TMI Blog1999 (12) TMI 43X X X X Extracts X X X X X X X X Extracts X X X X ..... icer in the assessment records reversing the decision of the Commissioner of Income-tax (Appeals) holding that the said order of assessment was passed beyond the normal period of limitation prescribed under section 153(1) of the Income-tax Act, expiring on March 31, 1988 ? 2. Whether, on the facts and in the circumstances of the case, the finding of the Tribunal that the order of assessment was passed only on March 30, 1988, and not beyond the normal period of limitation prescribed under section 153(1)(a) of the Income-tax Act is based on any evidence and/or material on record relevant to the assessment order passed in the case of the assessee and/or is perverse and unsustainable in law, it being clearly and conclusively established that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lating such notional interest on the advance amount of rent paid by the assessee for securing office space at a nominal monthly rent at the rate of rupees two per sq. feet, in the important business locality of Park Street area of Calcutta considering such payment of advance rent as commercially expedient ? 6. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in holding that the appeal filed by the Revenue belatedly after 157 days was not barred by limitation ? 7. Whether, on the facts and in the circumstances of the case, the Tribunal was correct in law in directing for allowing depreciation on the assets acquired by the applicant only with effect from February 1, 1985, on pro rata basis and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ispute that such a copy was received by the Commissioner. As a matter of fact, the appeal in the present case was filed on the strength of the copy of the order received, as admittedly, although the certified copy was applied for, no such copy was received till the filing of the appeal. Learned counsel for the Revenue has referred to rule 9 of the Income-tax (Appellate Tribunal) Rules, 1963. Rule 9(1) of the said provides as follows : "Every memorandum of appeal shall be in triplicate and shall be accompanied by two copies (at least one of which shall be a certified copy) of the order appealed against, two copies of the order of the Income-tax Officer, two copies of the grounds of appeal before the first appellate authority and two copi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... led by the Revenue against the impugned order of the Commissioner of Income-tax (Appeals) was on the strength of a copy of the order received under section 250(7) of the Act and till the filing of the appeal no certified copy was obtained or furnished to the Revenue. Shri Bhuyan, learned counsel for the Revenue, has submitted that the party has a right to obtain a certified copy of the order passed by the Commissioner of Income-Tax (Appeals). Such right is not extinguished but in view of the deeming provisions the copy of the order received from the Commissioner of Income-tax (Appeals) was good enough for filing the appeal within time. We are therefore of the opinion that such copy for the above purpose is deemed to be a certified copy and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Rs. 3,53,486 as interest income. The said decision was upheld by the Commissioner of Income-tax (Appeals) as well as the Appellate Tribunal. The amount of Rs. 5,14,508 was under the following heading : 1. Construction of wall, partition, etc., plastering thereof; 2. German wall paper; 3. Marble for the flooring; 4. Supply of electrical goods. The case of the assessee is that the expenditure was for renovation and incurred to facilitate carrying on of the business more efficiently and it did not result in an enduring benefit. In the case of CIT v. Madras Auto Service (P.) Ltd. [1998] 233 ITR 468, the apex court held as below : "The general principles applicable in determining whether a particular expenditure is capital or rev ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... enditure for proper carrying on of the business. We are, therefore, of the opinion that the expenditure was revenue expenditure and the Appellate Tribunal was wrong in terming it capital expenditure. As regards the addition of notional interest the assessee made an interest free advance of Rs. 19,58,256 to Jorhat Investments Ltd., which is a sister concern. The case of the assessee is that they did not charge interest on that advance and in consideration of the same the assessee got the premises it a very low rent of rupees two per sq. feet in a prime locality of Calcutta. The Assessing Officer added a notional interest of 18 per cent. on the advance amount and added the income as the amount of interest. The said addition was approved ..... X X X X Extracts X X X X X X X X Extracts X X X X
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