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TMI Blog2021 (11) TMI 76X X X X Extracts X X X X X X X X Extracts X X X X ..... payments made towards statutory funds, communications, professional fees etc. CIT(A) while following the decision of Hon ble jurisdictional High Court in the case of Integrated Technology Ltd. [ 2011 (12) TMI 48 - DELHI HIGH COURT] and also order of Mokul Finance Pvt. Ltd [ 2007 (7) TMI 351 - ITAT DELHI-I] granted relief on the ground that the expenses incurred for retaining the status of the compare are allowable deduction, even though the assessee did not carry out any business activity during the assessment year. - Decided against revenue. - ITA No. 4387/Del/2017 (Assessment Year: 2012-13) - - - Dated:- 10-9-2021 - SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER AND SHRI K. NARASIMHA CHARY, JUDICIAL MEMBER Appellant by : Sh. Pra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cation, professional fee, vehicles etc. Learned Assessing Officer, however, did not agree with the submissions of the assessee and disallowed the entire expenses of ₹ 3,64,03,451/- debited to the profit and loss account and assessed the income of the assessee at nil. 3. Aggrieved by the same, assessee preferred appeal before the ld. CIT(A) who by order dated 10.03.2017 deleted the disallowance of expenses holding that these expenses were required to be incurred for retaining the status of the company and allowable deduction even though no business activity was carried out in the relevant year. In this process, ld. CIT(A) placed reliance on the decision of Hon ble jurisdictional High Court in the case of CIT Integrated Technologies ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee had to incur expenses in the shape of salary of few key personnel, payments made towards statutory funds, communications, professional fees etc. 7. In these circumstance, ld. CIT(A) while following the decision of Hon ble jurisdictional High Court in the case of Integrated Technology Ltd. (supra) and also order of coordinate Bench of this Tribunal in Mokul Finance Pvt. Ltd. (supra), granted relief on the ground that the expenses incurred for retaining the status of the compare are allowable deduction, even though the assessee did not carry out any business activity during the assessment year. We do not find any illegality or irregularity in the reasoning given or conclusions reached by the ld. CIT(A) and as a matter of fact ..... X X X X Extracts X X X X X X X X Extracts X X X X
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