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2015 (7) TMI 352 - ITAT AGRADisallowance of expenditure - CIT(A) deleted the addition - Held that:- We are not inclined to interfere in very well reasoned finding of the learned CIT(A). As he rightly observed, in the absence of Assessing Officer having pointed out any specific cases of non verifiable expenses or any specific cases where such expenses are not incurred for the purpose of business, the disallowance is indeed unsustainable in law. We approve learned CIT(A)’s order on this issue. - Decided in favour of assessee. Appropriation of the cash seized during the course of search against the advance tax liability - CIT(A) delete the statutory interests charged u/s 234A, 234B & 234C - Held that:- We are inclined to confirm and approve very well reasoned conclusions arrived at by the CIT(A). This issue, as rightly observed by the learned CIT(A), is now covered in favour of the assessee by a series of judicial precedents, including, such as in the cases of CIT Vs. Ashok Kumar (2010 (9) TMI 771 - Punjab and Haryana High Court ), and CIT Vs. Kesar Kimam Karyalaya (2005 (5) TMI 58 - DELHI High Court ). It is also important to bear in mind that Explanation-2 to Section 132B of the Act, which restricts the scope of existing liability to liabilities other than tax payable, is specifically enacted with effect from 1st June, 2013, whereas at present dealing with Assessment Year 2010-11. Learned Assessing Officer’s reliance on Explanation-2 to Section 132B of the Act, as made out in the ground of appeal, is, therefore, ill-conceived. This provision was not in force at the relevant point of time. On this view of the matter, as also bearing in mind entirety of the case, we approve the stand of learned CIT(A) and decline to interfere in the matter. The assessee was entitled to adjustment of seized cash against advance tax liability and therefore, no interest could be charged u/s 234A & 234B in the event of the department no responding to assessee’s request for adjustment of cash seized against advance tax liability - Decided against revenue.
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