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TMI Blog2016 (3) TMI 239X X X X Extracts X X X X X X X X Extracts X X X X ..... ins no possibility of set off of business loss against interest income taxable under the head income from other sources. Therefore, we find no reason to interfere with the order of ld. CIT(A) and uphold the same. - Decided against assessee - ITA No.2749/Ahd/2013 - - - Dated:- 27-1-2016 - Shri Rajpal Yadav, JM, and Manish Borad, AM. For The Appellant : None For The Respondent : Mr. Lala Philips, Sr.DR ORDER PER Manish Borad, Accountant Member. This is an appeal filed by the assessee against the order of CIT(A)-VIII, Ahmedabad, dated 27.7.2013, in appeal No.CIT(A)- VIII/ITO/Wd-4(2)/43/12-13 for Asst. Year 2008-09. Assessment was framed u/s 143(3) of the I.T. Act, 1961 (in short the Act) on 25/6/2010 by ITO Ward-4( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n 30.9.2008 declaring total income of Rs.NIL and book profit at ₹ 1,37,581/- u/s 115JB of the Act. The case was selected for scrutiny assessment and notice u/s 143(2) of the Act was issued on 25.8.2009 and duly served upon the assessee on 27.8.2009. During the course of assessment proceedings on verification of profit and loss account it was observed by the Assessing Officer that assessee has stopped its business activities of exporting dyes and chemicals during financial year 2006- 07 and no business activities were carried out during the year under appeal i.e. Asst. Year 2008-09 relevant to F.Y. 2007-08. However, the assessee has claimed custom duty expenses in relation to write off of unutilized import license against income from i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iness from which these incentives were earned has been shown. The appellant has not demonstrated as to how these incentives which are now proposed to be written off, were included in the income of earlier years. Moreover the interest income has been taxed by the AO as income from other sources and there is no relation of the entitlement with the income from other sources, it cannot be said that this expenditure has been incurred for earning the interest income. The appellant company has closed the business and the entitlement pertains to earlier years. In view of all these facts and circumstances the disallowance made by the AO is upheld. 5. Aggrieved, assessee is now in appeal before the Tribunal. None appeared on behalf of the assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tted following before the assessing authority during the assessment proceedings :- From F.Y. 2006-07 assessee company stop its business activity of exporting dyes and chemicals due to ups and down in the market as well as stiff competition from the market and any new licence not received from the F.Y. 2006-07 onwards so licence cannot be utilized and this licence expire or lapse and whatever benefit receivable is cannot be received, assessee company has no any other option other than written off. 7. During appellate proceedings before ld. CIT(A) assessee has submitted as under :- From F.Y. 2006-07 assessee company stop its business activity of exporting dyes and chemicals due to ups and down in the market as well as stiff compet ..... X X X X Extracts X X X X X X X X Extracts X X X X
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