I.T.R. No. 10 of 1995 [ 1] IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH Income Tax Reference No. 10 of 1995 Date of decision: August 25, 2008 The Commissioner of Income Tax, Patiala. .. Applicant. v. M/s Punjab Small Industries and Export Corporation Limited, Chandigarh. .. Respondent. CORAM: HON'BLE MR. JUSTICE HEMANT GUPTA HON'BLE MR. JUSTICE RAJESH BINDAL Present: Ms. Urvashi Dhugga, Advocate for the applicant. Mr. Akshay Bhan, Advocate for the respondent. .. Rajesh Bindal J. The following questions of law have been referred for opinion of this Court by the Income Tax Appellate Tribunal, Chandigarh Bench, Chandigarh (for short, `the Tribunal') arising out of order dated 9.3.1994 passed in I.T.A. No. 239 of 1989, for the assessment year 1984-85: “1. Whether on the facts and in the circumstances of the case, the ITAT was right in law in upholding the order of the CIT(A) to allow weighted deduction u/s 35B on the expenditure incurred on D.A. and incidental charges on the employees of the assessee outside India ? 2. Whether on the facts and in the circumstances of the case, the ITAT was right in law in upholding the order of the CIT(A) deleting addition of Rs. 44,46,374/- on account of interest receivable by the assessee on accrual basis ? 3. Whether on the facts and in the circumstances of the case, the ITAT was right in law in upholding the order of the CIT(A) in deleting addition of Rs. 13,11,079/- on account of advance money received by the assessee against the allotment of plots ? I.T.R. No. 10 of 1995 [ 2] 4. Whether on the facts and in the circumstances of the case, the ITAT was right in allowing change of method of accounting for a specific item of income in the same source of income ?” The primary issue raised in the present petition regarding change of method of accounting has been considered by this Court in the judgment of even date in I.T.R. No. 72 of 1989 –The Commissioner of Income Tax, Patiala v. M/s Punjab State Small Industries Corporation Ltd., Chandigarh now The Punjab Small Industries & Export Corporation Ltd., Chandigarh, for the assessment year 1981-82, has been answered in favour of the assessee and against the Revenue. For the reasons stated therein, which shall be read as part of the present order as well, the questions referred to above, are answered against the Revenue and in favour of the assessee. The reference is disposed of accordingly. (Rajesh Bindal) Judge (Hemant Gupta) Judge August 25, 2008 mk