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2023 (10) TMI 1021 - ITAT KOLKATAAdditions towards loss on transactions of Future/option through National Stock Exchange - Additions towards Purchase of forward transactions of Future/option through National Stock Exchange without considering the sale of future/option - HELD THAT:- We find that the assessee has done some transactions of purchases and sales of future/option. The modus operandi of the future/option is such that whenever the purchases are made, the same are squared off by making the sales as is apparent from the contract notes filed by the assessee before us. We have also perused the profit and loss account filed by the assessee before us and find that the assessee has charged to the profit and loss account, the loss from trading of shares which is in agreement with the contract notes filed by the assessee. While filing the return, we note that the assessee has not claimed this loss and therefore, there is no question of disallowance of loss or addition of loss when the same is not claimed in the computation of income. AO has wrongly appreciated the facts of the case which is also in appellate proceedings by Ld. CIT(A) - direct the AO to delete the addition. Therefore, ground no. 1 raised by the assessee is allowed. Interest on unsecured loans disallowed - CIT(A) simply affirmed this addition on the same ground that the loan was taken for the personal purposes as decided by AO - HELD THAT:- The observations of the AO that the interest paid on the unsecured loan is personal in nature is without any substantive finding whereas on the other hand the assessee has vehemently argued before us by referring to the balance sheet and profit and loss account that the said loan was in fact taken for the purpose of business and interest was incurred wholly and exclusively for the purpose of business of the assessee. We find merit in the contentions of the assessee that the loan is taken only for the purpose of business and not for any personal objectives. Accordingly, we set aside the order of Ld. CIT(A) and direct the AO to delete the addition.
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