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2017 (3) TMI 812 - ITAT KOLKATAViolation of the provision of Section 43B - Held that:- On examination of the order of the lower authorities and other records available before us we find that the amount disallowed by the AO pertains to the A.Y. 2007-08 and 2008-09, as evident from the assessment order which are placed on pages 207 to 209 and 214 to 217. As the impugned amount does not pertain to the year under consideration, therefore, the same cannot be disallowed under the provisions of Section 43B of the Act. In view of the above we find no infirmity in the order of the Ld. CIT(A) and we uphold the same. Non-payment of interest within the stipulated time as envisaged u/s 43B - whether the LIC mutual fund in the instant case is the public financial institution or not - Held that:- The interest expenses claimed by the assessee to the LIC Mutual Fund are covered under the provisions of section 43B of the Act. Accordingly the assessee was required to make the payment of the interest before the due date of filing income tax returns as specified under section 139(1) of the Act. Hence we have no hesitation to reverse the order of ld CIT(A). Hence, this ground of appeal raised by the Revenue is allowed. Additional depreciation - AO has disallowed the additional depreciation on the ground that the assessee failed to provide the requisite documents in support of his claim of additional deposition - Held that:- It is nowhere clear what was the manufacturing activity of the assessee and whether it was actually engaged in some manufacturing activity or not as required under the Act. It is because on perusal of Tax Audit Report of the assessee in form number 3CD we find that the assessee has mentioned its nature of the business as under :- “Chain of retail showrooms dealing in wide variety of retail merchandise etc.” In view of above, we find that the issue of additional deposition has not been examined by the AO and therefore the same needs to be examined again in the light of above stated facts. Therefore we are inclined to restore this issue to the file of AO for fresh adjudication in accordance with the law. Hence, this ground of appeal of the assessee is allowed for the statistical purposes.
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