Case Law Details
PCIT Vs Orchid Griha Nirman Pvt. Ltd. (Calcutta High Court)
Tribunal agreed with CIT(A) that after conversion of inventory into fixed asset the firm revalued the developed land including construction thereon in order to bring it in line with the current market value to justify the business assistance secured by the firm from the banks to extent of nearly Rs. 250 crores. Therefore, on facts the tribunal concluded that the revaluation was not a colourable device.
FULL TEXT OF THE JUDGMENT/ORDER OF CALCUTTA HIGH COURT
We have heard Mr. P.K. Bhowmick, learned standing counsel for the appellant/revenue duly assisted by Mr. Asok Bhowmick and Mr. J.P. Khaitan, learned senior counsel for respondent/ assessee duly assisted by Ms. Swapna Das and Mr. Siddharth Das.
There is a delay of 874 days in filing this appeal. We have perused the affidavit filed in support of the petition and we find there is absolutely no reason given for the inordinate delay in filing the appeal. However, considering the facts that identical issues were considered in the assessee’s own case for the subsequent assessment year 2008-2009 along with other connected matters and decision was rendered in ITAT/164/2017 dated 18th January 2022, we exercise discretion and condone the delay. Accordingly, the delay is condoned.
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