RANE BRAKE LININGS LTD Vs. INSPECTING ASSISTANT COMMISSIONER

JUDGEMENT

(1.) Issue No. 4 - Addition under section 41(1) of the Act (Rs. 2,33,357)

(2.) The assessees case before the Assessing Officer was that the write-back in question was unilateral and that, consequently, there is no question of invoking the provisions of section 41(1) of the Act on the ground that there was cessation of liability. Reliance in this regard was placed on the Bombay case of Cit V Sadabhakti Prakashan Printing Press P Ltd And Rex Commercial Corpn Ltd,45 CTR(Bom) 17. The Assessing Officer rejected the assessees claim on the ground that "the above decision has not been accepted by the Department".

(3.) The CIT(A) declined to interfere in the matter for the following reasons :