TMI Blog2013 (6) TMI 313X X X X Extracts X X X X X X X X Extracts X X X X ..... - revenue, however, placed reliance on the decision of Delhi High Court in case of Rollatainers Ltd. v. CIT [2011 (8) TMI 447 - DELHI HIGH COURT] where, the distinction is drawn for cessation of liability on the basis whether the loan was a trading liability or a capital liability. - when the Assessing Officer did not pursue this line and brought no evidence on record to make a discussion as is sought to be legally canvassed before us, at this stage, we cannot find fault with the view of the Tribunal. - decided against the revenue. Interest income of FDRs - taxability - held that:- Since this income was already offered by the assessee, no further addition is required to be made. - Decided against the revenue. - TAX APPEAL NO. 116 of 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Rs. 5.40 crores on the ground of genuineness of payments. The Assessee carried the issue in appeal. CIT(A) deleted the disallowance upon which, the revenue approached the Tribunal. Tribunal confirmed the view of CIT(A) upon which, the revenue is before us in the present tax appeal. 3. Upon perusal of the record with the assistance of learned counsel for the revenue, we notice that CIT(A) while upholding the disallowance held and observed that the payment of commission made by the assessee was approved by the Board of Directors in its resolution dated 19.03.2001. Correspondingly, M/s. Matrix Logistics Ltd. who received such commission had shown the commission income in its income tax return. Such company had also entered into agreement wi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... inion, no interference is called for in the order of Ld. CIT() on this issue. We, therefore, reject this ground." 5. From the above, it is clear that the entire issue is based on appreciation of relevant evidence on record. In terms of such evidence concurrently, the CIT(A) as well as the Tribunal held that payment of commission was not only genuine but also in terms of the agreement between the parties. We see no question of law arising. As already noted, significantly, the company receiving the commission had reflected the entire income in its tax returns. The company has provided service for procuring orders and commission was paid on the basis of such procurement. 6. Question No. 2 pertains to a loan liability of Rs. 1.28 crores (ro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nts, plant machinery and pharmaceutical products and providing technical services as has been noted by the A.O. on page 1 of the assessment order. This being so, it cannot be said that the benefit has arisen to the assessee in the course of business. This is a different aspect that loan has been taken by the assessee for the purpose of business but this does not mean that taking and giving loan is the business of the assessee and hence, it cannot be said that Section 41(1) can be attracted for remission in respect of loan liability when admittedly, no deduction was allowed to the assessee in respect of such loan liability in the present year or in any earlier year. We also do not find that any fresh evidence was admitted by Ld. CIT(A) bec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 8. In our view, however, when the Assessing Officer did not pursue this line and brought no evidence on record to make a discussion as is sought to be legally canvassed before us, at this stage, we cannot find fault with the view of the Tribunal. Therefore, without commenting upon the legal contention raised before us by the counsel for the revenue, noted above, such question is not entertained. 9. Question No. 3 deserves summary rejection. The Tribunal confirmed the decision of CIT(A) on following basis: "3.5.5 From the above para of the order of Ld. CIT(), we find that Ld. CIT(A) has given this finding that the assessee has offered interest income of Rs. 1.03 crores as interest on fixed deposits and out of the said interest in ..... X X X X Extracts X X X X X X X X Extracts X X X X
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