Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (11) TMI 1745 - AT - Income TaxDisallowance being 10% of expenditure incurred on account of distribution of gift articles - Held that:- As decided in assessee’s own case Tribunal has restricted the disallowance made by the Assessing Officer to 10% of the total expenses. Respectfully following the decision of Co-ordinate Bench [2011 (10) TMI 629 - ITAT, MUMBAI], we direct the Assessing Officer to restrict the disallowance to 10% of the total expenses, which we find the Assessing Officer has done, therefore, this ground is decided against the assessee. Addition being 0.5% of value of closing stock of finished goods after reducing the opening stock on account of non-inclusion of damaged stock in valuation of closing stock - Held that:- An identical issue was considered by the Tribunal in assessee’s own case [2011 (10) TMI 629 - ITAT, MUMBAI]wherein the Tribunal has followed the finding of the Co-ordinate Bench given in earlier years and concluded by holding that “ consistent with the above stand we uphold the order of the CIT(A) and dismiss Ground No.3 of the assessee Disallowance u/s 14A r.w. Rule 8D - Held that:- Assessing Officer has not recorded any satisfaction nor he has made any observation on the computation of disallowance made by the assessee and the disallowance is confirmed by the CIT(A). We accordingly set aside the finding of the CIT(A) and direct the Assessing Officer to delete the impugned addition. Determination of arm’s length price with respect to guarantee commission of 0.20% received by the assessee from its associated enterprise - Held that:- As decided in assessee;s own case [2014 (1) TMI 16 - ITAT MUMBAI] upheld the deletion of the addition made by the Assessing Officer on account of T.P adjustment made in respect of commission/fees for the guarantee given by the assessee to its associated enterprises. Non-granting of depreciation on addition made on account of advertisement expenses - Held that:- As decided in assessee;s own case [2014 (1) TMI 16 - ITAT MUMBAI] has followed the findings of the Co-ordinate Bench for assessment year 2006-07 and deleted the disallowance made by the Assessing Officer on account of expenditure incurred on television advertisement. Since the entire expenditure has been allowed as revenue expenditure, the claim of depreciation becomes otiose. Income accrued in India - royalty received from overseas subsidiary - Income taxable in India by virtue of Article-13 of India and Egypt treaty - Held that:- The factual matrix is very much available during the course of the assessment/appellate proceedings. Only the claim of exemption is made before us. Article-13 to the treaty states that “royalty arising in contracting state and paid to resident of the other contracting state shall be taxable only in the first mentioned state.” Admitting the additional ground of appeal, we restore this issue to the files of the Assessing Officer . The Assessing Officer is directed to decide the issue in the light of the DTAA. The additional ground is treated as allowed for statistical purposes.
|