9911796707
TMI Blog2011 (3) TMI 573X X X X Extracts X X X X X X X X Extracts X X X X ..... adings of the assessee, find that the CIT (A) has rightly accepted the claim of the assessee and sustain the same on the issue. Commission expenditure - The assessee has submitted all the relevant details including the assessment record of persons to whom the commission was paid - Even the statement was recorded of Ms. Monica Bhargav to whom commission was paid - She had categorically stated that she was working for the assessee company and was receiving the commission. The commission income has been assessed in her hands by the order u/s 143(3) of the Income-tax Act for the same assessment year - The copy of the assessment order of Monika Bhargav is placed on record. He finally submitted that the commission has been paid for the business ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... business of trading of vehicles. The return of income was filed declaring income of Rs.11,10,230/- plus agricultural income of Rs.2,50,000/- on 29.10.2005. The case was selected for scrutiny. 3. In the ground no.1, the issue involved is deleting the addition of Rs.2 lacs on account of rejection of claim of agricultural income and sustaining the addition only to Rs.50,000/. 4. Learned DR relied on the order of the Assessing Officer. While the learned AR relied on the order of the CIT (A) and submitted that the assessee was deriving agricultural income on account of growing flowers and ornamental plants which had been accepted by the department in the earlier years. The assessee was having agricultural land of more than 24 bighas. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r of the CIT (A) and also submitted that the commission paid was for business purposes. The commission was paid on the sales to various parties. The Assessing Officer accepted part of the payment of commission as genuine and balance as non-genuine. The assessee has submitted all the relevant details including the assessment record of persons to whom the commission was paid. Even the statement was recorded of Ms. Monica Bhargav to whom commission was paid. She had categorically stated that she was working for the assessee company and was receiving the commission. The commission income has been assessed in her hands by the order u/s 143(3) of the Income-tax Act for the same assessment year. The copy of the assessment order of Monika Bhargav i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e with prospective customers. Further, the assessee had deducted necessary TDS on commission paid. The copies of the income-tax returns of the persons to whom the commission were paid were also filed on the record. These persons to whom commission paid are assessed to income tax. All relevant details including the names and address, details of TDS and PAN numbers of these persons to whom the commission was paid were filed on record. They are assessed to income-tax. Revenue is not able to prove that the payment of commission was not genuine and were not for business purposes. Keeping all these facts in view, we uphold the order of the CIT (A) on this issue and dismiss this ground of revenue's appeal. 9. Learned AR for the assessee has no ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
