Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (6) TMI 1089 - AT - Income TaxLeave & License fees and Maintence & Amenities charges - “Income from other sources” or "profit and gains of business or profession” - Held that:- The assessee had taken premises on lease from M/s. Mahalaxmi Engineering Company Pvt. Ltd and had subleased same to M/s. Rediff.com India Ltd. and in addition to the leave and license fee, had received maintenance charges. The said maintenance charges were for providing additional services to the sub lessee, which was in addition to the lease charges received for the occupation of the said premises. The assessee being engaged in a systemic activity of exploiting its asset, which in turn it had taken on lease, is thus involved in carrying on business activity. The income arising from such business activity is assessable in the hands of the assessee under the head income from business. The assessee is entitled to the claim of expenditure including the depreciation of assets but not the building, as the building was leased out, as deduction against such business income. Accordingly, we direct the AO to assess the income in the hands of the assessee under the head income from business after allowing the claim of expenditure in respect of the expenses and depreciation on assets.
|