9911796707
TMI Blog2010 (10) TMI 1013X X X X Extracts X X X X X X X X Extracts X X X X ..... the Act") vide order dated 24-11-2006 for the assessment year 2004-05. 2. The first issue in this appeal of the assessee is as regards to the order of the CIT(A) confirming the disallowance of foreign tour expenditure of ₹ 3,09,506/-. For this, assessee has raised the following ground No.1:- "1. The learned CIT(A)-VI, Baroda has erred in law and facts in directing the Assessing Officer to disallow interest proportionate to interest cost of interest free funds placed by the Company with M/s. Amigo Securities Pvt. Ltd. on weighted average basis. The Hon. CIT(A)-VI has failed to appreciate the fact that the interest free advances were made by the Company to M/s. Amigo Securities Pvt. Ltd. purely out of business considerations as a m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e's own case, wherein the Tribunal has allowed the claim of the assessee vide para-11 as under: "11.The assessee is engaged in the business of manufacture of toothbrushes. We find that no material could be brought on recorded by the revenue to show that the visit to Pakistan was for some other purposes than the business of the assessee. Further, if the argument of the learned AO is accepted then the same will imply that when an assessee does not have any prior business in a country and his trip to that country also remains unsuccessful then such business trip will be treated as non business expenditure of the assessee. Obviously, such an interpretation cannot be accepted. We therefore did not find any force in this ground of appeal of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s against the order of the CIT(A) confirming the disallowance of repair expenditure of ₹ 84,118/-. In this appeal, the assessee has raised the following Ground No.3. "3.The Learned CIT(A) has erred in law and facts in confirming the Learned Assessing Officer's action of disallowing Repair Expenses of ₹ 84,118/- incurred by the Assessee for repairs undertaking at its dispatch area. The Learned CIT(A) has failed to appreciate that the said expenditure was clearly in the nature of current repairs and also revenue in nature and hence was allowable as deduction." 7. We have heard rival contentions and gone through the facts of the case. The AO made disallowance by holding that the expenditure incurred was capital in nature. The re ..... X X X X Extracts X X X X X X X X Extracts X X X X
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