TMI Blog2012 (11) TMI 5X X X X Extracts X X X X X X X X Extracts X X X X ..... tal and sundry creditors (without interest) and advances to sister concern was Rs.49.47 lakhs only, and therefore, own funds available without interest with the assessee, were much more than the advance made to the sister concern – Held that:- Assessee has advanced a sum of Rs.49.47 lakhs to its sister concern without interest which is fully covered with the interest free capital and sundry credit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ICE-PRESIDENT: This is assessee s appeal directed against the order of the Commissioner of Income Tax (Appeals)-I, Baroda for the assessment year 2002-2003. 2. The ground no.1 of the assessee s appeal reads as under: 1. The ld.CIT(A) has erred in law and in facts in upholding the action of the AO in confirming the addition of Rs.5,39,462/- out of interest expenses claimed by the appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case of Torrent Financiers Vs. ACIT, 73 TTJ (Ahd) 624 and also by the decision of the Hon ble jurisdictional High Court in the case of CIT Vs. Raghuvir Synthetics ltd., Tax Appeal No.829 of 2007 dated 5-12-2011. The learned DR has opposed the submissions of the learned counsel of the assessee. He submitted that the assessee is maintaining mixed funds and there was no nexus between the interest fr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s called for. The issue is covered in favour of the assessee with the decision of the Hon ble Courts referred to above by the learned counsel for the assessee. Accordingly, this issue is decided in favour of the assessee and the Ground No.1 of the assessee s appeal is allowed. 5. Ground No.2 of the assessee s appeal reads as under: 2. The ld.CIT(A) has erred in law and in facts in upholding ..... X X X X Extracts X X X X X X X X Extracts X X X X
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