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2023 (5) TMI 685 - ITAT AHMEDABADAddition of business expenses and depreciation claim u/s 32 - AO observed that business was not set up and commenced - principles of consistency - HELD THAT:- We note that the assessee was allowed similar expense and depreciation in the earlier years which has resulted loss from the business as evident from the Income Tax Return. The relevant details of the business loss claimed by the assessee. Accordingly, the principles of consistency need to be adopted as there is no change in the facts before us as well as law with respect to the issue raised by the assessee. DR at the time of hearing has also not brought anything on record contrary to the arguments advanced by the assessee. Accordingly, keeping the principles of consistency, set aside the findings of the Ld. CIT(A) and allow the grounds of appeals raised by the assessee. Hence, the ground of appeal of the assessee are allowed. Addition on account of violation of the provisions of section 43B - assessee has claimed the expenses incurred on conversion of agriculture land into non-agriculture land which were not paid before the due date of filing the return of income - As the expense was not by the assessee before the due date of filing the return of income, the disallowed the same and added to the total income of the assessee - HELD THAT:- Admittedly, the genuineness of the expense has not been doubted by the authorities below. The expense claimed by the assessee was disallowed mainly on the reasoning that the conditions specified u/s 43B of the Act were not satisfied. Admittedly, the expense in the present case is to be allowed on payment basis under the provisions of the section 43B of the Act. Accordingly, set aside the order of the CIT(A) with the direction to the AO to allow the impugned expense on payment basis as per the provision of section 43B - Hence, the ground of appeal of the assessee is allowed for statistical purposes.
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