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2019 (5) TMI 1393 - HC - Income TaxDisallowance on account of the change in percentage of profit from 10% to 8% - CIT(A) deleted the addition upheld by ITAT - Assessee is engaged in a business of constructions of hospitals, leasing and sale of medical equipments and deals in chemicals, medicines and drugs - HELD THAT:- One of the issues that arose was the agreement entered into between the Assessee and the aforementioned M/s Devki Devi Foundation on 10th December 2011, where the profit sharing percentage for the period of 30 years was 10%. The Assessee pointed out that for the AYs in question on account of the business exigencies the profit sharing percentage had been reduced from 10% to 8%. Although, the AO did not accept the explanation offered by the Assessee, it has been found to be acceptable both by Commissioner of Income Tax – CIT (A) in the order dated 22nd April 2014 and the ITAT in the impugned order. The impugned order in fact discusses the relevant clauses of the agreement and concludes that the explanation offered by the Assessee as accepted by the CIT – A was believable. The points raised against the views of the CIT – A and the ITAT are essentially factual and the Court sees no substantial question of law arising in the present appeal.
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