COMMISSIONER OF INCOME TAX Vs. EICHER MOTORS LTD

JUDGEMENT

(1.) AT the instance of the Revenue, the Tribunal stated the case and referred the under-noted questions of law under S. 256(1) of the IT Act, 1961 'the Act' arising out of the order dt. 30th Dec., 1991 passed in IT Appeal No. 179 (Ind) or 1991, for our opinion:-

(2.) BRIEFLY stated the facts of the case are that the year of assessment is 1989-90. The assessee is a Public Limited company. The assessee returned the loss of Rs. 17,30,98,382 for the asst. yr. 1989- 90. The AO made adjustments of Rs. 3,22,34,994 under S. 143(i)(a) of the Act as particularised in the statement of the case. The assessee filed application under S. 154 of the Act before the AO for rectification; of the order. The AO partly rectified the order (Annexure-'A'). The assessee then filed appeal before the CIT (A) who further reduced the amount (Annexure-'B'). Aggrieved by the order of CIT (A) in part, the assessee filed the appeal before the Tribunal. The Tribunal for the reasons stated in the order concluded that the action; of the AO in making adjustments of the items, stated above, was patently erroneous. The Tribunal, thus, deleted all the adjustments (Annexure-'c'). The revenue felt aggrieved by the order of the Tribunal an, thus, filed the application under S. 256(1). On this application, the Tribunal stated the case and referred the aforesaid questions.

(3.) THE counsel for the applicant, right at the threshold, submitted that if question No. (1) is answered in favour of the assessee, then a question No. (2) need not be answered. The counsel for the non-applicant did not dispute this contentions.