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2017 (1) TMI 814 - AT - Income TaxDeduction of sales commission - Held that:- It is not in dispute that the sales were made in earlier years though the commission has been paid during the year under consideration. A perusal of the commission statement marked as exhibit 85 in the paper book shows that the sale considerations have been realized during the year under consideration. Therefore, we find force in the contention of the assessee that as per the agreements with the agents which are also part of the paper book, the agents are entitled for sales commission only when the assessee has realized the sale considerations. We also do not find any merit in the observations of the lower authorities that since the Tribunal in the first round of litigation has restored this issue to the files for verification of the claim, the assessee is not entitled to adduce evidences in support of its renewed/fresh claim of the same disputed sales commission. The Tribunal has directed to verify the claim of the assessee afresh. Therefore, the claim of the assessee has to be considered in the light of the agreements with the sale commission agents. Thus the assessee is entitled for the deduction of sales commission during the year under consideration. We accordingly direct the A.O. to allow the claim in respect of commission expenses. Disallowance on account of deduction u/s. 80HHC on interest on bank fixed deposits - Held that:- The Hon’ble Supreme Court in the Case of ACG Associated Capsules Pvt. Ltd. [2012 (2) TMI 101 - SUPREME COURT OF INDIA] we direct the A.O. to re-compute the deduction u/s. 80HHC of the act after netting off of the impugned interest. Deduction u/s. 80HHC on exchange rate difference allowed
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