COMMISSIONER OF INCOME TAX Vs. HINDUSTAN ZINC LTD.

JUDGEMENT

(1.) THIS appeal has been filed by the Revenue against the judgment of the Tribunal dt. 30th Oct., 2001 under Section 260A of the IT Act.

(2.) THIS appeal was admitted on 29th Jan., 2003 by framing the following substantial question of law: Whether on the facts and in the circumstances of the case the Tribunal was justified in law in directing the AO to allow the deduction of Rs. 4,13,37,165 disallowed by him Under Section 40(a) of the IT Act and confirmed by the CIT(A) out of the claim of the assessee Under Section 35AB amounting to Rs. 8,10,37,633 ignoring the facts and material brought on record?

(3.) AS against this while passing the impugned order, in Paragraph 18 the learned Tribunal has arrived at diametrically contrary finding by holding as under: From the perusal of the above, it is evident that the amount of fees for technical services was never payable by the assessee company to M/s DML outside India.