TMI Blog2013 (12) TMI 1263X X X X Extracts X X X X X X X X Extracts X X X X ..... ess - The interest on the borrowed amount for the project was to be allowed as revenue expenditure, as held by the Tribunal - The Tribunal being final court of accepting any finding has found justification in the order of CIT (A) in deleting the addition of ₹ 14,52,654/- because on the facts of the case that the assessee had used the funds for the purpose of its business - Decided in favour ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mstances of the case, the Income Tax Appellate Tribunal was legally justified in holding that the disallowance of ₹ 14,52,654/- out of interest relating to borrowed capital of Project Work-in-Progress could not be made? The Tribunal has recorded finding on the issue as follows: 4.4. We have considered the facts of the case and perused the documentary evidence placed on record as al ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... find that during the year under appeal, fresh utilization of funds amounted to ₹ 26,42,240/-. Keeping in view the totality of the facts and circumstances of the case into consideration, we have no hesitation in holding that the CIT (A) was justified in deleting the addition of ₹ 14,52,654/- because on the facts of the case, we find that the assessee had used the funds for purpose of i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t the same should have been capitalized. Sri Dhananjai Awasthi submits that the Court must look into findings of AO, who has recorded a clear finding that the assessee could not readily and satisfactorily give any working in respect of the interest element pertainable to the textile project, and accordingly average 15 % was being disallowed from the profit and loss account and taken towards the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... usiness. We are not inclined to go into further details, and remand the matter inasmuch as even AO did not give clear finding on the issue and made adhoc disallowance of 15 % from the profit and loss account. The Tribunal being final court of recording facts , we do not find any good ground to interfere with the order of the Tribunal. The question is thus decided in favour of the assessee an ..... X X X X Extracts X X X X X X X X Extracts X X X X
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