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2019 (10) TMI 1065 - ITAT MUMBAIDisallowance of write off of advances given to wholly owned subsidiary claimed as business deduction - HELD THAT:- No documentary evidence in the form of any communication or resolution of Board of Director is placed on record. The assessee though filed a number of decisions in support of his submission; however, the ld. AR of the assessee mainly relied upon the decision of Mumbai Tribunal in Jackie Shroff [2019 (1) TMI 400 - ITAT MUMBAI] and ACIT vs. OSN Infrastructure & Projects Pvt. Ltd. [2018 (4) TMI 1125 - ITAT DELHI] In our view, both the decision are distinguishable on the facts of the present case in Jackie Shroff (supra) case the money was advanced for business expediency, however in the case in hand the assessee funded the capital working requirement of CAL. Further, in ACIT vs. OSN Infrastructure & Projects Pvt. Ltd. (supra), the said assessee was engaged in the business of development of infrastructure, construction and real estate trading, advance/ money to various parties to buy land, the said parties failed to buy land and pay money, however in the case in hand the assessee funded the capital working requirement. Thus, the advance was made for business expediency. Thus, both the case is based on peculiar facts of those cases and is not applicable on the present case. Therefore, in view of the aforesaid discussion, we do not find any illegality or infirmity in the order passed by lower authorities, which we affirmed.- Decided against assessee. Addition of interest income - year of assessment - HELD THAT:- During the assessment, the assessee was asked to reconcile the entries in Form 26-AS. The assessee filed its reply dated 22.07.2016 wherein the assessee stated that accept the amount as the TDS was received in subsequent F.Y. i.e. F.Y. 2014-15, the assessee offered the same on the basis of accrual basis due to non-availability of exact figure. The Assessing Officer on the basis of details of Form 26- AS made the addition - CIT(A) upheld the action of Assessing Officer holding that the non-receipt of TDS does not holding any ground and confirmed the action of Assessing Officer. We direct the Assessing Officer to verify the fact, if the interest is offered in the subsequent year then the same be deleted from the year under consideration. However, if any difference is found in offering the interest income, the same be taxed in the year under consideration and corresponding set of remaining amount offered in subsequent year be given to the assessee. Hence, Ground No. 3 & 4 are allowed for statistical purpose.
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