Commissioner of Income Tax vs Rama Associates

The matter was listed yesterday but since there was no appearance on behalf of the assessed, the matter was adjourned for today.

The question of law that has been referred for our opinion u/s 256(1) of the Income Tax Act, 1961 reads as follows:

Whether, on the facts and in the circumstances of the case, the IT AT was correct both on facts and in law in holding that the assessed was eligible for weighted deduction u/s 35B(1)(b)(ix) read with Rule 6AA(c)by ignoring the material fact that the assessed was not maintaining any laboratory or other facilities for quality control as stipulated under Rule aa(c) of the Income Tax Rules?

It has been held that the laboratory and other facilities were not maintained by the assessed, as stipulated under Rule 6AA(c) of the Income Tax Rules and, Therefore, the assessed is not entitled to the benefit of weighted deduction.

In view of the decision of this Court in Commissioner of Income Tax Vs. National Agricultural Co-operative Marketing Federation of India Ltd., '', the question is required to be answered in the negative, in favor of the revenue and against the assessed.

The reference is disposed of accordingly.