S. 14A: Disallowance from expenditure – Excused money – Onus towards cash to prove that disallowance try erroneous – As opposed to exploring the account disallowance is not justified [R.8D]
Legal held your onus with the funds to prove you to disallowance is erroneous and you can rather than examining the membership disallowance isn’t justified (AY.2007-08, 2008-09)
S. 14A : Disallowance regarding expenses – Excused income – Improvement of disallowance is actually held to be perhaps not valid [Roentgen.8D]
Dismissing the appeal of the latest revenue the newest Court held the Examining Manager got acknowledged your assessee had not lent money. The fresh new assessee had deducted specific proportionate cost, which the Examining Manager hadn’t disbelieved otherwise debated. Amount of money, brand new assessee was said to have received costs-free features regarding banking institutions and other financial institutions having which they had spent. The new Tribunal had truthfully removed this new disallowance away from Rs. crores around section 14A of Work according to signal 8D of Earnings-taxation Legislation.
Dismissing the newest appeal of the latest cash this new Courtroom stored you to definitely one to just like the no excused money had accumulated into assessee the newest conditions from area 14A don’t implement
S. 28(iv) : Team money – Property value much better otherwise perquisites – Converted into currency or perhaps not – Amalgamation –Excess of net said over value regarding people taken over – Perhaps not assessable while the income. [S. 4]
Dismissing the fresh new attractiveness of the brand new revenue the newest Judge kept that specifications regarding section 28(iv) of the Work inform you your amount reflected in the the balance piece of one’s assessee beneath the lead reserves and surplus cannot be treated as good results or perquisite as a result of providers otherwise do it off job. The real difference into the number post amalgamation was the fresh new amalgamation reserve and it can’t be asserted that it actually was from typical deal of the organization being funding in general, and this arose on account of amalgamation from five businesses, it cannot feel managed since losing around area twenty-eight(iv). Observed CIT v. Stads Ltd. (2015) 373 ITR 313 (Mad) (HC).(AY.2006-07)
S. 32: Depreciation – Property gotten in exchange out-of extinguishment of tenancy legal rights – Depreciation allowable – Non – Compete fee – Decline allowable to the concept regarding surface.
The matter needed to be readjudicated because of the Examining Administrator, for which purpose, the fresh Examining Officer needed to analyse the arrangement dated entered to the between the assessee and also the SIPCOT and never wade merely of the the brand new nomenclature
Dismissing this new appeal of the newest funds the newest Court held you to decline was allowable in respect from possessions obtained in exchange regarding relinquishment off tenancy liberties an additional possessions. Court in addition to held you to decline on low-compete costs are kept become deductible. Then followed CIT v. Areva T & D India Ltd. (2012) 26 taxmann 266 (Mad) (HC). (AY.2006-07)
S. thirty two : Depreciation – Carry-forward and put from – Unabsorbed decline to the step one-4-2002 should be carried send and put of versus delivering into membership while of these carry-forward. [S.32 (2)]
Dismissing the latest attractiveness of the newest revenue the Courtroom kept one unabsorbed decline regarding the review seasons 1997-98 so you can 2000-01 try entitled to go off facing earnings to your evaluation year 2005-06. Round Zero. fourteen regarding 2001 old -08)
S. 32: Decline – Building – Street – Entitle to decline from the 10% – Depreciation into property stored to the lease – Depends on regards to book – Amount remanded. [S. thirty two (1)(ii)]
Tribunal is actually justified during the enabling the new decline at 10% inside the paths. Court along with held that belongings on what new facility had started produced by this new assessee, is actually owned by brand new SIPCOT in addition to advancement contains getting courses inside It Park, place of a multiple-height carpark, etc. According to the contract, the fresh assessee had to generate this type of institution and continue maintaining them and that point are said become 99 many years, that’s practically continuous. Thus, a deeper examination of the factual issue is actually rationalized. (AY. 2007-08 so you’re able to 2010-eleven, 2012-thirteen and you can 2013-14)