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2021 (9) TMI 283 - AT - Income TaxDisallowance of assessee’s claim for deduction of Corporate Social Responsibility (CSR) - CIT(A) observed that the expenditure that was incurred by the assessee insofar the same was in the nature of donations, was to be disallowed, for the reason, that the same was not incurred for the purpose of its business u/s 37(1) but that the deductions against the aforesaid donations would be permissible to the assessee in terms of the provisions of Sec.80G - HELD THAT:- No infirmity emerges from the order of the CIT(A), who had rightly held that the expenses and contributions that were made by the assessee towards village development expenses as per the directions of the Government Authorities, whether State or Central, for which the approval of the Competent Authority was received during the year under consideration were to be allowed as a deduction while computing its income. Accordingly, concurring with the view taken by the CIT(A), we are not persuaded to accept the claim of the revenue that the CIT(A) had erred in allowing the assessee’s claim for deduction with respect to CSR contributions. The Ground of appeal No. (i) is accordingly dismissed. Disallowance of Land Acquisition Expenses - revenue or capital expenditure - HELD THAT:- As the facts and the issue involved qua the disallowance of land acquisition expenses during the year under consideration, remains the same, as were there before the Tribunal in the assessee’s own for A.Y. 2012-13 [2019 (1) TMI 1918 - ITAT MUMBAI], therefore, we respectfully follow the same, and therein, uphold the order of the CIT(A) who had rightly vacated the disallowance of the land acquisition expenses. Disallowance of the provision for enhanced compensation on land acquisition - HELD THAT:- As decided in own case [2019 (1) TMI 1918 - ITAT MUMBAI], the expenditure incurred by the assessee was in the nature of a revenue expenditure that was allowable as a deduction while computing its income, the Tribunal had upheld the view taken by the CIT(A) and had vacated the said disallowance - thus uphold the order of the CIT(A) who had rightly vacated the disallowance made by the A.O as regards the provision for enhanced compensation on land acquisition for the year under consideration. Disallowance of School Expenses - assessee had incurred expenses pertaining to running of Atomic Energy Central School, Oscom (Orissa Sand Complex) as the claim of the assessee before the lower authorities that they were providing funds for running of the school in an area where they were carrying out their mining operations - HELD THAT:- As the facts and the issue qua the assessee’s claim for deduction of the expenditure incurred on running the Atomic Energy Central School, Oscom (Orissa Sand Complex), during the year under consideration, remains the same, as were there in its case for the immediately preceding year i.e A.Y. 2012-13 [2019 (1) TMI 1918 - ITAT MUMBAI], therefore, we respectfully follow the view taken by the Tribunal and uphold the order passed by the CIT(A).
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