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2014 (9) TMI 1169 - AT - Income TaxIncome on sub lease of land and the maintenance income under the head business income - allowing of various expenses, including the maintenance income claimed by the assessee as business expenses as against the findings of the AO that no business activity has been carried out by the assessee and the consequent disallowance of the expenses - CIT(A) directed the AO to assessee the income on sub lease of land (apart from rental income) and maintenance income under the head business income - Held that:- Tribunal has confirmed the earlier orders of the first appellate authority for the A.Ys. 2007-08 and 2008-09 and similar grounds preferred by the Revenue have been dismissed by Tribunal on identical facts. The Tribunal, for said order, in turn, has relied on the earlier order of the Tribunal dated 11.09.2013 for the A.Y. 2005-06, wherein it has been held that the assessee has commenced its business activity in March, 2004. In view of the fact that the Ld.CIT(A) has relied on his own orders for the earlier assessment years, which has been confirmed by the Tribunal, and also since the Revenue is not in a position to bring any contradictory facts during the year under consideration, we do not find any justifiable reason to interfere with the decision of the Ld.CIT(A) and thus the same deserves to be upheld. Addition made by the AO in respect of interest on borrowed capital utilized for construction of property - Held that:- The Tribunal, in the said order, has held that if interest has been paid by an assessee for acquiring or construction assets that are used for earning taxable income then his claim for interest expenditure has to be allowed. The relevant finding of the Tribunal is at para 15 of the said order. Since the decision of the Ld.CIT(A) for the A.Y. 2008-09, which has been relied on by him for the impugned decision has been upheld by the Tribunal, we do not find any justifiable reason to interfere with the impugned decision, which deserves to be upheld. Accordingly, we decide this issue against the revenue and in favour of the assessee.
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