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2020 (4) TMI 526 - AT - Income TaxInterest on borrowed fund were given as advance to sister companies - assessee reiterates that advances made to sister companies were for business purposes and not necessarily out of any specific borrowings - charging notional interest as indirect interest debited by on the assessee on these business advances - HELD THAT:- Advances to Gokaldas Images Infrastructure P. Ltd., (GIIPL) Loans are given out of borrowed funds and not own funds, which could not be controvert by Ld. AR even in the present year. Accordingly, we are not inclined to interfere with the findings of CIT(A)on the issue. Advances to Hinduja Realtors Pvt. Ltd. issue requires a fresh consideration by the Assessing Officer and therefore the Order of the CIT (A) is set aside. The assessee is directed to file the required documents to substantiate its case before the Assessing Officer. The Assessing Officer is directed to consider the same and decide the issue in accordance with law after affording the assessee an opportunity of being heard. Deduction under Section 10B of the Act without setting off of the loss, depreciation / Business pertaining to non-10B Units - HELD THAT:- We found that the CIT (Appeals) has relied on the jurisdictional High Court decision in YOKOGAWA INDIA LTD. [2011 (8) TMI 845 - KARNATAKA HIGH COURT] which was confirmed by the Hon'ble Supreme Court [2016 (12) TMI 881 - SUPREME COURT]. The learned Departmental Representative could not controvert the observations of the CIT (Appeals) with cogent evidence. Accordingly, we are not inclined to interfere with the order of CIT (A) on this disputed issue No TP adjustment is called for in this case.
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