2007 (7) TMI 248 - HC - Income Tax

Computing the undisclosed income for the block period - whether deductions under chapter VI-A to be allowed, while computing the undisclosed income for the block period under chapter XIV-B - whether the amounts relating to the advance tax paid should be executed even though return has not been filed both question stands covered in favour of assessee by the judgments of this high court in case of Anbu Textiles, Eastern Produce Co., A. R. Enterprises, and N. Vellaiyan

Summary

The High Court of Madras dismissed the appeals filed by the Revenue under Section 260A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal for the Block Assessment Period 01.04.1988 to 09.09.1998. The court stated that deductions under chapter VI-A should be allowed while computing undisclosed income for the block period. The court also mentioned that advance tax paid should be considered even if the return has not been filed. The judgments of previous cases were cited to support the decisions, and no substantial questions of law were found, leading to the dismissal of the tax cases.