The Income Tax Officer Vs. Ellora Silk Mills Pvt. Ltd. (ITAT Mumbai)

The assessment for AY 90-91 was reopened on the ground to verify whether the income from warehousing charges should be treated as income from business or income from house property. Ultimately after investigating the case in detail, the Assessing Officer himself arrived at a conclusion that charges on account of warehousing are business receipts and the reassessment was completed accordingly. Now, for these years under consideration the department had taken a different view, which in our considered opinion, is not correct and not acceptable either in the eyes of law or otherwise. There is no c...