9911796707
TMI Blog2018 (11) TMI 1854X X X X Extracts X X X X X X X X Extracts X X X X ..... n ORDER PER S. RIFAUR RAHMAN, AM: This appeal is filed by the assessee against the order of CIT(A) - 7, Hyderabad, dated 17/11/2017 for AY 2013-14. 2. Brief facts of the case are, the assessee, proprietor of M/s Chowdary Enterprises, dealing in business of Poultry Equipments, mesh and Nipples etc., filed her return of income on 29/11/2013 declaring a total income of Rs. 2,73,19,730/- besides a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the CIT(A) and submitted that section 14A provides for disallowance of expenditure incurred in relation to income not includible in the total income. However, the AO has considered the disallowance of interest expenditure of Rs. 14,52,640/- against the income claimed as exempt of Rs. 2,59,298/-. She contended that no prudent businessman would incur the expenditure of Rs. 14 lakhs to earn income w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of business of the appellant. 4. The learned Commissioner of Income-Tax (Appeals) ought to have considered the submissions made before him and deleted the addition made by the Assessing Officer. 5. The learned Commissioner of Income-Tax (Appeals) erred in confirming charging of interest u/s 234B and 234C of the I.T. Act. 6. Any other ground that may be urged at the time of hearing." 6. Con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e under section 14A to the extent of exempt income earned by the assessee. Accordingly, ground Nos. 2 to 4 are allowed. 6.1 As regards ground No. 5 regarding charging of interest u/s 234B and 234C, charging interest under these sections is mandatory in nature, therefore, the AO is directed accordingly. 6.2 Ground Nos. 1 & 6 are general in nature. 7. In the result, appeal of the assessee is allo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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