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2018 (9) TMI 404 - AT - Income TaxDisallowance of provision for Long Term Incentive Plan ('LTIP') Payments - Held that:- The explanations of ld. AR are vague and not satisfactory. Whereas ld. DR on the other hand submitted that the income tax department is deprived to verify and examine these documents and to form an opinion on the disputed issue. We find strength in the arguments of ld. DR as these documents are filed for the first time before the Tribunal as envisaged by ld AR. Therefore, we in the interest of substantial justice, are of the opinion that this disputed issue shall be restored to the file of AO along with the documents where the AO shall verify and examine and adjudicate the issue. Non-grant of credit in respect of Tax Deducted at Source ('TDS') and advance tax paid - Held that:- The assessee has raised the ground in respect of non-grant of credit of TDS, we found that the CIT(A) having dealt on this issue has directed to AO to consider the assessee’s claim for grant of TDS credit after due verification as per provisions of law. Therefore, we are of the opinion that the directions of the CIT(A) are acceptable and we uphold the same and dismiss this ground of appeal of the assessee. Addition on account of penalty paid to Department of Telecommunication(DoT) - Held that:- As decided in in the case of Vodafone Essar Digilink Ltd.[2018 (6) TMI 1029 - ITAT DELHI] gone through the relevant provisions of the Indian Telegraphs Act, 1885 and find that anomalies and irregularities in CIF and CAF are not covered under any of the specific provisions of the Indian Telegraphs Act. Rather, such penalties were imposed for noncompliance with the contractual obligations under the Licence agreement. As the payment by the assessee is not for an offence, nor is it prohibited by law, the same being failure to comply with the contractual obligations, cannot fall within the domain of Explanation 1 to section 37(1) of the Act. Similar issue came up for consideration before the Kolkata Bench of the Tribunal in the case of Vodafone East Ltd. [2015 (9) TMI 1358 - ITAT KOLKATA] Disallowance of proportionate interest debited to P &L A/c - Held that:- When the query was raised to the ld. AR whether such disallowance was made by the AO in earlier years or any scrutiny order was passed, the ld. AR could not substantiate with any evidence. We found this issue needs to be re-examined and verified by the AO on material submitted by the assessee. Accordingly, in the interest of substantial justice, we remit this issue to the file of AO to adjudicate afresh
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