9911796707
TMI Blog2024 (1) TMI 1178X X X X Extracts X X X X X X X X Extracts X X X X ..... er did not record any satisfaction as to how the disallowance made by the assessee was unreasonable or unsatisfactory. In the absence of any satisfaction recorded u/s 14A of the Income Tax Act, no disallowance could be made against assessee. Further, assessee has own sufficient funds to make investment, therefore, there is a presumption in favour of the assessee that assessee has used own funds to make investment in shares. Therefore, no addition under section 14A of the nature could be made against the assessee -. Since the addition has been deleted the penalty has no legs to stand. To this extent no penalty is leviable. Appeal of the revenue is partly allowed for statistical purpose. - SH. N. K. BILLAIYA, ACCOUNTANT MEMBER AND MS. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fines in domestic market and due to dust etc., the quantity of iron ore fine have deteriorated further. The explanation of assessee is supported by the fact that there is fall in export of iron ore fines in assessment year under appeal as compared to earlier years. However, the assessee did not produce books of account and other details and production cord because of the reasons that the Courier Company could not supply the same at Delhi within a reasonable period. Since, on Ground No.4, the matter in issue have been restored to the file of assessing officer for examination by directing the assessee to produce books of account and other details, therefore, in our view, this issue also requires for reconsideration at the level of the assessi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... findings read as under :- 17.1. Considering the totality of the facts and circumstances of the case, it is clear that assessee made suo motu disallowance under section 14A, but, assessing officer did not record any satisfaction as to how the disallowance made by the assessee was unreasonable or unsatisfactory. In the absence of any satisfaction recorded under section 14A of the Income Tax Act, no disallowance could be made against assessee. Further, assessee has own sufficient funds to make investment, therefore, there is a presumption in favour of the assessee that assessee has used own funds to make investment in shares. Therefore, no addition under section 14A of the nature could be made against the assessee. We, accordingly, set as ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
