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2018 (7) TMI 2288 - AT - Income TaxDisallowance of commission expenditure claimed by the assessee for sales - As pleaded by the assessee before the lower authorities that the actual buyers of the products of the assessee are farmers and the representatives of the assessee travel to various villages and contact the buyers i.e. the farmers to create demand, advertise the products of the assessee, complete the formalities and follow up the payment - HELD THAT:- As decided in [2016 (1) TMI 1490 - ITAT INDORE] all the payments have been made as commission to various parties by demand drafts, wherein the identity of each of the agents was also established. It has also been found that the commission was paid exclusively for business purposes only. Accordingly dismiss ground nos. 1 and 2 raised by the revenue. Disallowance u/s 14A - interest expenses incurred for investment in subsidiaries and administrative expenses - HELD THAT:- We are of the considered view that no interest disallowance was called for u/s 14A of the Act as the assessee had sufficient interest free funds in the shape of share capital to cover up the investment in equity shares and accordingly are not inclined to make any interference in the findings of the learned Commissioner of Income Tax (Appeals) - Decided against revenue.
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