9911796707
TMI Blog1997 (3) TMI 140X X X X Extracts X X X X X X X X Extracts X X X X ..... ein it was proposed to rectify the intimation on the ground that Rs. 33,82,334 had been claimed as deduction without attaching any evidence relating thereto. The assessee explained that interest on money borrowed from IFCI was paid in Sept., 1990, before filing the return. The assessee also relied on the decisions of the Hon'ble Delhi High Court in the case of Modi Cement Ltd. vs. Union of India (1991) 100 CTR (Del) 48 and SRF Charitable Trust vs. Union of India Ors. (1991) 100 CTR (Del) 160. The assessee, therefore, requested the AO not to make any rectification order under s. 154. However, the AO did not accept the plea of the assessee and made the rectification order under s. 154. 2.1 On first appeal the learned counsel for the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tificate from an accountant in this regard would be a sufficient condition for agreeing with the contention of the assessee. She also observed that the impugned order was made in the year 1991 and the circular clarifying the position as to the nature of evidence required for obtaining the benefit of deduction under s. 43B was dt.4th June, 1991. She also observed that the AO could have referred to the said circular before passing order under s. 154. In the circumstances she accepted the plea of the assessee. The Department is aggrieved. 3. The learned Departmental Representative Shri Vimal Shah, relied heavily on the orders of the AO and his further submissions were reiteration of the arguments taken by the AO. He further submitted that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he learned CIT(A). 4. We have carefully considered the rival submissions on this issue and have also perused the orders of the tax authorities and other relevant record to which our attention was invited during the course of hearing. It is observed that in this case even regular assessment proceedings were going on and in view of the CBDT Circular No. 669, [dated25th Oct., 1993] it is permissible for the assessee to adduce proof relating to actual payment even during the course of assessment proceedings. Thus, we see nothing wrong in the approach of the learned CIT(A) in granting relief to the assessee and we see no reason to interfere with her orders. 5. In the result, the appeal of the Department is dismissed. - - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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