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2014 (7) TMI 6 - AT - Income TaxBusiness expenses – Computation of business profits – Declaration of additional income – Held that:- Following M/s. Shreeshay Engineers Pvt. Ltd. Versus ACIT 10(2), Mumbai [2014 (1) TMI 876 - ITAT MUMBAI] - the expenses comprised of expenses incurred during the post survey period under various routine heads including the major amount of interest on unsecured loans for which provision was made by the assessee on estimated basis while computing profit for the purpose of advance tax - all the facts and figures appearing in the relevant financial statements clearly show that the amount expenses were claimed by the assessee as regular business expenses incurred during the post survey period against regular business income which resulted in reduction of its regular business income for advance tax purpose to that extent - the AO and the CIT(A) misconceived the claim of the assessee for the expenses as that of against the additional income declared during the course of survey and made disallowance of the said expenses on the basis of this misconception without considering or examining the claim on merit being the claim for regular business expenses of post survey period against regular business income – thus, the matter is to be liable to be remitted back to the AO with a direction to consider and allow the claim of the assessee for the expenses as regular business expenses on merit – Decided in favour of Assessee.
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