Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2018 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (11) TMI 315 - ITAT KOLKATADisallowance of Deferred revenue expenditure - AO held that the said claim is in the nature of capital - Held that:- We find that the revenue has accepted and allowed 1/5th of the some expenditure in the earlier years as claimed by the assessee. The CIT-A found satisfied on perusal of record that no material changes caused effect in respect of facts involved the issue in hand. DR did not bring on record any decision contrary to the finding of the CIT-A. No infirmity in the impugned order of the CIT-A. We uphold the same. Ground no. 1 raised by the revenue is dismissed. Long term capital loss - disputed loss has arisen on account of transfer of shares and debentures in terms of said settlement approved by Hon’ble High Court - CIT-A examined the record and found that cost of share was made in terms of approval of the Hon’ble High Court of Calcutta - Held that:- We are of the view that the CIT-A was correct in directing the AO to carry forward the said loss as the genuineness of the loss had been upheld. We find no infirmity in the impugned order of the CIT-A. Ground no. 2 raised by the revenue is dismissed. Addition on account of loans - According to assessee an amount was outstanding - Held that:- In terms of settlement the assessee received only ₹ 1 crore as full and final settlement. The assessee contended that it suffered loss and as such made a claim of bad debt written off for the interest portion. The CIT-A considering the submissions of assessee granted the benefit of bad debt written off. We find that the amount recovered by the assessee is less than the principal amount as given by assessee under loan. The assessee recovered an amount of ₹ 1 crore out of total dues of ₹ 3,04,45,954/- only the interest portion of ₹ 81,95,954/- which is part of ₹ 3,04,45,954/- was claimed as bad debt. The same was allowed by the ld. CIT(A). We find no infirmity in the impugned order of the CIT-A. TDS u/s 195 - commission paid to selling agents, who are based abroad and has no permanent establishment in India - PE in India - Held that:- Since the commission has been paid to nonresident agents for services rendered outside India and the same is not chargeable to tax in India under the Act. Therefore, in our opinion, the CITA has rightly observed that the tax is not required to be deducted on payments made to them as per section 195 of the Act and with Circular No:786 dt:07.02.2000 issued by the CBDT. All the parties are nonresidents and for deducting tax at source is not required
|