CIT Vs. CONSOLIDATED PHOTO AND FINVEST LTD

JUDGEMENT

(1.) THIS appeal by the revenue, filed under section 260A of the Income Tax Act, 1961 (,,Act, for short) is directed against the order passed by the Income Tax Appellate Tribunal (,,Tribunal, for short) on 13.5.2011 in ITA No.5519/Del/10.

(2.) THE revenue seeks to raise the following question as a substantial question of law for adjudication :

(3.) THE revenue carried the matter in appeal before the Tribunal. The Tribunal noticed the method adopted by the assessee in making a disallowance of Rs.36,64f,485/- out of the total expense of Rs.47,73,534/-. It found no discrepancy or error in the disallowance made by the assessee. The basis adopted by the assessee has been set out in para 4.2 of the order of the Tribunal in a tabular form. The Tribunal also held that Rule 8D applied only from the assessment year 2008-09, as held by the Bombay High Court in the judgment cited supra. It would appear that the computation was put to the representative of the department for comments, but he was not able to point out any error in the same. This has been recorded by the Tribunal in para 5 of its order. In this situation, the Tribunal did not feel any need for interfering with the decision of the CIT(Appeals) and the appeal of the revenue on this point was dismissed.