9911796707
TMI Blog2023 (4) TMI 475X X X X Extracts X X X X X X X X Extracts X X X X ..... the AO u/s. 154 of the Income-tax Act, 1961 [the Act] dated 19.02.2021 which on appeal was allowed by the CIT(Appeals) by observing that where two different opinions are possible, the same cannot be subject to rectification. 3. The brief facts are that the AO passed order u/s. 143(3) of the Act on 31.12.2018 assessing taxable income under the normal provisions of the Act at Rs.10,99,29,500 and book profits under the MAT provision was determined at Rs.13,99,54,994. While computing the total income of the assessee, the AO himself allowed deduction u/s. 80IB of Rs.4,50,25,494 on the surrendered amount by the assessee during the course of search & seizure operation & post search enquiry/survey u/s 133A of the Act., for non-production of expen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 17 in ITA Nos.575 & 694/Bang/2022 by order dated 22.9.2022 the coordinate Bench of this Tribunal decided the issue in favour of the assessee by observing that the order passed by the AO u/s. 154 was wrong. He also submitted that the AO wanted to tinker on the book profit shown by the assessee which is impermissible as per the Act. 7. After hearing the rival contentions and perusing the entire material on record, we notice that the AO has passed the order u/s. 154 by enhancing the income of the assessee on the ground that there was an error in computation of the MAT during the course of proceedings u/s. 143(3) of the Act on the quantum amount of Rs.4.50 crores claimed by the assessee as deduction u/s. 80IB of the Act on the surrendered inco ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) has laid down the principle that the AO does not have the jurisdiction to go beyond the net profit shown in the Profit & Loss Account except to the extent provided in Explanation to Section 115JB of the Act. The argument of the learned AR by placing reliance on the decision of the Hon'ble Jaipur Bench of the Tribunal Gie Jewels (supra) that Sections 115JB and 115JC of the Act are pari materia, also needs consideration. It is also to be noted there is an arguments presented by the learned A.R. that the adjusted total income for the purpose of section 115JC is flowing from the financial statement certified by the Chartered Accountant and that AO has no jurisdiction to make corrections to the profit declared as per the Profit & Loss Account. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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