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2017 (4) TMI 177 - AT - Income TaxAdditions towards notional interest on interest free advances given out of interest bearing funds - A.O. jurisdiction to make additions in respect of concluded assessments - Held that:- In this case, search was taken place on 9.1.2009. As on the date of search, the assessment for the assessment years 2005-06 to 2007-08 were already concluded and there are no proceedings pending for those assessment years. The time limit for issue of notice u/s 143(2) of the Act, for the assessment years 2005-06 to 2007-08 has been expired. The A.O. made additions towards notional interest on interest free advances given to sister concerns without any incriminating materials and based on the books of accounts and financial statements, which were already part of regular return of income filed by the assessee u/s 139(1) of the Act for those assessment years. Therefore, we are of the view that the A.O. has no jurisdiction to make additions in respect of concluded assessments in the absence of any incriminating materials. Hence, we direct the A.O. to delete additions towards notional interest on interest free advances given to sister concerns for the A.Y. 2005-06 to 2007-08. - Decided in favour of assessee
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