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2018 (12) TMI 1205 - AT - Income TaxAddition u/s 41(1) in respect of liability written back pertaining to dues payable to Bombay Port Trust - Held that:- There is no double benefit claimed by the assessee in the facts of the instant case, Moreover, we hold that the provisions of Section 41(1) of the Act could be invoked only if deduction for the very same sum has been allowed in earlier years for the assessee, which in the facts of the instant case, was not granted vide order of Ld. AO dated 30/3/2009. Accordingly, we direct the Ld. AO to delete the addition made u/s 41(1) - Decided in favour of assessee Disallowance in respect of sales promotion expense - expenditure pertains to purchase of Gold and Silver which were given to various customers for promoting its business - Held that:- Details before us to ascertain whether similar items of expenditure in the form of purchase of Gold and Silver were incurred in the past and whether the same were allowed as revenue expenditure by the department for the earlier AY. Hence we have to look at this issue in isolation based on the material available on record. It is not in dispute the assessee had duly produced the bills for incurrence of purchase of Gold and Silver to the tune of ₹ 2,04,186/-. But we find that the assessee had not established the nexus between the incurrence of this expenditure vis-à-vis the warehousing revenue derived by it. Hence, we hold that the lower authorities were justified in disallowing this claim of ₹ 2,04,186/- towards sales promotion expenses - Decided against assessee Rental income derived from the warehousing activities - income from business or income from house property - violation of provisions of Rule 46A of the Income Tax Rules by the Ld. CIT(A) by not affording an opportunity to the Ld. AO while granting relief to the assessee in respect of this issue - Held that:- We find that the impugned issue is fairly covered in favour of the assessee in its own case by the order of this Tribunal for AY 2010-11 as decided assessee is not providing warehousing service to one or two fixed customers. There is number of customers to whom warehousing service is provided. Apart from that the godwown control of the assessee; customer had no right of occupancy. As per the definition of business u/s 2(13) of the Act, business include adventure or concern in the nature of trade. - Decided in favour of assessee
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