IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE T.R.RAMACHANDRAN NAIR MONDAY, THE 21ST JANUARY 2008 / 1ST MAGHA 1929 ITA.No. 106 of 2001() --------------------- ITS&S.A.23/COCH/1998 of I.T.A.TRIBUNAL,COCHIN BENCH .................... APPELLANT/RESPONDENT : ----------------- THE COMMISSIONER OF INCOME TAX, CENTRAL – 1, CHENNAI. BY ADV. SRI.P.K.R.MENON(SR.),SR.COUNSEL FOR IT SRI.GEORGE K. GEORGE, SC FOR IT RESPONDENT/APPELLANT: ------------- M/S. EASTERN COFFEE & CURRY POWDER, ADIMALI.P.O., ADIMALI. BY ADV. SRI.P.BALACHANDRAN SMT.PREETHA S.NAIR THIS INCOME TAX APPEAL HAVING BEEN FINALLY HEARD ON 21/01/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.N.RAMACHANDRAN NAIR & T.R.RAMACHANDRAN NAIR, JJ. ------------------------- I.T.A. No. 106 of 2001 --------------------------------- Dated, this the 21st day of January, 2008 J U D G M E N T C.N.Ramachandran Nair This department appeal is filed under Section 260A of the IT Act against the order of the Tribunal allowing the appeal against block assessment made against the assessee for the block period commencing from 01/04/1986 to 17/06/1996. Income is estimated and assessed for all the years for the reason that assessee failed to explain certain cash credits and trade credits in the accounts. Since some of the block assessments were quashed, Department had made re-assessments for the corresponding assessment years 1987-88 to 1991-92 and 1993-94. It is now conceded before this Court that all those assessments were ultimately cancelled by the Tribunal by holding that re-assessments for the years 1987-88 and 1988-89 are time barred. So far as additions made in the assessments for the assessment years 1989-90 to 1991-92 and 1993-94 are concerned, the additions were deleted after accepting the explanation offered by the assessee on the cash credits and trade credits. Since the Income Tax Appellate Tribunal, Cochin Bench has decided the issue on merits, which is accepted by the ITA 106/2001 -2- Department, it cannot press the appeal for those years. So far as the tax involved for the block period 1987-88 and 1988-89, credits involved are very low. We, therefore, dismiss the appeal as infructuous. (C.N.RAMACHANDRAN NAIR, JUDGE) (T.R.RAMACHANDRAN NAIR, JUDGE) jg