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TMI Blog2016 (6) TMI 840X X X X Extracts X X X X X X X X Extracts X X X X ..... mounts were clearly in the nature of business expenses. The AO had primarily disallowed these expenses because the assessee was not earning any receipt from the project. It is well settled law that it is not necessary that for allowability of expenses, there should be receipt also for justifying the assessee’s claim regarding expenses. - Decided against revenue - ITA No. 2715/Del/2014 - - - Dated:- 15-6-2016 - Shri S. V. Mehrotra, Accountant Member And Smt. Beena A. Pillai: Judicial Member For the Appellant : Shri Sanjay Kumar Yadav Sr. DR For the Respondent : None ORDER Per S. V. Mehrotra, A. M This is revenue s appeal against the order dated 28.02.2014, passed by the ld. CIT(A)-XXIX, New Delhi, relating to AY 200 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (v) Tidel Power Project 54,603 (vi) IT-500 Kolar (5,107,401) (vii) Kayamkulam 142,610 4. AO noticed that in the Naini Bridge project the receipts were of ₹ 64,037,288/-, which included construction income of ₹ 3,51,92,281/-. He further noticed that this project had a gross block of ₹ 118,840,919/- in respect of plant and machinery and on this depreciation of ₹ 52,909,739/- as per Companies Act was claimed. The whole block of plant and machinery had opening WDV as per the Act of ₹ 61,013,843. He noted that all the machineries relating to Naini Bridge project had been re-exported by the assessee during the year and the closing WDV of plant and machinery had become Nil. In the transaction the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aking the aforementioned two disallowances. 6. Ld. CIT(A) deleted the disallowance in respect of Naini Bridge project observing as under: 7.2 I have duly considered submissions of the appellant, details of freight expenses, TDS certificates and other materials furnished by the appellant. It has been noted that all the payments have been made by the account payee cheques and the appellant has complied with TDS obligation wherever applicable. It is also a fact that freight expenses have been incurred in reference to re-export of equipment used by the appellant in its business and hence these are in the nature of business expenditure. The AO has not given any cogent reason for disallowing these expenses. In view of above, I hold that f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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