the result, ground no. 3,4,5 & 6(a) are dismissed as not pressed and ground no

ITA 309/CHANDI/2022[2016-2017]Status: DisposedITAT Chandigarh27 Mar 2024AY 2016-2017

Bench: SHRI. AAKASH DEEP JAIN (Vice President), SHRI. VIKRAM SINGH YADAV (Accountant Member)

For Appellant: Shri Sudhir Sehgal, Advocate and Shri Rishabh Marwah, CAFor Respondent: Smt. Kusum, CIT, DR
Section 132(1)Section 133ASection 139(1)Section 142(1)Section 143(3)Section 153ASection 69Section 69C

Anantharam Veerasinghaiah & Co vs CIT (1980) 123 ITR 457 where the Lordships have held that where an intangible addition is made to the book profits during an assessment proceeding, it is on the basis that the amount represented by that addition constitute the undisclosed income of the assessee ... part of real income as that disclosed in the account books, has the same existence and could be available to the assessee as the books profits could be and may constitute a fund from which the assessee may draw subsequently for meeting expenditure or introducing amount in his books

M/S Seo Lehenga House, Jagraon vs. DCIT, Central Circle-3, Ludhiana

In the result, ground no. 3,4,5 & 6(a) are dismissed as not pressed and ground no

ITA 308/CHANDI/2022[2015-2016]Status: DisposedITAT Chandigarh27 Mar 2024AY 2015-2016

Bench: SHRI. AAKASH DEEP JAIN (Vice President), SHRI. VIKRAM SINGH YADAV (Accountant Member)

For Appellant: Shri Sudhir Sehgal, Advocate and Shri Rishabh Marwah, CAFor Respondent: Smt. Kusum, CIT, DR
Section 132(1)Section 133ASection 139(1)Section 142(1)Section 143(3)Section 153ASection 69Section 69C

Anantharam Veerasinghaiah & Co vs CIT (1980) 123 ITR 457 where the Lordships have held that where an intangible addition is made to the book profits during an assessment proceeding, it is on the basis that the amount represented by that addition constitute the undisclosed income of the assessee ... part of real income as that disclosed in the account books, has the same existence and could be available to the assessee as the books profits could be and may constitute a fund from which the assessee may draw subsequently for meeting expenditure or introducing amount in his books

M/S Seo Lehenga House, Jagraon vs. DCIT-Central Circle-3, Ludhiana

In the result, ground no. 3,4,5 & 6(a) are dismissed as not pressed and ground no

ITA 307/CHANDI/2022[2013-2014]Status: DisposedITAT Chandigarh27 Mar 2024AY 2013-2014

Bench: SHRI. AAKASH DEEP JAIN (Vice President), SHRI. VIKRAM SINGH YADAV (Accountant Member)

For Appellant: Shri Sudhir Sehgal, Advocate and Shri Rishabh Marwah, CAFor Respondent: Smt. Kusum, CIT, DR
Section 132(1)Section 133ASection 139(1)Section 142(1)Section 143(3)Section 153ASection 69Section 69C

Anantharam Veerasinghaiah & Co vs CIT (1980) 123 ITR 457 where the Lordships have held that where an intangible addition is made to the book profits during an assessment proceeding, it is on the basis that the amount represented by that addition constitute the undisclosed income of the assessee ... part of real income as that disclosed in the account books, has the same existence and could be available to the assessee as the books profits could be and may constitute a fund from which the assessee may draw subsequently for meeting expenditure or introducing amount in his books

Deputy Commissioner of Income Tax, Circle-1(1)(1), Bangalore vs. Asia Power Projects Private Limited, Bangalore

In the result, appeal filed by the Revenue is dismsised

ITA 1140/BANG/2023[2017-18]Status: DisposedITAT Bangalore27 Mar 2024AY 2017-18

Bench: Shri George George K & Shri Chandra Poojarind Shri Laxmi Prasad Sahuassessment Year : 2017-16 Dcit, Vs. M/S. Asia Power Projects Private Limited, Circle – 1(1)(1), 4 Lake Side Residency, No.4, Bengaluru. Annaswamy Mudaliar Road, Bengaluru – 560 042. Pan : Aadca 0485 B Appellant Respondent Assessee By : Shri. Chavali Narayana, Ca Revenue By : Shri. D. K. Mishra, Cit(Dr)(Itat), Bengaluru. Date Of Hearing : 27.02.2024 Date Of Pronouncement : 27.02.2024

For Appellant: Shri. Chavali Narayana, CAFor Respondent: Shri. D. K. Mishra, CIT(DR)(ITAT), Bengaluru
Section 115JSection 143(2)Section 143(3)Section 250Section 36(1)(va)Section 43B

case of M/s. BIAL (supra). Page 4 of 5 6. The learned AR, on the other hand, took us through the computation of Book profits by the assessee as well as the AO and submitted that the computation made by the AO is directly against the dictum laid down ... rejected the submissions made by the assessee and had passed an order considering year-on-year approach for the purpose of computation of book profits under section 115JB of the Act. The CIT(A), after considering the facts of the instant case and the facts of the jurisdictional Tribunal

Diwakar Road Lines, Anantapur vs. Asst. Commissioner of Income Tax, Circle-1, Anantapur

In the result, appeal for the assessment year 2014-15 is treated as allowed for statistical purposes

ITA 74/HYD/2024[2016-17]Status: DisposedITAT Hyderabad26 Mar 2024AY 2016-17

Bench: Shri Rama Kanta Panda & Shri K.Narasimha Chary

For Appellant: Shri K.A. Sai Prasad, ARFor Respondent: Shri Shakeer Ahamed, DR
Section 66

learned Assessing Officer noted that though the remuneration for the partners was fixed at a ratio mentioned therein, in the event of inadequacy of book profits, the partners shall be paid a remuneration of Rs. 5,000/- each per month and in the event of higher profits, the partners shall

Diwakar Road Lines, Anantapur vs. Asst. Commissioner of Income Tax, Circle-1, Anantapur

In the result, appeal for the assessment year 2014-15 is treated as allowed for statistical purposes

ITA 73/HYD/2024[2014-15]Status: DisposedITAT Hyderabad26 Mar 2024AY 2014-15

Bench: Shri Rama Kanta Panda & Shri K.Narasimha Chary

For Appellant: Shri K.A. Sai Prasad, ARFor Respondent: Shri Shakeer Ahamed, DR
Section 66

learned Assessing Officer noted that though the remuneration for the partners was fixed at a ratio mentioned therein, in the event of inadequacy of book profits, the partners shall be paid a remuneration of Rs. 5,000/- each per month and in the event of higher profits, the partners shall

Diwakar Road Lines, Anantahapur vs. Asst. Commissioner of Income Tax, Circle-1, Anantapur

In the result, appeal for the assessment year 2014-15 is treated as allowed for statistical purposes

ITA 72/HYD/2024[2011-12]Status: DisposedITAT Hyderabad26 Mar 2024AY 2011-12

Bench: Shri Rama Kanta Panda & Shri K.Narasimha Chary

For Appellant: Shri K.A. Sai Prasad, ARFor Respondent: Shri Shakeer Ahamed, DR
Section 66

learned Assessing Officer noted that though the remuneration for the partners was fixed at a ratio mentioned therein, in the event of inadequacy of book profits, the partners shall be paid a remuneration of Rs. 5,000/- each per month and in the event of higher profits, the partners shall

Bay Container Terminal Private Limited, Chennai vs. DCIT, Coporate Ward 1(3), Chennai

The appeal stand allowed

ITA 1176/CHNY/2023[2016-17]Status: DisposedITAT Chennai26 Mar 2024AY 2016-17

Bench: Hon’Ble Shri Manoj Kumar Aggarwal, Am & Hon’Ble Shri Manomohan Das

For Appellant: Shri L.Shibi (CA)-Ld. ARFor Respondent: Shri P. Sajit Kumar (JCIT) – Ld. Sr. DR
Section 115JSection 154

committed a grave error in not identifying the fundamental error committed by the Assessing Officer in computation of the book profit under section 115JB of the Income Tax Act, 1961. 4. The CIT(A) completely ignored the fact that the Appellant had correctly added back the income tax paid ... reduced the deferred tax asset while computing the book profit under section 115JB of the Income Tax Act, 1961. Therefore, the order of the CIT(A) is liable to be deleted. 5. The profit after tax as per the profit & loss statement included the credit to the profit & loss statement

Lupin Ltd., Mumbai vs. The Dy CIT, Circle-3(4), Mumbai

In the result, the appeal of the assessee in I

ITA 77/MUM/2021[2013-14]Status: DisposedITAT Mumbai18 Mar 2024AY 2013-14

Bench: Shri Pavan Kumar Gadale, Jm & Ms Padmavathy S, Am

For Appellant: Shri Rajan Vora, Shri PranayFor Respondent: Ms. Manju Thakur, Sr. DR
Section 10ASection 115JSection 143(3)Section 154Section 271(1)(c)Section 37(1)

Lupin Limited 26.11.2013 declaring a total income of Rs. 12,18,99,68,560/- as per the normal provisions of the Act and a book profits of Rs. 17,28,95,82,575/- under section 115JB of the Act. The assessee filed the revised return of income on 27.11.2014 revising ... section 40(a)(v) of the Act towards non-monertary perquisites were made to the tune of Rs.2,95,87,707 accordingly assessing the book profit at Rs. 17,31,91,70,282/- under section 115JB of the Act. 6. Aggrieved the assessee filed further appeal before

Asstt. CIT -Circle-3(4), Mumbai vs. M/S. Lupin Ltd., Mumbai

In the result, the appeal of the assessee in I

ITA 1241/MUM/2021[2013-14]Status: DisposedITAT Mumbai18 Mar 2024AY 2013-14

Bench: Shri Pavan Kumar Gadale, Jm & Ms Padmavathy S, Am

For Appellant: Shri Rajan Vora, Shri PranayFor Respondent: Ms. Manju Thakur, Sr. DR
Section 10ASection 115JSection 143(3)Section 154Section 271(1)(c)Section 37(1)

Lupin Limited 26.11.2013 declaring a total income of Rs. 12,18,99,68,560/- as per the normal provisions of the Act and a book profits of Rs. 17,28,95,82,575/- under section 115JB of the Act. The assessee filed the revised return of income on 27.11.2014 revising ... section 40(a)(v) of the Act towards non-monertary perquisites were made to the tune of Rs.2,95,87,707 accordingly assessing the book profit at Rs. 17,31,91,70,282/- under section 115JB of the Act. 6. Aggrieved the assessee filed further appeal before

The ACIT, Circle-1(1)(1), Vadodara vs. Gujarat Urja Vikas Nigam Limited, Vadodara

In the result, the appeal of the assessee is allowed for statistical purposes and the appeal filed by the Revenue is partly allowed for statistical purposes

ITA 178/AHD/2023[2018-19]Status: DisposedITAT Ahmedabad15 Mar 2024AY 2018-19

Bench: Smt. Annapurna Gupta & Ms. Madhumita Roy

For Appellant: Respondent by : Shri Akhilendra Pratap Yadaw, CIT DRFor Respondent: Shri Akhilendra Pratap Yadaw, CIT DR
Section 143(3)Section 14ASection 234ASection 270A

which reads as below :- 3.0 The learned Commissioner of Income Tax (Appeals) has erred in law and on facts in confirming the enhancement of Book Profit computed under section 115JB of the Income Tax Act, 1961 by Rs.61,45,72,000/- on account of disallowance made under section ... outset ld. AR submitted that this ground relates to the disallowance under section 14A of the Act due to which book profit u/s ITA Nos.139&178/Ahd/2023 Gujarat Urja Vikas Nigam Ltd. vs. DCIT/ACIT Asst.Year– 2018-19 115JB was enhanced by ld. Assessing Officer and the fate of this ground depends

Gujarat Urja Vikas Nigam Limited, Vadodara vs. The Dy. Commissioner of Income Tax, Circle-1(1)(1), Vadodara

In the result, the appeal of the assessee is allowed for statistical purposes and the appeal filed by the Revenue is partly allowed for statistical purposes

ITA 139/AHD/2023[2018-19]Status: DisposedITAT Ahmedabad15 Mar 2024AY 2018-19

Bench: Smt. Annapurna Gupta & Ms. Madhumita Roy

For Appellant: Respondent by : Shri Akhilendra Pratap Yadaw, CIT DRFor Respondent: Shri Akhilendra Pratap Yadaw, CIT DR
Section 143(3)Section 14ASection 234ASection 270A

which reads as below :- 3.0 The learned Commissioner of Income Tax (Appeals) has erred in law and on facts in confirming the enhancement of Book Profit computed under section 115JB of the Income Tax Act, 1961 by Rs.61,45,72,000/- on account of disallowance made under section ... outset ld. AR submitted that this ground relates to the disallowance under section 14A of the Act due to which book profit u/s ITA Nos.139&178/Ahd/2023 Gujarat Urja Vikas Nigam Ltd. vs. DCIT/ACIT Asst.Year– 2018-19 115JB was enhanced by ld. Assessing Officer and the fate of this ground depends

ACIT, CC- 3(4), Kolkata vs. M/S. Himatsingka Seide Limited, Bangalore

In the result, appeal of the assessee in IT(SS)A No

ITA 785/KOL/2018[2008-09]Status: DisposedITAT Kolkata15 Mar 2024AY 2008-09

Bench: Shri Sanjay Garg & Shri Girish Agrawalit(Ss)A No.17/Kol/2018 Assessment Year: 2008-09 Himatsingka Seide Ltd. Deputy Commissioner Of 10/24, Kumara Krupa Road, High Vs. Income Tax, Central Circle- Grounds, Bangalore-560001. Xvi, Kolkata. (Pan: Aaach3507N) (Appellant) (Respondent) & It(Ss)A No.20/Kol/2018 Assessment Year: 2008-09 Assistant Commissioner Of Himatsingka Seide Ltd. Vs. Income-Tax, Central Circle-3(4), Kolkata. (Appellant) (Respondent) & Assessment Year: 2008-09 Assistant Commissioner Of Himatsingka Seide Ltd. Vs. Income-Tax, Central Circle-3(4), Kolkata. (Appellant) (Respondent)

For Appellant: Shri Nageswar Rao, Sr. AdvocateFor Respondent: Shri Abhijit Kundu, CIT, DR
Section 143(3)Section 14ASection 153ASection 271Section 92C

case, Ld. CIT(A) has erred in law as well as on facts, in deleting addition of Rs. 40,03,074/- in computation of Book Profit u/s 115JB, thus ignoring the provision of clause (f) of explanation 1 to section 115JB of the Act. 11) That the appellant craves leave ... revenue are also dismissed. 10. Further, revenue has raised ground no. 10 whereby it has challenged the deletion of Rs.40,03,074/- in computing book profit u/s. 115JB of the Act, ignoring the provisions of clause (f) of explanation (1) to the said section. This issue is no longer

Jt. CIT (OSD) - 2 (3)(1), Mumbai vs. Tata Sons Private Ltd., Mumbai

In the result, appeal of the Revenue is dismissed

ITA 1349/MUM/2019[2012-13]Status: DisposedITAT Mumbai15 Mar 2024AY 2012-13

Bench: Shri Vikas Awasthy& Shri S.Rifaur Rahmanआअसं. 1093/मुं/2019 (नि.व. 2012-13)

dismissed as not pressed. In the result, ground No.6 of appeal is partly allowed in the aforesaid terms. Ground No.7 –Increasing the Adjusted Book Profit u/s. 115JB of the Act : 18. The assessee vide application dated 11/09/2021 has modified ground No.7 of appeal. The modified ground No.7 of appeal reads ... under: “ The learned AO be directed to increase the “book profit” in terms of clause (f) to Explanation 1 to section 115JB, only the direct expenditure incurred relatable to income to which the provisions of section 10 apply in terms of clause (i) of sub-rule(2) to Rule

Tata Sons Pvt. Ltd, Mumbai vs. CIT (A)-58, Mumbai

In the result, appeal of the Revenue is dismissed

ITA 1093/MUM/2019[2012-13]Status: DisposedITAT Mumbai15 Mar 2024AY 2012-13

Bench: Shri Vikas Awasthy& Shri S.Rifaur Rahmanआअसं.1093/मुं/2019(िन.व. 2012-13) Tata Sons Private Limited, Bombay House, 24, Homi Mody Street, Fort, Mumbai 400 001. ...... अपीलाथ"/Appellant Pan: Aaact-4060-A बनाम Vs. The Commissioner Of Income Tax (Appeals)-58, Jcit, Room No.552, Aaykar Bhavan, M.K.Road, ....."ितवादी/Respondent Mumbai – 400 020 आअसं.1349/मुं/2019 (िन.व. 2012-13) Jt.Cit (Osd)-2(3)(1), Mumbai Room No.552, 5Th Floor, Aaykar Bhavan, M.K.Road, ...... अपीलाथ"/Appellant Mumbai – 400 020 बनाम Vs. Tata Sons Private Limited, Bombay House, 24, Homi Mody Stree, Fort, Mumbai 400 001. ....."ितवादी/Respondent Pan: Aaact-4060-A अपीलाथ""ारा/Appellant By : Ms. Arati Vissanji & Ms. Aastha Shah, Advocates. "ितवादी "ारा/Respondent By : S/Shri Manoj Kumar, Cit-Dr & Ujjwal Kumar Chavhan, Sr.Ar सुनवाई की ितिथ/ Date Of Hearing : 22/12/2023 घोषणा की ितिथ/ Date Of Pronouncement : 15/03/2024

For Appellant: Ms. Arati Vissanji and Ms. Aastha Shah, AdvocatesFor Respondent: S/Shri Manoj Kumar, CIT-DR and Ujjwal Kumar Chavhan, Sr.AR

dismissed as not pressed. In the result, ground No.6 of appeal is partly allowed in the aforesaid terms. Ground No.7 –Increasing the Adjusted Book Profit u/s. 115JB of the Act : 18. The assessee vide application dated 11/09/2021 has modified ground No.7 of appeal. The modified ground No.7 of appeal reads ... under: “ The learned AO be directed to increase the “book profit” in terms of clause (f) to Explanation 1 to section 115JB, only the direct expenditure incurred relatable to income to which the provisions of section 10 apply in terms of clause (i) of sub-rule(2) to Rule

Sarvottam Caps Pvt. Ltd., Kolkata vs. PCIT-2, Kolkata

In the result, ITA No. 202/KOL/2021 is dismissed

ITA 202/KOL/2021[2015-16]Status: DisposedITAT Kolkata11 Mar 2024AY 2015-16

Bench: Sri Rajesh Kumar & Sri Anikesh Banerjee

Section 115JSection 143(3)Section 14ASection 263

doubtful debts of Rs. 1,86,29,997/-being ascertained liability of the company should not be included in the computation of book profits u/s 115JB as directed by the Ld. PCIT-2 Kolkata vide his order u/s 263 dated 31.03.2021 in view of the Hon Hole Apex Court decision ... THAT direction of Ld. PCIT-2^Kolkata u/s 263 dated 31.03.2021 to include 14A Disallowance of Rs.77,08,984/- in computation of book profits u/s 115JB is void ab initio inasmuch as such disallowance u/s 14A is already included in computation of Book Profit u/s 115JB in original Assessment Order