2002 (7) TMI 40

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..... 1983, the assessee's case was covered by the said resolution and amendment made thereafter on March 24, 1988, is clarificatory in nature. We are, therefore, of the view that the Tribunal was right in deleting the addition made by the Income-tax Officer invoking the provision of section 43B in respect of paid sales tax liability. – We answer this question in the affirmative, i.e., in favour of the assessee and against the Revenue
Judge(s) : M. S. SHAH., K. A. PUJ. JUDGMENT The judgment of the court was delivered by K.A. PUJ J.-In this reference, at the instance of the applicant-Revenue, the following question of law is referred to for the opinion of this court for the assessment year 1984-85: "Whether, the Appellate Tribunal is right .....

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..... cular issued by the Central Board of Direct Taxes as well as the resolutions of the State Government as referred to above, that the requirements for getting exemption from the mischief of section 43B in respect of the Sales Tax Deferment Scheme of the Gujarat Government are satisfied. The Tribunal, therefore, held that the amount of Rs. 1,01,81,278 of deferred sales tax is not caught by the mischief of section 43B of the Act. Being aggrieved by the aforesaid decision of the Tribunal, the Revenue has come in reference before this court and the above question was referred for the opinion of this court. Heard Mr. Tanvish Bhatt, learned standing counsel appearing for the applicant-Revenue. Nobody appears on behalf of the respondent-assessee t .....

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..... ernment has passed a resolution bearing No. INC/1087/143-1, dated March 21, 1988, and the said resolution was made operative from April 1, 1983. The period involved in the present assessment is therefore covered by the said resolution. The benefit is given vide circular dated September 25, 1987, wherein the Board has made it clear that if the sales tax due to the Government is converted as a loan which may be repaid by the assessee subsequently by instalments, the Department shall treat the sales tax due as actually paid for all purposes is available to the assessee. The combined reading of this circular of the Central Board of Direct Taxes as well as the resolution issued by the State Government would make it clear that the assessee is ent .....

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