9911796707
TMI Blog2014 (5) TMI 195X X X X Extracts X X X X X X X X Extracts X X X X ..... urt ] - the trader was not obliged to make the maximum profit that he can make out of the trading transactions and avoidance of tax liability by so arranging the commercial affairs if the charge of tax is distributed and is not prohibited - A taxpayer may resort to a device to divert the income before it accrues or arises – By arranging the trading transactions, the assessee Company had arranged t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Tribunal for short] dated 14th August 2013: Whether the Appellate Tribunal has substantially erred in upholding the order of the CIT [A] deleting the addition of Rs. 18,90,950/- made on account of disallowance of the trade discount given to an associate concern of assessee? The Assessing Officer for the Assessment Year 200809 noticed turnover discount given by the assessee to its sister c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uld make him eligible for discount @ 2.5% on the sales, and accordingly, in case of Messrs. Bharat Pesticides Industries Private Limited also, this was allowed. CIT [A] therefore concluded that this was not expenditure of the respondent Company and the question of disallowance was not warranted. It also held that there was no loss to the revenue as M/s. Bharat Pesticides Industries Private Limited ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h the findings of both the authorities. In the given set of facts and circumstances, both the authorities have held that it was by arranging the trading transactions, the respondent Company had arranged to give 2.5% discount to the sister concern. Such facility was also made available to others similarly situated subject to the same rate rate of tax and there appears no attempt of evading the tax. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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