2012 (9) TMI 1251 - SCH - Income Tax

Summary

Issues:
Assessment Year 1990-1991 - Benefit of Section 43B of the Income Tax Act, 1961 - Requirement of producing a certificate of a Chartered Accountant as per Section 288 of the Act.

Analysis:
The Supreme Court heard arguments from both sides and granted leave in a civil appeal related to the Assessment Year 1990-1991. The appellant, a Public Sector Company, claimed entitlement to the benefit of Section 43B of the Income Tax Act, 1961. The main issue in this case revolved around the appellant's failure to produce a certificate of a Chartered Accountant, as required by the Explanation to Section 288 of the Act. Despite the appellant's claim of payment adjustment on a specific date, the certificate had not been submitted. The Court emphasized that the appellant was obligated to provide this certificate to substantiate the payment claimed under Section 43B.

In light of the above circumstances, the Court directed the appellant to produce the certificate before the Assessing Officer within four weeks. The Assessing Officer was instructed to consider the certificate and make a decision in accordance with the law. Consequently, the civil appeal filed by the appellant was disposed of with no order as to costs. The judgment highlights the importance of complying with procedural requirements, such as producing necessary certificates, to substantiate claims under relevant tax provisions, ensuring transparency and adherence to statutory provisions in tax assessments.