Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2017 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (5) TMI 525 - AT - Income TaxDeemed dividend addition u/s 2(22)(e) - taxability of the loan obtained by the assessee firm from the Private Limited Company, in the hands of the assessee firm - Held that:- So long as the assessee firm is not a shareholder, any loan obtained by the assessee firm from the Private Limited Company, wherein the partners of the assessee firm are the shareholders, is not taxable in the hands of the assessee. We, therefore, find that the orders of the authorities below cannot be sustained and the appeal has to be allowed deleting the addition made by the AO treating the loan as a deemed dividend u/s 2(22)(e) of the Act. - Decided in favour of assessee.
|