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TMI Blog2020 (7) TMI 467X X X X Extracts X X X X X X X X Extracts X X X X ..... COURT] has expounded that non-consideration of jurisdictional High Court decision can render a decision of the Tribunal suffering from mistake apparent from record. We note that honourable Supreme Court in the case of Kapurchand Shrimal v CIT [ 1981 (8) TMI 2 - SUPREME COURT] had expounded that it is the duty of the appellate authority to correct the errors in the orders of the authorities below and remit the matter, with or without directions for their consideration, unless prohibited by law. In our considered opinion, this issue needs to be remitted to the file of learned CIT(A). The learned CIT(A) is directed to consider this issue de novo after taking into account the aforesaid Hon ble Jurisdictional High Court decisions. Needle ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the respective assessment years. The issues are common and connected and the appeals were heard together. These are being consolidated and disposed of by this common order. 2. One common issue raised in these appeals relates to the direction of learned CIT(A) to delete the addition on account of subsidy received on the Technology Upgradation Fund (TUF). The Revenue s ground further states that the ITAT order in this regard has not been accepted by the Department and the appeal has been filed before the Hon ble Bombay High Court. 3. Brief facts on this issue are that consequent upon the disallowance of the aforesaid sum by the Assessing Officer, the learned CIT(A) had deleted the disallowance by referring to ITAT decision in assessee&# ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der Section 115JB of the Act. Against this order, Revenue has filed appeal before us. 7. We have heard both the Counsel and perused the records. Learned counsel of the assessee submitted that the issue is decided in favour of the assessee by the ITAT decisions in assessee's own case, as referred above. 8. Per contra, learned Departmental Representative submitted that this issue has already been dealt with by Hon ble Jurisdictional High Court in several decisions. He submitted that in those decisions the Hon ble Jurisdictional High Court held that such income have to be taken into account for computation of book profit. In this regard, learned Departmental Representative referred to the judgment of Hon ble Bombay High Court in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Court is exactly on the same subject as is being discussed hereunder. Furthermore, the proposition that book profit is not to be tinkered with is duly supported by Hon'ble Jurisdictional High Court decision in further following decisions: - 1. Pr. CIT vs. Bhagwan Industries Ltd in ITA No. 436 of 2015 vide order dated 18.07. 2017. 2. CIT vs. Akshay Textile Trading Agencies Pvt Ltd 304 ITR 401 (Bom). 3. CIT vs. Adbhut Trading Co. Pvt. Ltd. (2011) 338 ITR 94 (Bom) Furthermore, we note that Hon ble Supreme Court in the case of ACIT vs Saurashtra Kutch Stock Exchange Ltd., 305 ITR 227 (SC) has expounded that non-consideration of jurisdictional High Court decision can render a decision of the Tribunal suffering from mist ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee further contended before the Assessing Officer that these were strategic investments. The Assessing Officer rejected the contention of sufficient interest free funds by holding that assessee has not submitted cash flow statement. However, he did not dispute, that interest free funds available were more than the investments made. Upon assessee's appeal in this regard, learned CIT(A) allowed the issue in favour of assessee by agreeing with the contention that Hon ble Bombay High Court decision in the case of HDFC Bank is applicable in as much as sufficient interest free funds are available. 17. Against this order, Revenue is in appeal before us. We have heard both the Counsel and perused the records. We find that it has not been d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tablish commercial expediency. 19. The disallowance in this regard has been done on the same reasoning as in the case of disallowance under Section 14A of the Act. The Assessing Officer has disregarded the assessee s submission that assessee has sufficient interest free funds to make these investments/advances on the ground that assessee has not submitted the cash flow statement. It is not denied that assessee had sufficient interest free funds. The learned CIT(A) has noted this aspect and he has decided this issue solely on the basis of the fact that assessee has sufficient interest free funds to give those advances and he has relied upon the decision of Hon ble Bombay High Court in the case of HDFC Bank (supra). The learned CIT(A) has ..... X X X X Extracts X X X X X X X X Extracts X X X X
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