COMMISSIONER OF INCOME TAX Vs. ALFA ENGINEERS

JUDGEMENT

(1.) IN compliance with the direction issued by this Court in Ref. Appln. No. 364 of 1999 preferred by the Revenue under s. 256(2) of the IT Act, 1961, the Tribunal, Rajkot Bench, Rajkot has drawn a statement of case in Ref. Appln. No. Court :

(2.) THE brief facts giving rise to the present reference are that the respondent -assessee, namely, M/s Alfa Engineers, total income of Rs. 11,01,728, which, inter alia, included disallowance of production incentive amounting to Rs. 2,42,476. While disallowing the said production incentive, the AO has observed in the assessment order that the assessee has not furnished any details, such as agreement with workers, method of computation and extra amount of production achieved by the workers. He has further observed that similar addition of this item was made in the assessee's group of case in P.M. Diesels (P) Ltd. for asst. yr. 1985 -86 which was confirmed by CIT(A) vide his order dt. 2,42,476 was made.

(3.) BEING aggrieved by the said order of the AO, the respondent -assessee preferred an appeal before the CIT(A), Rajkot assessee before the CIT(A), Rajkot and hence, CIT(A) has dismissed the appeal after considering the submissions of the assessee as contended in the form of statement of facts and grounds of appeal.