9911796707
TMI Blog2013 (12) TMI 425X X X X Extracts X X X X X X X X Extracts X X X X ..... A of the Income Tax Act (hereinafter referred to as 'the Act') and is directed against the order dated 27.12.2011 passed by the Income Tax Appellate Tribunal Lucknow Bench 'A' Lucknow (hereinafter referred to as 'the Tribunal') in I.T.A. No. 264/Lkw/11 for the assessment year 2007-08. The assessee-Company is Non Banking Finance Company. The dispute relates to the assessment year 2007-08. During t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r under appeal has dismissed the appeal. In the memo of appeal, the following substantial questions of law have been sought to be raised: 1) Whether on the facts and circumstances of the case, was the Tribunal legally correct on merits to hold that there is neither any receipt of real income by the assessee nor is there any enforceable right under which income can be said to be accrued to the as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ned counsel for the department submits that there being no finding that money was advanced due to business expediency, the Tribunal was not justified in confirming the order passed by the C.I.T. (A) deleting the addition of interest income on the loan amounts. Strong reliance was placed by him on the Apex Court decision in S.A. Builders Ltd. v. Commissioner of Income-tax (Appeals) and another, (20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assesse that the assessee must charge interest on the advance amounts. The decision relied upon by the learned counsel for the department is distinguishable on the facts of the present case, as it relates to charge of interest on the borrowed capital. It is not so here. In view of the above, the aforesaid decision is not applicable to the facts of the present case. In view of the findings reco ..... X X X X Extracts X X X X X X X X Extracts X X X X
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