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TMI Blog2018 (4) TMI 559X X X X Extracts X X X X X X X X Extracts X X X X ..... essment year 2009-2010, vis-a-vis the impugned assessment year. Commissioner of Income Tax (Appeals) was justified in taking a view that interest income of the assessee had to be considered under the head business income and allowing the expenditure exclusively incurred for earning such income. - Decided against revenue Dividend income received by Minor V. Prateek and Minor V.Palak - exemption u/s.10(34) r.w.s. 115O allowed - Held that:- DR fairly admitted that assessee had produced records which demonstrated payment of dividend distribution tax by the concerned companies from which dividends were received by Minor V. Prateek and Minor V.Palak. In our opinion, dividend distribution tax under Section 115O of the Act, having been paid by t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Revenue is taken up first for disposal. 2. There are five grounds raised by the Revenue, of which ground No.1 5 are general needing no specific adjudication. 3. Through its ground No.2, grievance raised by the Revenue is that ld. Commissioner of Income Tax (Appeals) held interest of D54,49,764/- received by the assessee as its business income and directed allowance of expenditure incurred against such income. 4. Ld. Counsel for the Revenue submitted that ld. Assessing Officer had found the assessee to be an employee of two companies and held that he was not carrying on any business. As per the ld. Departmental Representative, assessee had received interest income from one M/s. Siyat Holding Pvt. Ltd. Contention of the ld. Depar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sheet alongwith the return of income. In his computation of income filed along the return, assessee had made suo-motu disallowance of the following expenditure:- Advertisement Exp 1,179 Conveyance 545 Demat Charges 331 Depreciation 4,101 Donation Paid 10,00,000 Foreign Tour expenses 14,060 Insurance paid 1,079 Meeting Expenses 8,000 Miscellaneous Expenses 17,016 Membership fee paid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... early show that ld. Assessing Officer had accepted the business of the assessee as one of finance and investment. Ld. Departmental Representative could not point out any difference in facts or any change of facts from what existed for assessment year 2009-2010, vis-a-vis the impugned assessment year. In these circumstances, we are of the opinion that ld. Commissioner of Income Tax (Appeals) was justified in taking a view that interest income of the assessee had to be considered under the head business income and allowing the expenditure exclusively incurred for earning such income. As for the reliance placed by the Revenue on the judgments of Hon ble Apex Court in the case of Narain Swadeshi Weaving Mills Ltd. (supra) and M/s. Vijaya Laxmi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s the assessee has no business income . A reading of the above ground clearly show that it is raised as corollary to ground No.2 regarding treatment of the interest income earned by the assessee. We have already upheld the order of the ld. Commissioner of Income Tax (Appeals) that interest received by the assessee was rightly treated as business income of the assessee. Accordingly, ground No.4 becomes infructuous and is dismissed. 10. Now, we take up the Cross Objection of the assessee. Grievance raised by the assessee is that ld. Commissioner of Income Tax (Appeals) disallowed unrealized rent of D32,27,156/- while computing its income from house property, for a warehouse premise at Puzhal, Chennai owned by Minor V. Palak. 11. L ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be? ( a) the sum for which the property might reasonably be expected to let from year to year ; or ( b) where the property or any part of the property is let and the actual rent received or receivable by the owner in respect thereof is in excess of the sum referred to in clause (a), the amount so received or receivable ; or ( c) where the property or any part of the property is let and was vacant during the whole or any part of the previous year and owing to such vacancy the actual rent received or receivable by the owner in respect thereof is less than the sum referred to in clause (a), the amount so received or receivable : Provided that the taxes levied by any local authority in respect of the property shall be ..... X X X X Extracts X X X X X X X X Extracts X X X X
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