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2015 (4) TMI 715 - ITAT BANGALOREDisallowance under section 40(a)(ia) - Short deduction of TDS - CIT(A) has deleted the additions made by the Assessing Officer by admitting fresh evidence namely the revised TDS return wherein the figures have been reconciled with the expenditure debited in the profit and loss account - Held that:- instant case the Commissioner of Income-tax (Appeals) has deleted the additions made by the Assessing Officer by admitting fresh evidence namely the revised TDS return wherein the figures have been reconciled with the expenditure debited in the profit and loss account. - Decided in favour of revenue for statistical purposes. Disallowance of Building grants given to Milk Producer's Society - CIT(A) allowed the claim - Held that:- The grant of ₹ 10,000 to each of the 50 milk producing co-operative societies was given by the assessee-society for the purpose of constructing their own building for milk collection and testing. The payment was permitted as per the byelaws of the society and was approved by the board of directors and ratified by the Joint Registrar of the Co-operative Societies, Government of Karnataka. The expenditure incurred did not bring into existence any capital asset to the assessee. We find that the said grant has been given by the assessee to milk producers' co-operative societies in order to put up a building to facilitate the collection of milk and testing it. The milk so collected is handed over to the assessee-society. In this context it helps the assessee to carry out its business objects more effectively and hence the Commissioner of Income-tax (Appeals) has rightly held that the expenditure of ₹ 5 lakhs is deductible as revenue expenditure. Therefore, we uphold the Commissioner of Income-tax (Appeals) order. - Decided against revenue.
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