IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE K.SURENDRA MOHAN WEDNESDAY, THE 13TH OCTOBER 2010 / 21ST ASWINA 1932 ITA.No. 298 of 2010() --------------------- ITA.438/2004 of I.T.A.TRIBUNAL,COCHIN BENCH .................... APPELLANT/RESPONDENT ---------------------------------------- THE COMMISSIONER OF INCOME TAX, COCHIN. BY ADV. SRI.P.K.R.MENON,SR.COUNSEL, GOI(TAXES) SRI.JOSE JOSEPH, SC, FOR INCOME TAX RESPONDENT(S): APPELLANT ------------------------ M/S.APOLLO TYRES LTD,6TH FLOOR, CHERUPUSHPAM BUILDINGS,SHANMUGHAM ROAD, KOCHI-31. THIS INCOME TAX APPEAL HAVING COME UP FOR ADMISSION ON 13/10/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C .N. RAMACHANDRAN NAIR, & K. SURENDRA MOHAN, JJ. -------------------------------------------- I. T. A. No. 298 of 2010 -------------------------------------------- Dated this the 13th day of October, 2010 JUDGMENT Ramachandran Nair, J. Heard standing counsel appearing for the revenue. The main question raised pertains to valuation of closing stock and work-in- progress. Even though the order of the Tribunal is very brief, we notice that Tribunal rejected department's case for the reason that the assessee made valuation based on accounting standards issued by the Institute of Chartered Accountants of India. It is seen that the same valuation is followed for all subsequent assessment years, where assessments would have been completed. The assessment involved in this case is for the year 2000-01 and therefore we do not find any justification to change the system of valuation followed by the assessee for the last nine years. We therefore reject the appeal on this issue. The second question raised pertains to addition of Rs. 25 lakhs on account of disallowance which was reduced and sustained by the Tribunal at Rs. 10 lakhs. We feel this question pertains to only finding ITA 298 of 2010 2 on fact and is not a substantial question of law. We therefore decline to interfere in the matter. Consequently the appeal filed by the revenue is dismissed. (C.N.RAMACHANDRAN NAIR) Judge. (K. SURENDRA MOHAN) Judge. kk ITA 298 of 2010 3