1998 INSC 0143
Peria Karamalai Tea and Produce Company Limited
v.
Commissioner of Income Tax
(Supreme Court Of India)
HON'BLE JUSTICE A. P. MISHRA HON'BLE JUSTICE B. N. KIRPAL
Civil Appeal No. 22 Of 1989 | 10-02-1998

The High Court, has answered the question of law which was referred to it in
favour of the Revenue by coming to the conclusion, on interpreting section
40A(7)(b)(ii) of the Income-tax Act, 1961, that the appellant was not entitled to
claim deduction of Rs. 11, 96, 413 which had been allowed by the Tribunal,
because it had not made provision for the said amount in the accounting years
relevant to the respective assessment years. In respect of the assessment year
1975-76, with which the High Court was concerned, it was found that the said
sum of Rs. 11, 96, 413 was not in respect of the accounting year relevant to the
assessment year 1975-76 and, therefore, was not allowable as a deduction.

We do not find any infirmity in the decision of the High Court and, therefore,
this appeal is dismissed with no order as to costs.

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