| Case ID |
1f216286-47a5-4e2a-b38c-de0df2e8c8a4 |
| Body |
View case body. Login to View |
| Case Number |
IT REFERENCE No. 70 OF 1988 |
| Decision Date |
Oct 03, 2007 |
| Hearing Date |
|
| Decision |
In this case, the Income-tax Appellate Tribunal referred several questions of law to the Bombay High Court regarding assessments for the years 1978-79 and 1979-80. The key issues included whether the value of unsold raw films was assessable as income and the applicability of limits under sections 40(c) and 40A(5) for directors. The court found that the Tribunal did not provide specific findings on the applicability of the proviso to section 145 of the Income-tax Act, leading to the decision to remand the case back to the Tribunal for reconsideration. The reference was returned unanswered as the tax effect for the revenue questions was below the threshold of Rs. 4 lakhs. The decision emphasized the need for proper findings on critical issues in tax assessments. |
| Summary |
This case involves a reference made by the Income-tax Appellate Tribunal to the Bombay High Court concerning the assessment of income for the years 1978-79 and 1979-80. The primary issues revolved around the valuation of stock of unsold raw films and the applicability of certain sections of the Income-tax Act, particularly section 145. The court noted that the Tribunal had not recorded specific findings necessary for determining the applicability of the law, leading to a remand for de novo consideration. This case highlights the importance of detailed reasoning in tax assessments and the need for clarity in legal proceedings. Tax law practitioners should note the implications of this decision for future cases involving similar issues. |
| Court |
Bombay High Court
|
| Entities Involved |
Income-tax Appellate Tribunal,
Bombay High Court
|
| Judges |
F. I. Rebello,
J. P. Devadhar
|
| Lawyers |
P. S. Sohodevan,
Nilesh Joshi,
Ms. Nikitha Narsena
|
| Petitioners |
Commissioner of Income-tax
|
| Respondents |
Ramnord Research Laboratories P. Ltd.
|
| Citations |
2008 SLD 4168,
(2008) 304 ITR 95
|
| Other Citations |
2016 PTD 1675,
PLD 1997 SC 32
|
| Laws Involved |
Income-tax Act, 1961
|
| Sections |
256,
145,
40(c),
40A(5)
|