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2015 (11) TMI 276 - AT - Income TaxUndisputed forfeiture of the payment by a party related to the assessee - CIT(A) deleted the addition - Held that:- We are of the considered view that the learned First Appellate Authority has rightly deleted the addition of ₹ 5.85 croes made by the Assessing Officer because these expenses were incurred for the purpose of manufacturing of sugar in respective factories with a view to earn profit and, therefore, the assessee was entitled to deduction of the said expenses as Revenue Expenditure. After going through the impugned order, we find that the learned First Appellate Authority has deleted the addition in dispute by respectfully following various decisions rendered by the Hon’ble High Courts which are mentioned in the impugned order. We find no infirmity in the impugned order on the deletion of addition of ₹ 5.85 crores made by the Assessing Officer. - Decided against revenue. Advances received by the assessee - CIT(A) deleted the addition - Held that:- First appellate Authority has given various details of various parties mentioned in the impugned order. The learned First Appellate Authority has also supported his view by various decisions rendered by Hon’ble High Courts which includes the jurisdictional High Court, which are mentioned in the impugned order. After going through the same, we are of the considered view that the learned First Appellate Authority has passed a well reasoned order on the deletion of addition of ₹ 1.25 crores on account of advances received by the assessee.- Decided against revenue. Disallowance on account of rent receivable from let out property - CIT(A) deleted the addition - Held that:- The learned First Appellate Authority has examined the documentary evidence filed by the assessee in respect of its claim , i.e., copy of letter dated 10.10.2011, copy of rent agreement, copy of civil suit regarding mutation of property and receipts of rent, copy of order dated 03.02.2011 passed by Civil Judge, Bangalore and copy of pending recovery suit for unpaid rent. After considering all these documentary evidences, the learned First Appellate Authority has deleted the addition of ₹ 20.47 lakhs. We find no infirmity in the deletion of disallowance of ₹ 20.47 lakhs. We uphold the impugned order on the issue involved in ground No. 3. No other point has been argued or raised before us by both the parties. - Decided against revenue.
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