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2016 (7) TMI 1002 - AT - Income TaxCarry forward of business loss - Held that:- The grievance raised is misplaced inasmuch as the claim of set off of business loss is for the business losses which pertain to assessment years of more than 8 years.Since, the assessee is not entitled to carry forward any loss for more than 8 assessment years and since the ld. counsel has conceded ground is accordingly dismissed.- Decided against assessee. Denial of set off of unabsorbed depreciation - Held that:- As relying on General Motors India (P.) Ltd. [2012 (8) TMI 714 - GUJARAT HIGH COURT ] we direct the A.O to allow set off/carry forward of unabsorbed depreciation as claimed by the assessee. - Decided in favour of assessee. Disallowance of interest payment - Held that:- In our considered opinion, if the A.O. is of the opinion that any claim of expenditure is excessive then it is incumbent upon him to bring on record the comparable cases. The only reason given by the A.O. is that the normal rate of bank interest is 12.50% but the A.O. has not realized is that the public make deposits in Companies to get more interest than from the bank. If the companies are paying the same rate of interest as the bank are paying then the public would not see any benefit in making deposits with the Company and they will go for bank interest. Further, by no stretch of imagination rate of interest of 15% can be considered as excessive. We, accordingly, set aside the findings of the ld. CIT(A) and direct the A.O. to delete the addition of ₹ 3,00,544/-.- Decided in favour of assessee.
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