Held that there being no inconsistency in the quantity details of consumption, production and yield of raw materials as reflected in the tax audit report. Depreciation has correctly claimed, even after considering the various adjustments lower than the returned income, interest is not debited to profit and loss account hence revision is not valid. As regards provision for warranty and amortisation of employees stock option, revision is held to be valid (AY. 2016-17)
V. Guard Industries Ltd v. PCIT(2023) 223 TTJ 851 (Cochin)(Trib)
S. 263 : Commissioner-Revision of orders prejudicial to revenue-Quantity details of consumption-Reflected in tax Audit-Depreciation-Book profit-Interest payment-Revision is not justified-Provision for warranty-Amortisation of employees stock option-Revision is held to be valid. [S. 37(1), 115JB, Form 3CD]