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2014 (5) TMI 1123 - AT - Income TaxClaim of deprecation on the fixed assets acquired - assessee could not produce original invoices/bills for the purchase of fixed assets - Held that:- In the light of the fire incident which has gutted the branch offices of the assessee at Bhiwandi and Jamshedpur, the assessee has not been able to produce documents in support of purchase of assets. However, the assessee has been able to show from records expenditure incurred for fixing of the assets. The said claim of the assessee has not been rebutted by the Revenue. In view of the facts and circumstances of the case, we hold that the assessee is entitled to claim deprecation on the fixed assets acquired for Bhiwandi and Jamshedpur Branches. - Decided in favour of assessee TDS u/s 194C - Dis-allowance u/s.40(a)(ia) - non deduction of tds on freight charges - Held that:- A perusal of the assessment order as well as the impugned order shows that the assessee during the course of assessment proceedings had produced 164 Form 15-I having value of ₹ 7.28 Crores on 10-11-2009 of which the Assessing Officer had not taken note of although reference of the same has been made in the assessment order. The CIT(Appeals) after considering the same had granted the relief to the assessee to the extent of Form 15-I produced by the assessee before the Assessing Officer. We do not find any error in the order of CIT(Appeals) in giving benefit of Form 15-I valuing ₹ 7.28 Crores. This ground in the appeal of Revenue is accordingly dismissed. For the remaining amount of ₹ 8.41 Crores assessee has submitted that the details of truck-wise list of forms 15-I received and destroyed in fire at Bhiwandi were produced before the Assessing Officer Filing of Form 15-I is mandatory. Obtaining of duplicate Form 15-I could be difficult but not impossible. The assessee could have made some effort in procuring duplicate Forms. There is nothing on record to show that any effort was made to obtain duplicate Forms. Therefore, in our considered opinion, the assessee has not discharged its duty and thus, cannot take advantage of fire in the office to get absolved from this liability. Accordingly, this ground of appeal of the assessee is dismissed. Dis-allowance of foreign exchange fluctuation loss - CIT(Appeals) after examining the documents on record concluded that out of the total loan of ₹ 23.84 Crores, ₹ 21.68 Crores were utilized for working capital purposes and hence allowed the same as expenditure - Held that:- The Hon'ble Apex Court in the case of Woodward Governor India (P) Ltd., (2009 (4) TMI 4 - SUPREME COURT ) has held that loss suffered by the assessee on account of fluctuation in the rates of foreign exchange as on the date of balance sheet is an expenditure u/s.37(1) of the Act. We do not find any infirmity in the findings of the CIT(Appeals) on this issue. Dis-allowance of interest on diversion of interest bearing loans - Held that:- CIT(Appeals) has rightly allowed the interest claimed by the assessee on sums advanced to its subsidiary company as a measure of commercial expediency. We do not find any reason to dislodge the findings of the CIT(Appeals) on the issue.See case of S.A. Builders Ltd., v. CIT [2006 (12) TMI 82 - SUPREME COURT]
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