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2013 (11) TMI 323 - AT - Income TaxDeletion of addition of Rs.26 lacs made u/s.2(22)(e) of the Act on account of received loan/advance – Held that:- Assessee-company is not registered share-holder of Control Plus Oil & Gas Solution Pvt.Ltd. and, therefore, the provision of section 2 (22)(e) will not be applicable – Reliance has been placed upon the judgment in the case of ACIT vs. Bhaumik Colour Pvt.Ltd. reported at [2008 (11) TMI 273 - ITAT BOMBAY-E] – Decided against the Revenue. Deletion of addition of Rs.12,21,393/- made u/s.2(22)(e) of the Act on account of accumulated profits in the form of reserves and surplus – Held that:- Assessee-company had received loan of Rs.52,00,000/- from MJB India Technical Services Pvt.Ltd. He submitted that there are no accumulated profit in the case of MJB India Technical Services Pvt.Ltd., considering net of general reserve and debit balance in profit & loss account and, therefore, no amount can be considered u/s.2(22)(e) of the Act – Decided against the Revenue. Disallowance of Rs.12,33,628/- made by the AO u/s.14A r.w.r.8D – Held that:- Assessee-company has sufficient interest-free funds. The ld.counsel for the assessee has placed reliance on the decision of Hon’ble coordinate Bench (ITAT Ahmedabad) in the case of Torrent Financiers [2001 (6) TMI 165 - ITAT AHMEDABAD-A] - ld.Sr.DR could not controvert the finding of the Hon’ble coordinate Bench and nothing has been brought on record suggesting that the decision of the Hon’ble Tribunal in the case of Torrent Financiers(supra) is not applicable – Decided against the Revenue.
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