I.T.O Vs. VADILAL CHEMICALS LTD

JUDGEMENT

(1.) FEELING aggrieved and dissatisfied with the impugned judgment and order passed by the learned ITAT in ITA No.3036/Ahd/1994 for the A.Y. 1992 -93, the appellant -Revenue has preferred the present Tax Appeal to consider the following substantial question of law;

(2.) THE facts leading the present Tax Appeal in nutshell are as under;

(3.) 01.1994 was issued by the Assessing Officer. However, along with the aforesaid intimation, the Assessing Officer also forwarded an Adjustment Explanatory Sheet of the same date in which the appellant's income was increased by an amount of Rs.12,38,611/ - in respect of the 3 different items. The first two items were disallowable under Rule 6 -D amounting to Rs.3,639/ -. However, the third item was of a huge amount of RS.12,30,000/ - in respect of excess claim of depreciation on cylinders as the sale of cylinders is reduced from P&M whereas, it should be reduced from cylinders. The AO processed the return and made adjustment and the income of the assessee was increased by Rs.12,38,611/ - with respect to the three different items. The dispute is with regard to the excess claim of depreciation. 4. The assessed submitted rectification application under Section 154 of the Act, Dated : 21.09.1993, which came to be rejected by the AO. The assessee, therefore, carried the matter in appeal before the learned CIT(A) and the learned CIT(A) allowed the said appeal vide order dated 31.03.1994., allowing the addition of aforesaid amount of Rs.12,38,611/ -.