CIT Vs. ASPENTECH INDIA PVT LTD

JUDGEMENT

(1.) The present appeal under Sec. 260A of the Income Tax Act, 1961 (Act, for short) is directed against the order dated 21.4.2011 passed by the Income Tax Appellate Tribunal (tribunal, for short) in the case of Aspentech India Pvt. Ltd. (respondent -assessee). The assessment year involved is 2004 -05.

(2.) The assessee had claimed commission expenses of Rs.61,27,865/ -, which was disallowed by the Assessing Officer vide order dated 31.10.2006 on the ground that it was inadmissible expense under Sec. 43B of the Act for the year in question.

(3.) Subsequently, the assessee filed an application under Sec. 154 of the Act for rectification. It was pointed out that an amount of Rs.2,17,913/ - out of the aforesaid amount of Rs.61,27,865/ - was paid by the respondent -assessee to their employees on 31st July, 2003. It was further stated that payment voucher No. 44 dated 31.7.2003 was already on record and available with the Assessing Officer but this fact was overlooked at the time of assessment. It was stated that an amount of Rs.18,48,772/ - was paid to the employees on or before 31st October, 2004, which is the due date for filing of the return of tax for the assessment year 2004 -05. The application further states that these details were available on record of the Assessing Officer, when he had passed the original assessment order. Thus, there was an error/mistake which was apparent and required rectification.