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TMI Blog2023 (6) TMI 561X X X X Extracts X X X X X X X X Extracts X X X X ..... Computation of income of the assessee engaged in growing and manufacturing of tea - HELD THAT:- Rule 8(1) of Income Tax Rules, 1962 which provides for manner of computing taxable income in the assessee is engaged in tea plantation business provides that the total income arrived at shall be apportioned in the ratio of 60:40 and 60% would be treated as agricultural income and remaining 40% would be business income. Therefore we find merit in the arguments of the ld counsel that the disallowance of EPF has to be first added to the income of the assessee and only thereafter 40% would be taxed as business income. Thus the income of Rs. 6,92,424/- is be treated as business income being 40% of income of manufacturing of tea as per Rule 8 o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d in fact these grounds are modified versions of the grounds already raised in the memorandum of appeals. Therefore the same are admitted for adjudication. The additional grounds raised by the assessee are extracted below for the sake of convenience as under: i. That, on the facts and circumstances of the case, the Ld. CIT(A) erred in upholding the addition of the aggregate sum of Rs. 25,40,572/-, being employees contribution to PF u/s 36(1)(va) r.w.s. 2(24)(x) of the Act, totally ignoring the fact that contributions to the tune of Rs. 6,12,445/- were already deposited within the due date of the relevant Act. ii) That on the facts and circumstances of the case, as regard the balance sum of disallowance of Rs. 19,28,127/-, Rule 8(1) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2019 ATEPFO 2,07,109.71 1-4-2019 27-3-2019 6,12,444.82 The said amounts were deposited within the due date of payment prescribed by the Assam Tea Employees Provident Fund Organisation (ATEPFO), Government of Assam. Rs. 19,28,127/- was admitted by the assessee to have been paid beyond the due date under respective Act but was made before the due date of filing of return which was the position of law as on the date of filing of return. The Ld. Counsel for the assessee stated that in view of the decision of Hon ble ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd then whatever is resultant figure of income is worked out would be subjected to split in the ratio of 60:40 and income should be assessed accordingly. In defense of his arguments the Ld. A.R relied on the decision of Hon ble Jurisdictional High Court , Calcutta in the case of AFT Industries Ltd. vs. CIT [2004] 270 ITR 167 and also various other Tribunal decision namely Dholai Tea Co. Pvt. Ltd. vs. DIT in ITA NO. 2251/Kol/2010. The ld counsel also submitted that decision in the case of Jayshree Tea and Industries Ltd. vs. DIT in ITA No. 1777/Kol/2010 has been passed after following the above decision of the Hon ble High Court. The ld counsel of the assessee finally prayed that ground no. 2 may be allowed by directing the assessee to tax o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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