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TMI Blog2001 (9) TMI 37X X X X Extracts X X X X X X X X Extracts X X X X ..... llowed. Similar issue has been considered by this court in T. C. No. 80 of 1997-Velimalai Rubber Co. Ltd. v. State of Tamil Nadu (No. 1) [2002] 256 ITR 783 and it was held that this expenditure is not connected with the agricultural activity and it has been decided against the assessee. Applying the same principle, we confirm the order of the Tribunal holding against the assessee. Repairs and maintenance of building: The assessee contends that with regard to repairs and maintenance of building, 2 per cent. which is Rs. 21,335 has been disallowed by the Assessing Officer on the ground that it relates to non-plantation area. According to the assessee, the buildings are situate only in the plantation area and there is no building exclusively ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ound that this expenditure is not allowable. The Tribunal confirmed it. We confirm the same. Legal and professional charges: The assessee contends that the disallowance of Rs. 9,787 made by the Assessing Officer in this aspect is not proper since it is an allowable expenditure as it has got nexus with the agricultural operations. The Tribunal has found that the legal expenses incurred must have nexus with the agricultural operation and in such cases only it is an allowable claim and in this case, the assessee had failed to produce any proof with regard to the nexus of the expenditure with the agricultural activity. Counsel for the assessee submitted that the legal and professional charges incurred are in connection with labour dispute an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ightly disallowed by the authorities below. Accordingly, we confirm it. Counsel for the assessee further submitted that the Tribunal has not considered with regard to the total expenditure claimed and the Assessing Officer has disallowed Rs. 6,80,878 and allowed the expenditure of Rs. 92,90,099 and it is wrong and out of the total expenses of Rs. 1,04,52,883 after deducting the disallowances, the rest of the amount has to be allowed and this aspect has not been considered by the Tribunal. On a perusal of the records, we see that the assessee claimed for allowance of expenditure to the tune of Rs. 1,04,52,883. The Assessing Officer disallowed only Rs. 6,80,878. So, after deducting these disallowances, the rest of the amount under the vario ..... X X X X Extracts X X X X X X X X Extracts X X X X
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