KUMAR RAJARATNAM, C.J. - (1.) This appeal filed by the Income Tax Department is directed againstorder of the learned Single Judge, dated 6 -3 -2002 in Writ Petition No. 808 of2001 [2002(4) M.P.H.T. 47].
(2.) THE first respondent moved the learned Single Judge seeking direction to the appellants to accept the declaration under Section 88 of the Finance Act No. 2 of 1998 for the assessment year 1991 under the Kar Vivad Samadhan Scheme, 1998. The application was filed before the Competent Authority on 28 -1 -1999. The only question was whether on the date of filing the declaration, an appeal was pending or not since pendency of an appeal was a pre -requisite for a declaration to be made.
(3.) THE facts very briefly are, the respondent Company commenced its business of publication of newspaper 'Swadesh' with effect from 3 -11 -1989. The respondent Company filed its return for the Assessment Year 1990 -91 on 31 -2 -1990 declaring loss at Rs. 1,90,240/ -. The assessment was completed vide order dated 31 -3 -1993 under Section 143(3) of the Income Tax Act, 1961 at a total income of Rs. 2,78,760/ -. In the assessment, following additions to income were made: - - (a)Disallowance of cash payments exceeding Rs. 10,000 under Section 40A(3).Rs. 1,16,000.00(b)Unexplained cash credits in the name of Shri Khandelwal under Section 68.Rs. 1,50,000.00(c)Unexplained/unproved share application money under Section 68.Rs. 1,22,000.00;