Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2017 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (2) TMI 1368 - ITAT CHENNAIAddition of principal portion of lease rent as income of the appellant - Held that:- Assessment year 2002-03 to 2008-09, where the lordship have dismissed the tax appeals and the same is binding on the assessee and CIT(A) has dismissed the assessee's ground Aggrieved by the order, assessee filed appeal before the Tribunal. AR argued the grounds and on the accounting aspects and AS -19. We find the issue is squarely covered against the assessee and uphold the order of the CIT(A). Addition u/s. 14A r/w r. 8D - Held that:- The assessee's argument of the investments being made much earlier to the current year, has implication only with regard to their financing cost, i.e., interest expenditure, direct or indirect, or even partly each. That is, it has no bearing to the indirect, administrative expenditure, which is liable to be disallowed following estimation under rule 8D(2)(iii). This is as the same is in the nature of maintenance expenditure, which is incurred from year and year, irrespective of the date of the acquisition of the relevant capital asset. There is no material adduced at any stage, much less with reference to the accounts, to indicate, even primafacie, of no such expenditure having being incurred. Its disallowance is therefore confirmed. As regards the interest cost, we consider it proper that the matter is restored to the file of the AO to allow the assessee an opportunity to present its case of no interest expenditure having being incurred during the year before him. The AO shall adjudicate issuing definite findings of fact.
|