TMI Blog2012 (4) TMI 769X X X X Extracts X X X X X X X X Extracts X X X X ..... The above appeal is filed by assessee against order dated 09.09.2011 of the ld. CIT-(A)-Central-I, Kolkata pertaining to A.Yr. 2008-09. 2. The only issue raised by assessee in this appeal is relating to disallowance u/s 14A of the IT Act read with Rule 8D of IT Rules. 3. The brief facts of this issue are that while doing the scrutiny assessment the AO has observed that a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he drew the attention to Profit and Loss account of assessee and contended that except the bank charges and salary no other expenditure debited to P L account may be attributed to the investment making activity. Schedule 12 to P L account shows that expenses like rent, furniture hire, garden maintenance charges etc. none of which can be attributed to the investment making activity. Lastly he poin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... either the AO nor the CIT(A) has recorded any finding to the effect that having regard to the accounts of the assessee, they are not satisfied with the claim of ₹ 11,126/- made by the assessee. In fact from the facts stated above it is clear that the addition was made by the AO in total disregard of the P/L account. Thus, in the absence of any finding by the AO or CIT(A) to the effect that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es 30 to 44 of the paper book. 4. On the other hand, the ld. DR appearing on behalf of the revenue relied on the orders of the revenue authorities. 5. After hearing the rival submissions and on careful perusal of materials available on record, it is observed from the balance sheet that assessee s share capital is consisting of ₹ 42,971,790/- as on 31.03.2008, Reserves and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... igh Court in the case of Godrej and Boyce Mfg.Co. Ltd. vs DCIT 328 ITR 81 and ITAT Kolkata in the case of Balrampur Chini Mills Ltd. we find no justification on the part of the revenue to make estimation at 0.5% of the investments. Therefore, we set aside orders of the revenue authorities and direct AO to accept the disallowance made by assessee amounting to ₹ 98,795/-. 6. In the r ..... X X X X Extracts X X X X X X X X Extracts X X X X
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