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TMI Blog2016 (12) TMI 1626X X X X Extracts X X X X X X X X Extracts X X X X ..... red by the assessee, it is wholly tax neutral. In any event, there is no material brought on record by the revenue authorities to show that the assessee attempted to evade taxes. In view of the above discussions, and respectfully following the law laid down in the case of CIT vs. Sati Oil Udyog Limited (2015 (3) TMI 854 - SUPREME COURT) we are of the considered view that enhancement of additional tax under section 143(1A) was not legally sustainable. As we hold so, we make it clear that in the present appeal we are only concerned about the additional tax enhanced in the impugned order, and out observations should be construed in this context only. The additional tax under section 143(1A), to the extent impugned in this appeal, stands del ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... need to be taken note of. The return filed by the assessee was subjected to processing under section 143(1)(a) on 24.07.1992 and additional tax under section 143(1A) was levied. The additional tax so levied amounted to ₹ 1,51,66,713/-. Subsequently, however, in the course of scrutiny assessment proceedings, the Assessing Officer noted that the claim of depreciation made by the assessee is incorrect inasmuch as the assessee ought to have restricted the claim to 75% in a accordance with the law. It was also noted that additional tax was levied under section 143(1A) in respect of the depreciation disallowance, and the quantum has enhanced. On these facts, the Assessing Officer levied further additional tax by observing as under :- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case of CIT vs. Sati Oil Udyog Limited [(2015) 372 ITR 746 (SC)], has inter alia observed as follows :- Taking a cue from the Varghese case, we therefore, hold that Section 143(1A) can only be invoked where it is found on facts that the lesser amount stated in the return filed by the assessee is a result of an attempt to evade tax lawfully payable by the assessee. The burden of proving that the assessee has so attempted to evade tax is on the revenue which may be discharged by the revenue by establishing facts and circumstances from which a reasonable inference can be drawn that the assessee has, in fact, attempted to evade tax lawfully payable by it. 7. In the present case, it is an accepted position that the assessee, a Sta ..... X X X X Extracts X X X X X X X X Extracts X X X X
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