TMI Blog2002 (3) TMI 227X X X X Extracts X X X X X X X X Extracts X X X X ..... t-II are not being pressed. Hence these grounds are dismissed. 2. Ground No.4 is regarding confirmation of following disallowances out of the expenses of Unit-I: (a) Travelling Exp. : Rs. 3,500 (b) Donation : Rs. 4,601 (c) Car Exp. (1/5th sustained) : Rs. 5,259 (d) Car Depreciation (1/6th sustained) : Rs. 23,126 3. The Assessing Officer had made the following disallowances 3. The Assessing Officer had made the following disallowances: Disallowed Claimed (a) Travelling Exp. Rs. 4,500 Rs. 26,024 (b) Donation Rs. 4,601 Rs. 4,601 (c) Car Exp. (1/4th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e 6D. The excess expenditure as per rule 6D has already been added. Therefore, the disallowance of Rs. 3,500 sustained by the CIT(A) is hereby deleted. 6. The disallowance of donation has rightly been confirmed by CIT(A). As regards the car expenses and depreciation on car we find that the CIT(A) had already gone into the reasonableness of such disallowances. Therefore, we decline to interfere with the order of the C1T(A) on this score. 7. Ground No.5 is regarding confirmation of the following disallowances out of expenses of Unit-II: (a) Travelling Exp. Rs. 2,000 (b) Building Rs. 6,000 8. The Assessing Officer had made the following disallowances: Disallowed Claimed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the preceding year reveals that these expenses had increased considerably. We find that the CIT(A) has already considered the reasons for fall in g.p. rate and allowed a relief of Rs. 6,467. Therefore, we decline to interfere with the order of the CIT (A) on this count. 14. Ground No.7 is regarding interest charged under sections 234B and 234C of the Income-tax Act. The Ld. A.R. submitted that the Assessing Officer was not justified in charging interest under sections 234B and 234C, as there was no specific direction in this respect in the assessment order. The assessment order simply mentions that charge interest as per rules. In these circumstances, the interest charged is bad in law and on facts. In this regard reliance was placed o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... upon the case of Ranchi Club Ltd. We find that this judgment has been discussed by the Hon'ble Punjab Haryana High Court in the case of Vinod Khurana v. CIT [2002] 253 ITR 578. In this case the Assessing Officer in the assessment order ordered "Charge interest as per law. Issue demand notice and challan" without mentioning the section under which it was to be charged but the demand notice was issued by the Assessing Officer on the same day simultaneously, the quantum of interest and the section under which it was charged, namely, 234B of the Act was mentioned. Dismissing the writ petition, the Hon'ble High-Court held that since the same officer had passed on the same day the assessment order and the demand notice specifying the quantum of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of Kalyankumar Ray, their Lordships of the Hon'ble Supreme Court were pleased to observe as under: - "'Assessment' is one integrated process involving not only the assessment of the total income but also the determination of the tax. The latter is as crucial as the former. The Income-tax Officer has to determine, by an order in writing, not only the total income but also the net sum which will be payable by the assessee for the assessment year in question and the demand notice has to be issued under section 156 of the Income-tax Act, 1961, in consequence of such an order. The statute does not however require that both the computations (i.e., of the total income as well as of the sum payable) should be done on the same sheet of paper, th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... terest is payable in the notice of demand issued simultaneously under section 156 of the Act then the charge of interest would be valid as notice of demand had been issued in pursuance of the assessment order as held by the Hon'ble Punj. Haryana High Court in the case of Vinod Khurana. (2) If in the assessment order the Assessing Officer directs that interest be charged as per rule/law and section and quantum of interest payable is specified in ITNS 150 Form (tax computation sheet) which is signed or initialled by the Assessing Officer then it would be a valid order as tax computation sheet though it is a separate yet it is a part of assessment order as held by the Hon'ble Supreme Court in the case of Kalyankumar Ray. (3) If the Asses ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
