TMI Blog2016 (11) TMI 1634X X X X Extracts X X X X X X X X Extracts X X X X ..... the disallowance made by the Assessing Officer by invoking Sec. 14A of the Act. Thus, on this aspect, assessee fails. Assessment of rental income - Accrual of income - addition pertaining to Shiv Sagar property, which has been assessed in the hands of the assessee, whereas the plea of assessee is that it is not the owner of such property - HELD THAT:- insofar as the issue of assessability of rental income of ₹ 33,63,677/- relating to Shiv Sagar property is concerned, same is directed to be assessed in the hands of the assessee as held by the income-tax authorities following the order of Tribunal [ 2012 (2) TMI 681 - ITAT MUMBAI] in the case of assessee. Simultaneously, the Assessing Officer is directed to apply the final decisio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t of its own capital and free reserves of ₹ 8,37,07,557/-. 2. On the facts and in the circumstances of the case, the learned Commissioner of Income tax (Appeals) 4, Mumbai, erred in confirming the order of the Assessing Officer in respect of Shiv Sagar property amounting to ₹ 33,63,676/- in the hands of the appellant, particularly when, the appellant is not owner of the property and the Bombay High Court has admitted this question on March 22, 2013 for the assessment year 2006/07 and therefore the appellant has filed a declaration under section 158A(1) of the Act, in Form no. 8 before the said learned Commissioner of income tax that whatever decision of question of law would be followed in the subsequent years, but not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... enditure in earning of the exempt income and, therefore, the disallowance is not justified. In our considered opinion, the Assessing Officer was justified in making the impugned disallowance because he was not satisfied, having regard to the accounts of the assessee, that no expenditure was incurred in relation to earning of the exempt income. No doubt, the proposition canvassed by the assessee is tenable, so however, it has to be examined in the context of facts of each case. In the present case, having regard to the discussion in the assessment order, we find no reason to delete the disallowance of ₹ 1,31,316/- made by the Assessing Officer by invoking Sec. 14A of the Act. Thus, on this aspect, assessee fails. 5. In the se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... property is concerned, same is directed to be assessed in the hands of the assessee as held by the income-tax authorities following the order of Tribunal dated 24.2.2012 (supra) in the case of assessee. Simultaneously, the Assessing Officer is directed to apply the final decision on the question of law, which is pending before the Hon'ble Bombay High Court in the earlier Assessment Year 2006-07 without requiring the assessee to file appeal to the higher court in this year on the same issue. In this view of the matter, the issue is decided against the assessee, subject to the aforesaid observations. 8. Resultantly, appeal of the assessee is dismissed, as above. Order pronounced in the open court on 11 th November, 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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