2011 (3) TMI 1708 - HC - Income Tax

Summary

Issues involved: Appeal against Tribunal's order regarding deduction u/s 80IB of the Act on cattle feed expansion.

Issue A:
The appellant Revenue challenged the Tribunal's order, questioning the entitlement of the assessee to deduction u/s 80IB of the Act on cattle feed expansion when conditions of the section were not fulfilled.

Issue B:
The Tribunal's decision to restore the issue to the Assessing Officer for granting deduction u/s 80IB of the Act amounting to Rs. 1,70,26,645 on cattle feed expansion was also contested.

Details:
The assessee, Banaskantha Dist. Co.Op. Milk Producers Union Ltd., was assessed under Section 80IB. The Tribunal concurred with the CIT(Appeals) and upheld their order without finding any flaws. The Revenue appealed this decision to the High Court.

Upon hearing arguments from both sides, the Court reviewed the documents and orders from all adjudicating authorities. The Senior Advocate for the appellant and the advocate for the respondent were questioned on the legal issues. The Court noted a previous related case where an order of remand was upheld. After considering the facts, discussions, and reasons presented by the Tribunal, the Court found no error or perversity in the order of remand. As the decision was based on facts and the correct application of provisions, with no legal questions for determination, the appeal was dismissed.