TMI Blog2015 (8) TMI 281X X X X Extracts X X X X X X X X Extracts X X X X ..... Tribunal or even when the memo of appeal filed in 2008 in this Court. The jurisdiction under Section 260A of the Act is to entertain substantial questions of law arising in the case. In the present facts, both the Commissioner of Income Tax (Appeals) as well as the Tribunal, have reached a finding of fact that the interest was paid on amounts borrowed and used for the purposes of business. The issue stands covered by virtue of a decision of Core Health Club Ltd., (2008 (2) TMI 8 - SUPREME COURT OF INDIA ). The decision cited by Mr. Chhotaray in the case of Challapalli Sugars Ltd. (1974 (10) TMI 3 - SUPREME Court) would have no application to the present facts. In this case there is concurrent finding of fact that the amounts have been util ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Act ? 4. The respondent-assessee carries on business as a Real Estate Developer and also as a Real Estate Agent. The Assessing Officer disallowed the interest paid by the respondent-assessee amounting to ₹ 18.37 lacs holding the same to be non-business expenditure. In appeal, the Commissioner of Income Tax (Appeals) deleted the same after recording a finding that the funds were borrowed for the purpose of business. In particular, it held that the appellant had borrowed capital which was used for the purpose of business. The borrowed funds were used in order to repay the loans already taken from the Directors and were also utilized for other business purpose. Under the circumstances, the claim of the respondent for deduction un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not urged by the revenue before the Tribunal as is evident from the grounds of appeal filed by the revenue before the Tribunal, which read as under : 1(a). On the facts and circumstances of the case and in law, the learned C.I.T.(A) erred in deleting the disallowance of interest, amounting to ₹ 18,37,245/. 1(b). On the facts and circumstances of the case and in law, the learned C.I.T. (A) erred in not appreciating that the assessee was following Project Completion Method of accounting and accordingly no expenses including interest expenses can be claimed till the project was completed. Since during the year the project was incomplete, the interest required to be debited to the project account. 9. From the above it is n ..... X X X X Extracts X X X X X X X X Extracts X X X X
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