TMI Blog2018 (2) TMI 259X X X X Extracts X X X X X X X X Extracts X X X X ..... ssed with due diligence and there is no need to invoking Section 263 power by the Commissioner. Assessing Officer has taken cognizance of all the material provided by the Assessee during the Assessment Proceedings and after verifying the same has passed just and proper order. Therefore, in light of the above findings, the order of the Commissioner u/s 263 of the Act is set aside. - Decided against revenue - I.T.A .No. 2632/DEL/2014 - - - Dated:- 31-1-2018 - SHRI G. D. AGRAWAL, PRESIDENT AND MS SUCHITRA KAMBLE, JUDICIAL MEMBER For The Appellant : Sh. Abhimanyu Mohit Jhama, Advs For The Respondent : Sh. Raja Ram Sah, CIT DR ORDER PER SUCHITRA KAMBLE These appeals are filed by the assessee against the ord ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Less: Standard Deduction u/s 24(a) : 180000 Interest u/s 24(b) : 3991530 1/5 of Construction Period Interest : 794342 -4965872 Taxable Income From House Property -4365872 The interest claimed of ₹ 39,91,530/- is on following two loans:- Loan A/c No. Amount LBDEL00001204691 21,99,306/- NHDEL00000729964 17,92,224/- TOTAL ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee herself. The interest on said loan is also not paid by the assessee but by Mr. Kamal Karmakar. On perusal of the balance sheet of Mr. Kamal Karmakar, it was noticed that assessee had advanced some money to Mr. Kamal Karmakar and the opening balance as on 01.04.2008 was ₹ 1,12,94,40,000/-. Mr Kamal Karmakar paid the installment on said loan and interest thereon and corresponding journal entries had been passed in the ledger account of Gowri Dhawan as a result the closing balance is Rs,77,30,767/-. Thus, even as per accounting entry it was very clear that the loan borrowed was utilized to repay the loan and indirectly interest was claimed to have been paid on borrowed funds against said property. 5. The CIT u/s 263 of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed only to the loss of tax but also includes the incorrect exemption of fact or an incorrect application of law. The Ld. DR also relied upon the Jurisdictional High Court decision in case of CIT Vs. Nageshwar Knit Wears Pvt. Ltd. 345 ITR 135 (Delhi) wherein it was held that if the Assessing Officer fail to conduct the investigation. He commits an error and the word erroneous includes failure to make enquiry. Thus, the Ld. DR submitted that the CIT(A) has properly has invoked the jurisdiction u/s 263 and passed valid order. 9. We have heard both the parties and perused the material available on records. It is pertinent to note that the funds were totally explained by the assessee during the assessment proceedings before the Assessing Of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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