COMMISSIONER OF INCOME TAX Vs. KALINGA TUBES LTD.

JUDGEMENT

(1.) AT the instance of the Commissioner of Income Tax, Orissa, the following questions have been referred :

(2.) THE facts of the case are that while computing tax for the assessment year 1963 -64 under section 143(3) of the Income Tax Act, 1961, read with section 251 of the Act, in pursuance of the order of the Appellate Assistant Commissioner of Income Tax setting aside the assessment and direction given by the Tribunal, the Income Tax Officer, inter alia, added Rs. 36,216 on account of sale of rejected black pipes, Rs. 1,90,410 in respect of sale of G.I. pipes and Rs. 1,18,570 representing fictitious purchases from certain parties. On appeal, the Commissioner of Income Tax (Appeals) deleted the additions made by the Assessing Officer for these years. On appeals by the Revenue, the Tribunal, by its consolidated order, upheld the orders of the Commissioner of Income Tax (Appeals) for these years and dismissed the appeals filed by the Department.

(3.) CONSIDERING all the facts, the matters were remanded by the Commissioner of Income Tax and the orders were upheld by the Tribunal which orders are neither contrary to nor inconsistent with the provisions of law or materials on record. We find that no error has been committed by the Commissioner of Income Tax (Appeals) or the Tribunal. The questions are thus answered in favour of the assessee and against the Department.