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2015 (1) TMI 1302 - ITAT AHMEDABADAddition of excise duty to closing stock - Held that:- We find that ld. CIT(A) after relying on the decision cited in the order has held that Assessee must show the effect of section 145A by following the inclusive method i.e. by including all taxes, dues, cess etc in the closing stock. He has further held that excise duty which is added to the closing stock has to be allowed u/s. 43B of the Act on payment basis. Before us, Revenue has not brought any material on record to controvert the findings of Ld. CIT(A) nor has brought any contrary binding decision in its support,. We therefore find no reason to interfere with the order of Ld. CIT(A). Thus this ground of Revenue is dismissed. - Decided in favour of assessee Disallowance made u/s. 40(a)(2)(b) - disallowance of excess interest paid - AO was of the view that during the relevant period of general rate of interest for loans was around 12% per annum and therefore the interest paid at 18% was excessive to the extent of 6% - Held that:- We find that while deleting the addition Ld. CIT(A) has noted that AO's conclusion that the market rate on which the funds could be borrowed was 12% was not based on any material on record. He has further given a finding that Assessee had paid 18% interest to both related parties as well as the outside parties. Before us, no material has been placed on record by Revenue to controvert the findings of Ld. CIT(A). We therefore find no reason to interfere with the order of Ld. CIT(A) and thus this ground of Revenue is dismissed. Addition made on account of disallowance u/s. 40(a)(ia) - non deduction of tds - form No. 15G filed by Shri Gupta for non-deduction of TDS was invalid - Held that:- We find that while deleting the addition Ld. CIT(A) has noted that assessee had obtained form no. 15G from Shri Kamlesh Gupta and therefore there was no liability on the part of assessee to deduct TDS. Before us, Revenue has brought any material on record to controvert the findings of Ld. CIT(A). We therefore find no reason to interfere with the order of Ld. CIT(A) and thus this ground of revenue is dismissed. Confirming the addition made u/s. 68 - Held that:- We find that while confirming the addition, Ld. CIT(A) has noted that assessee had not made any attempt to rectify the mistake of the year shown in the Form nor had filed any evidence to show that the loan was taken during the year from those parties. Before us, no material has been placed on record by the Assessee to controvert the findings of Ld. CIT(A). We therefore find no reason to interfere with the findings of Ld. CIT(A). - Decided against assessee
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