1984 (2) TMI 165

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..... treatment by the ld. AAC of the problem posed to him by the assessee. It is pointed out by the ld. Departmental Representative that the ld. AAC has to decide the question in accordance with law, whether or not the ITO gave reasons for his action. The ITO might not have given any reason for not accepting the above claim of the assessee, because they were prima facie not in accordance with the provisions of s. 23 and s. 24. If the ld. AAC directed the allowance of the said expenses, he should have indicated the provisions of law under which he was allowing the same. This could hardly be a reason to allow an expenditure that the ITO had disallowed it without assigning any reason. Under the law, according to the ld. Departmental Representative .....

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..... on of electricity charges, the ld. counsel for the assessee stated that the rents, which were being realised by the assessee from his tenants, were inclusive of electricity charges and, therefore, to find out the annual letting value of the property, the electricity charges had to be excluded. 5. The ld. Departmental Representative submits in his rejoinder that the assessee had led no evidence in support of his claim that rents realised from his tenants were inclusive of electricity charges and such a plea of the assessee could not be accepted without evidence. With regard to the salary of the chowkidar, the ld. Departmental Representative submitted that the computation of income from property was notional and it was not based on actual p .....

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..... assessee to establish that there was such an agreement. For this purpose, it is necessary to enquire into the matter which has not been done by any of the authorities below. The assessment is, therefore, restored to the file of the ITO for doing the needful in accordance with the direction above. 7. So far as the assessees claim with regard to the deduction of the salary of chowkidar is concerned, it is untenable in law. 6% collection charges are paid to an assessee while computing his property income to enable him to meet expenses of the type indicated by the assessee. The computation of the income under the head property is not based on actuals. It is a national income which has to be computed in accordance with the various provision .....

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