TMI Blog2011 (4) TMI 1290X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee incurred the following expenditure and claimed the same as deduction on account of repairs: - Sr. No. Name of the billing party Nature of work Amount (Rs.) 1. C Bhogilal West End Purchase of Tiles 77,011/- 2. Constrocare Concrete Therapy Purchase of Laticrate 37,156/- 3. Real Marble Traders Contractors Purchase of granite 22,920/- Total 1,37,087/- Sr. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o major repairs to the toilet facilities provided to the workmen which would have resulted in enduring benefit. Our attention was also drawn to the fact that the assessee has purchased aluminium hardware for ₹ 1,97,091/- for use in the windows which may also be of enduring benefit. On the other hand, the learned representative for the assessee submitted, from the details of the repairs expenditure that no additional space was created and the entire expenditure was only on account of routine repairs to the windows and to the existing toilet facilities to the workmen. 4. On a careful consideration of the rival contentions we are of the view that so far as the purchase of aluminium sections for ₹ 1,97,091/- is concerned, the exp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Tax Act, 1961. On this point there is an order of the Tribunal in the case of DCIT vs. M/s Patel Aluminium Pvt. Ltd. in ITA No: 1598/Mum/2010 dated 19.01.2011. The controversy in this case was whether an addition for deemed dividend can be made in the hands of the recipient of the amount even though he is not a shareholder of the lender company. It was held, following the decision of the Special Bench of the Tribunal in the case of ACIT vs. Bhaumik Colour P. Ltd. (2009) 313 ITR (AT) 146 (Mum) (SB) that in order to attract the applicability of section 2(22)(e) the recipient of the amount from the company has to be a registered shareholder of the company. In the present case the following credit balances were shown in the assessee s account ..... X X X X Extracts X X X X X X X X Extracts X X X X
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