{"id":173772,"date":"2003-05-09T00:00:00","date_gmt":"2003-05-08T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003"},"modified":"2018-08-29T15:58:38","modified_gmt":"2018-08-29T10:28:38","slug":"cit-vs-gurudeo-singh-jaggi-on-9-may-2003","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003","title":{"rendered":"Cit vs Gurudeo Singh Jaggi on 9 May, 2003"},"content":{"rendered":"
Madhya Pradesh High Court<\/div>\n
Cit vs Gurudeo Singh Jaggi on 9 May, 2003<\/div>\n
Equivalent citations: 2003 132 TAXMAN 755 MP<\/div>\n
Bench: D Misra, A Shrivastava<\/div>\n<\/p>\n
<\/pre>\n
ORDER<\/p>\n
The appellant named above begs to submit as under :<\/p>\n
Regarding the assessment year 1994-95 the return of the assessee was processed under section 143(1)(a) on 20-3-1995 wherein the total income determined was Rs. 72,230 as against Rs. 65,346 declared by the assessee in the return. The assessing officer added an amount of Rs. 6,884 on account of excess deduction claimed out of incentive bonus. A copy of the aforesaid order passed by the assessing officer dated 20-3-1995 is filed herewith as Annexure P\/1.\n<\/p>\n
2. This is an appeal under section 260A of the Income Tax Act, 1961.\n<\/p>\n
This court at the time of admission had framed the following question of law :\n<\/p>\n
“Whether the learned Tribunal is justified in setting aside the orders passed by the lower authorities disallowing the assessee’s claim of deduction towards conveyance allowance and additional conveyance allowance and while doing so, whether the learned Tribunal has correctly interpreted the provision of sections 16, 17 and 10(14) of the Income Tax Act ?”\n<\/p>\n
3. In course of hearing the learned counsel for the parties very fairly agreed that another question of law does emerge in this case. The said question reads as under :\n<\/p>\n
“Whether the respondent was entitled to any deduction as per actual expenditure incurred out of the incentive bonus paid to him by the employer, namely, LIC ?”\n<\/p>\n
4. The facts which are necessary to be stated here are that the respondent is a Development Officer in the Life Insurance Corporation of India. For the assessment year 1994-95 he was given certain benefits with regard to the conveyance allowance and additional conveyance allowance. That apart there was also claim with regard to the benefit of sum towards incentive bonus. The assessing officer finally allowed the deduction of the incentive bonus on the basis of the actual expenditure. The adjustment made by the assessing officer under section 143(1)(a) was accepted by the assessee. Later on the assessing officer reopened the assessment on the ground that there was escapement of income to the extent of Rs. 27,539 i.e. the deduction allowed in respect of incentive bonus. The assessee feeling aggrieved by the order preferred an appeal before the Commissioner, Gwalior. Being unsuccessful there he approached to the Tribunal. The Tribunal in paragraph 5 held as under :\n<\/p>\n
“5. I have carefully considered the arguments of both the sides and have perused the material placed before me. As per section 147 as amended with effect from 1-4-1989, the assessing officer is empowered to open reassessment under section 147 if he has reason to believe that any income chargeable to tax has escaped assessment for any assessment year. Thus, even under the new provision, it is necessary that the assessing officer should have reason to believe that any income chargeable to tax has escaped assessment. In this case, the assessing officer had allowed the deduction of Rs. 27,539 for earning incentive bonus. In the case of Shri S.N. Mishra (supra), the ITAT Jabalpur Bench has come to the conclusion that the actual expenditure incurred out of incentive bonus is to be allowed. In this case, the assessee had incurred the actual expenditure of Rs. 27,789, while the deduction allowed was only Rs. 27,539. Thus, it cannot be said that any income had escaped assessment. Therefore, in my opinion, it was not a fit case for reopening under section 147. Hence I quash the initiation of proceedings under section 147 and consequently the assessment order dated 10-9-1998 is quashed restoring the original intimation under section 143(1)(a) dated 20-3-1995. Since I have quashed the order of reassessment, the various other grounds of appeal by the assessee need no adjudication.”\n<\/p>\n
5. This court recently in the case has held that the assessee is entitled to get conveyance allowance and additional conveyance allowance as incurred by him. As far as expenditure relating to incentive bonus is concerned this court in I.T.A. No. 19\/1999 and other connected appeals has held that deduction on that score is impermissible.\n<\/p>\n
6. In view of this we are of the considered opinion that the order of the Tribunal is bound to be set aside and is accordingly set aside.\n<\/p>\n
7. The appeal is accordingly disposed of.<\/p>\n","protected":false},"excerpt":{"rendered":"
Madhya Pradesh High Court Cit vs Gurudeo Singh Jaggi on 9 May, 2003 Equivalent citations: 2003 132 TAXMAN 755 MP Bench: D Misra, A Shrivastava ORDER The appellant named above begs to submit as under : Regarding the assessment year 1994-95 the return of the assessee was processed under section 143(1)(a) on 20-3-1995 wherein the […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,24],"tags":[],"class_list":["post-173772","post","type-post","status-publish","format-standard","hentry","category-high-court","category-madhya-pradesh-high-court"],"yoast_head":"\nCit vs Gurudeo Singh Jaggi on 9 May, 2003 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Cit vs Gurudeo Singh Jaggi on 9 May, 2003 - Free Judgements of Supreme Court & High Court | Legal India\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003\" \/>\n<meta property=\"og:site_name\" content=\"Free Judgements of Supreme Court & High Court | Legal India\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/LegalindiaCom\/\" \/>\n<meta property=\"article:published_time\" content=\"2003-05-08T18:30:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2018-08-29T10:28:38+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/i0.wp.com\/www.legalindia.com\/judgments\/wp-content\/uploads\/sites\/5\/2025\/09\/legal-india-icon.jpg?fit=512%2C512&ssl=1\" \/>\n\t<meta property=\"og:image:width\" content=\"512\" \/>\n\t<meta property=\"og:image:height\" content=\"512\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Legal India Admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@legaliadmin\" \/>\n<meta name=\"twitter:site\" content=\"@Legal_india\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Legal India Admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003\"},\"author\":{\"name\":\"Legal India Admin\",\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/#\\\/schema\\\/person\\\/0bfdffe9059fb8bb24a86d094609c5ea\"},\"headline\":\"Cit vs Gurudeo Singh Jaggi on 9 May, 2003\",\"datePublished\":\"2003-05-08T18:30:00+00:00\",\"dateModified\":\"2018-08-29T10:28:38+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003\"},\"wordCount\":708,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/#organization\"},\"articleSection\":[\"High Court\",\"Madhya Pradesh High Court\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003\",\"url\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003\",\"name\":\"Cit vs Gurudeo Singh Jaggi on 9 May, 2003 - Free Judgements of Supreme Court & High Court | Legal India\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/#website\"},\"datePublished\":\"2003-05-08T18:30:00+00:00\",\"dateModified\":\"2018-08-29T10:28:38+00:00\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Cit vs Gurudeo Singh Jaggi on 9 May, 2003\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/#website\",\"url\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/\",\"name\":\"Free Judgements of Supreme Court & High Court | Legal India\",\"description\":\"Search and read the latest judgements, orders, and rulings from the Supreme Court of India and all High Courts. A comprehensive database for lawyers, advocates, and law students.\",\"publisher\":{\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/#organization\"},\"alternateName\":\"Free judgements of Supreme Court & High Court of India | Legal India\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/#organization\",\"name\":\"Judgements of Supreme Court & High Court | Legal India\",\"alternateName\":\"Legal India\",\"url\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/wp-content\\\/uploads\\\/sites\\\/5\\\/2025\\\/09\\\/legal-india-icon.jpg\",\"contentUrl\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/wp-content\\\/uploads\\\/sites\\\/5\\\/2025\\\/09\\\/legal-india-icon.jpg\",\"width\":512,\"height\":512,\"caption\":\"Judgements of Supreme Court & High Court | Legal India\"},\"image\":{\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/#\\\/schema\\\/logo\\\/image\\\/\"},\"sameAs\":[\"https:\\\/\\\/www.facebook.com\\\/LegalindiaCom\\\/\",\"https:\\\/\\\/x.com\\\/Legal_india\"]},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/#\\\/schema\\\/person\\\/0bfdffe9059fb8bb24a86d094609c5ea\",\"name\":\"Legal India Admin\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/4faa9d728ed1af3b73d52225c7f12901ac726fe6f7ea0a3348a1d51f3a930987?s=96&d=mm&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/4faa9d728ed1af3b73d52225c7f12901ac726fe6f7ea0a3348a1d51f3a930987?s=96&d=mm&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/4faa9d728ed1af3b73d52225c7f12901ac726fe6f7ea0a3348a1d51f3a930987?s=96&d=mm&r=g\",\"caption\":\"Legal India Admin\"},\"sameAs\":[\"https:\\\/\\\/www.legalindia.com\",\"https:\\\/\\\/x.com\\\/legaliadmin\"],\"url\":\"https:\\\/\\\/www.legalindia.com\\\/judgments\\\/author\\\/legal-india-admin\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Cit vs Gurudeo Singh Jaggi on 9 May, 2003 - Free Judgements of Supreme Court & High Court | Legal India","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003","og_locale":"en_US","og_type":"article","og_title":"Cit vs Gurudeo Singh Jaggi on 9 May, 2003 - Free Judgements of Supreme Court & High Court | Legal India","og_url":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003","og_site_name":"Free Judgements of Supreme Court & High Court | Legal India","article_publisher":"https:\/\/www.facebook.com\/LegalindiaCom\/","article_published_time":"2003-05-08T18:30:00+00:00","article_modified_time":"2018-08-29T10:28:38+00:00","og_image":[{"width":512,"height":512,"url":"https:\/\/i0.wp.com\/www.legalindia.com\/judgments\/wp-content\/uploads\/sites\/5\/2025\/09\/legal-india-icon.jpg?fit=512%2C512&ssl=1","type":"image\/jpeg"}],"author":"Legal India Admin","twitter_card":"summary_large_image","twitter_creator":"@legaliadmin","twitter_site":"@Legal_india","twitter_misc":{"Written by":"Legal India Admin","Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003#article","isPartOf":{"@id":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003"},"author":{"name":"Legal India Admin","@id":"https:\/\/www.legalindia.com\/judgments\/#\/schema\/person\/0bfdffe9059fb8bb24a86d094609c5ea"},"headline":"Cit vs Gurudeo Singh Jaggi on 9 May, 2003","datePublished":"2003-05-08T18:30:00+00:00","dateModified":"2018-08-29T10:28:38+00:00","mainEntityOfPage":{"@id":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003"},"wordCount":708,"commentCount":0,"publisher":{"@id":"https:\/\/www.legalindia.com\/judgments\/#organization"},"articleSection":["High Court","Madhya Pradesh High Court"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003","url":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003","name":"Cit vs Gurudeo Singh Jaggi on 9 May, 2003 - Free Judgements of Supreme Court & High Court | Legal India","isPartOf":{"@id":"https:\/\/www.legalindia.com\/judgments\/#website"},"datePublished":"2003-05-08T18:30:00+00:00","dateModified":"2018-08-29T10:28:38+00:00","breadcrumb":{"@id":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.legalindia.com\/judgments\/cit-vs-gurudeo-singh-jaggi-on-9-may-2003#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.legalindia.com\/judgments\/"},{"@type":"ListItem","position":2,"name":"Cit vs Gurudeo Singh Jaggi on 9 May, 2003"}]},{"@type":"WebSite","@id":"https:\/\/www.legalindia.com\/judgments\/#website","url":"https:\/\/www.legalindia.com\/judgments\/","name":"Free Judgements of Supreme Court & High Court | Legal India","description":"Search and read the latest judgements, orders, and rulings from the Supreme Court of India and all High Courts. A comprehensive database for lawyers, advocates, and law students.","publisher":{"@id":"https:\/\/www.legalindia.com\/judgments\/#organization"},"alternateName":"Free judgements of Supreme Court & High Court of India | Legal India","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.legalindia.com\/judgments\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.legalindia.com\/judgments\/#organization","name":"Judgements of Supreme Court & High Court | Legal India","alternateName":"Legal India","url":"https:\/\/www.legalindia.com\/judgments\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.legalindia.com\/judgments\/#\/schema\/logo\/image\/","url":"https:\/\/www.legalindia.com\/judgments\/wp-content\/uploads\/sites\/5\/2025\/09\/legal-india-icon.jpg","contentUrl":"https:\/\/www.legalindia.com\/judgments\/wp-content\/uploads\/sites\/5\/2025\/09\/legal-india-icon.jpg","width":512,"height":512,"caption":"Judgements of Supreme Court & High Court | Legal India"},"image":{"@id":"https:\/\/www.legalindia.com\/judgments\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/LegalindiaCom\/","https:\/\/x.com\/Legal_india"]},{"@type":"Person","@id":"https:\/\/www.legalindia.com\/judgments\/#\/schema\/person\/0bfdffe9059fb8bb24a86d094609c5ea","name":"Legal India Admin","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/4faa9d728ed1af3b73d52225c7f12901ac726fe6f7ea0a3348a1d51f3a930987?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/4faa9d728ed1af3b73d52225c7f12901ac726fe6f7ea0a3348a1d51f3a930987?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/4faa9d728ed1af3b73d52225c7f12901ac726fe6f7ea0a3348a1d51f3a930987?s=96&d=mm&r=g","caption":"Legal India Admin"},"sameAs":["https:\/\/www.legalindia.com","https:\/\/x.com\/legaliadmin"],"url":"https:\/\/www.legalindia.com\/judgments\/author\/legal-india-admin"}]}},"modified_by":null,"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/www.legalindia.com\/judgments\/wp-json\/wp\/v2\/posts\/173772","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.legalindia.com\/judgments\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.legalindia.com\/judgments\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.legalindia.com\/judgments\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.legalindia.com\/judgments\/wp-json\/wp\/v2\/comments?post=173772"}],"version-history":[{"count":0,"href":"https:\/\/www.legalindia.com\/judgments\/wp-json\/wp\/v2\/posts\/173772\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.legalindia.com\/judgments\/wp-json\/wp\/v2\/media?parent=173772"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.legalindia.com\/judgments\/wp-json\/wp\/v2\/categories?post=173772"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.legalindia.com\/judgments\/wp-json\/wp\/v2\/tags?post=173772"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}