TMI Blog2021 (12) TMI 941X X X X Extracts X X X X X X X X Extracts X X X X ..... allowance is permissible under the law purely on the basis of guess work. There has to be some finding with regard to evidences filed by the assessee. Therefore, having regard to the facts of the present case the decision of the authorities below cannot be sustained. I, therefore, direct the A.O to delete the addition. The ground of assessee s appeal is allowed. - ITA Nos. 1448 & 1449/Del/2020 - - - Dated:- 17-12-2021 - SHRI KUL BHARAT, JUDICIAL MEMBER Appellant by : Sh. S. L. Deepak, CA Respondent by : Sh. Om Prakash, Sr.DR ORDER PER KUL BHARAT, JM : Both appeals filed by the assessee for the assessment years 2014-15 2015-16 are directed against the orders of Ld. CIT(A)-20, New Delhi, both dated 26.02.2020. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 70/- against the income at ₹ 9,42,580/- which was assessed vide order dated 25.04.2016 in the original assessment proceedings. The Assessing Officer made disallowance in respect of the interest of ₹ 1,50,000/- claimed u/s 24 (b) of the Act, disallowance of interest on housing loan mistakenly claimed of ₹ 1,88,924/- and disallowance of expenses related to Salary, Staff Welfare and Bonus Expenses of ₹ 14,38,820/-. 3. Aggrieved against this, the assessee preferred appeal before Ld.CIT(A) who are considering the submissions of the assessee, partly allowed the appeal. Thereby, he confirmed the addition of ₹ 14,38,628/- and the interest of ₹ 1,50,000/- claimed as deduction u/s 24(b) of the Act. 4. Aggriev ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... taff and paid salary to them. 10. I have heard the rival submissions and perused the material available on record and gone through the orders of the authorities below. The Ld.CIT(A) has confirmed the addition by observing as under:- 4.3. The next issue pertains to the disallowance of ₹ 14,38,628/- made out of the expenses claimed by the appellant. It was noticed by the AO that the salary, staff welfare and bonus expenses claimed do not seem to be reasonable and reliable in case of LIC agent and cash Payments exceeding ₹ 20,000/- totaling ₹ 2,19,581/- which do not find place in the ledger account of salary. Therefore, it was estimated by the AO that the reasonable payment to employees comprise of near about 25% of g ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... total salary, staff welfare and bonus claimed in P L a/c and 25% of commission is added to the total income of the assessee for AY 2014- 15. Therefore, considering the facts and circumstances of the case, I do not find any reason to interfere with the findings of the AO and accordingly, the addition of ₹ 14,38,628/- made by the AO is hereby confirmed. 11. I find that the Ld.CIT (A) erred in sustaining the disallowance on the ground that expenses so claimed are excessive and abnormal without adverting to the evidences field in support of the claim. Even the A.O also made disallowance without assigning any reason as to how the expenses claimed are excessive and unreasonable. The Revenue has not brought any adverse material on rec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the same argument as were in ITA No. 1448/Del/2020. 15. I have considered the rival submissions and perused the material available on record and gone through the orders of the authorities below. A similar ground of the assessee s appeal in ITA No. 1448/Del/2020 has been allowed vide para 10 of this order by holding as under:- 10. I find that the Ld.CIT (A) erred in sustaining the disallowance on the ground that expenses so claimed are excessive and abnormal without adverting to the evidences field in support of the claim. Even the A.O also made disallowance without assigning any reason as to how the expenses claimed are excessive and unreasonable. The Revenue has not brought any adverse material on record except saying that the expe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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