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2014 (9) TMI 294 - ITAT MUMBAIVarious expenses disallowed - Travelling expenses, Professional charges, Telephone expenses and other expenses – Held that:- In the previous year’s relevant to the assessment years under consideration the assessee company had made bonafide efforts to revive its business and having recognised the seriousness of the Directors to revive its activities, the BIFR sanctioned the rehabilitation scheme and soon thereafter the assessee company commenced its activities and in fact achieved substantial turnover in the subsequent years, which would highlight that the assessee never intended to windup its activity - there was only a ‘temporary lull, in the business, having regard to the circumstances of the case - the plant & machinery, factory premises, etc. were used in the preceding years for the purpose of business and even in the years under consideration they were ready for use and in the language of section 32 of the Act, the assets have been said to be put to use in the form of passive use in which event the assessee is entitled to claim depreciation - CIT(A) has taken into consideration the overall circumstances of the case while granting relief with regard to depreciation, telephone expenses, professional charges, etc. –the order of the CIT(A) is upheld – Decided against revenue.
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