2006 (8) TMI 107

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..... 85-86 - ITR no 258/1995 - - - Dated:- 3-8-2006 - JUDGMENT The judgment of the court was delivered by R.S.GARG J. ____ At the instance of the Revenue, the Income-tax Appellate Tribunal, Ahmedabad Bench "B" has made this reference on the following questions for opinion of this Court: "Whether on the facts and in the circumstances of the case, the Appellate Tribunal was right in law in .....

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..... . Being aggrieved by the said order, the assessee preferred the appeal to the Commissioner of Income-tax (Appeals). The learned Appellate Tribunal recorded a finding that the said amounts were paid within the statutory permissible time, which was following immediately after the end of the Accounting Year and, therefore, Section 43-B would apply to the facts of the case. 3. The Tribunal on appe .....

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..... r. 6. Section 43-B of the Act provides that notwithstanding anything contained in any other provision of the Income Tax Act, a deduction otherwise allowable under the Act in respect of any sum payable by some assessee by way of tax, duty, cess or fee, by whatever name called, under any law for the time being in force, shall be allowed (irrespective of the previous year in which the liability t .....

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..... y that the royalty is treated to be a tax and, therefore, for the purposes of clause (a) of Section 43-B, it would be inclusive in the term "tax" even if it is called by any other name. 8. It is also to be seen that in the matter of CIT v. Nagri Mills Co. Ltd., [1958] 33 ITR 681, judgment delivered on September 28, 1987, before the division and bifurcation of the State of Bombay, the Bomba .....

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..... thought that the Department would not fritter away its energies in fighting matters of this kind. But, obviously, judging from the references that come up to us every now and then, the Department appears to delight in raising points of the character which do not affect the taxability of the assessee or the tax that the Department is likely to collect from him whether in one year or the other." .....

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