Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (6) TMI 669 - AT - Income TaxDenial of claim of the assessee u/s. 10A - the business is already in existence and thus condition in section 10A 2(ii) has been violated - Held that:- In the instant case the assessee has produced the evidence to show that two laptops and a printer were purchased by the partner of the assessee firm Shri Arvind V. Patel on behalf of the assessee firm and payment was also made by the said partner from his Bank A/c. The assessee has produced the copy of the HDFC Bank Account of the assessee firm and as per the said statement it is seen that the said bank account was opened on 20-04-2009 whereas the laptops and printer were purchased by the assessee on 03-04-2009. We have asked the assessee to file the copies of the partner’s return of income for A.Y. 2010-11 and as per the directions of the Bench the assessee has filed the copies which are placed on record. On perusal of the copies of the partner’s returns it is seen that except the share of profits from the assessee firm and the remuneration, there is no income which can be said to have earned by using two laptops. We fail to understand how the Assessing Officer has held that the assessee has used the secondhand laptops which are in the nature of plant and machinery. On perusal of the assessment order we find that all these facts were put on record by the assessee in his explanation dated 13-12-2012. Admittedly the laptops and printer are newly purchased may be on account of partner which are used for the business of the assessee firm. Nothing is there on record to support the case of the Assessing Officer that those laptops and printer were used earlier for some other business by the partner. In our opinion, the conclusion of the Assessing Officer in respect of the alleged violation of clause (iii) to Sec. 10A(2) is also erroneous. Accordingly Assessing Officer is directed to allow the deduction claimed by the assessee u/s. 10A - Decided in favour of assessee.
|