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TMI Blog2018 (4) TMI 1276X X X X Extracts X X X X X X X X Extracts X X X X ..... y interference on our part - Decided against revenue - I.T.A. No.1750/DEL/2015 - - - Dated:- 9-4-2018 - Shri H.S. Sidhu, Judicial Member And Shri Prashant Maharishi, Accountant Member Revenue by : Sh. V. K. Jiwani, Sr. DR Assessee by : Sh. Satyajeet Goel, CA Sh. Rajat Jindal, CA ORDER Per H. S. Sidhu, JM The Revenue has filed this Appeal against the impugned Order dated 07.1.2015 of the Ld. CIT(A)-3, New Delhi relevant to assessment year 2010-11. 2. The ground raised in this Appeal read as under:- 1. Whether on the facts and in the circumstances on the case and in law, Ld. CIT(A) has erred in deleting the disallowance of interest of ₹ 5,33,01,263/- made by the AO u/s. 36(1)(iii). 2. The appella ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essee at Loss of ₹ 6,90,61,260/- u/s. 143(3) of the Act. Against the aforesaid assessment order, assessee appealed before the Ld. CIT(A)-3, New Delhi, who vide his impugned order dated 07.01.2015 has allowed the appeal of the assessee by deleting the addition in dispute. Aggrieved with the order of the Ld. CIT(A), the Revenue is in appeal before the Tribunal. 4. Ld. DR relied upon the Order of the AO and reiterated the contentions raised in the grounds of appeal. He stated that Ld. CIT(A) has erred in deleting the disallowance of interest of ₹ 5,33,01,263/- made by the AO, primarily following the order of the CIT(A)-XIII in DLF group companies namely M/s DLF Brands Ltd. for AY 2009-10 dated 4.6.2012. He further stated that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee has invested ₹ 10,26,00,000/- in the shares of subsidiary and joint venture companies as against the share capital of the assesssee of ₹ 8 crores. The AO treated investment of ₹ 2.41 crores out of borrowed funds and disallowed interest on such borrowed funds and disallowed interest on such borrowed funds for six months of ₹ 15,66,500/-. On going through memorandum of association and article of association, it is seen that investing in the shares of subsidiary / joint venture companies is one of the main objet of the assessee to have controlling stakes in trading of branded garments, apparels and other accessories. Since making investments in share of such object of the assessee company, the expenditure incurred on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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