TMI Blog2019 (12) TMI 1537X X X X Extracts X X X X X X X X Extracts X X X X ..... ance Ltd., M/s. Kotak Mahindra Bank Ltd., and M/s. Tata Capital Ltd., who are regular assessee s under Income tax Act. As Ld. AR filed before us certificate issued by chartered accountant which was not filed before authorities below, it is necessary that the same is to be verified. We set aside this issue to Ld. AO for due verification of the facts and to consider the claim in accordance with law. Addition on account of wages expenditure not adequately backed up by primary documents - HELD THAT:- AO has not rejected the books of accounts - as per CIT (A) there is no finding by Ld. AO that expenditure incurred and claimed by assessee is either capital in nature or personal or wholly and exclusively not incurred for the purposes of busin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -11, Bangalore for assessment year 2013-14 on following grounds of appeal: ITA No. 290/B/2018(revenue s appeal) 1. Whether on the facts and the circumstances of the case, the Ld. CIT(A) is correct in deleting the addition of ₹ 1,57,95,052/- on account of wages expenditure which were not adequately backed up by primary documents. 2. Whether on the facts and the circumstances of the case, the Ld. CIT(A) is correct in deleting addition of ₹ 1,32,21,414/- on account of 14A r.w.r 8D(iii). ITA No. 318/B/2018 (assessee s appeal) 1. The order of the learned Commissioner of Income Tax (Appeals) in so far as it is against the Appellant, is opposed to law, weight of evidence, natural justice, probabilities, facts a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h representative of assessee appeared before Ld.AO and filed requisite details as called for. Ld.AO after verifying various details filed by assessee passed assessment order by making following additions: interest paid to NBFC ₹ 69,14,866/- partial disallowance of wages ₹ 1,57,95,052/- disallowance under section 14 A of ₹ 1,32,21,414/- 3 Aggrieved by additions made by Ld.AO, assessee preferred appeal before Ld. CIT (A) who partly allowed appeal filed by assessee. Aggrieved by order passed by Ld. CIT (A) assessee as well as revenue both preferred appeal before this Tribunal. ITA No.318/B/2018 4 Assessee in its appeal has raised only one issue relating to disallowance of interest confirmed by Ld. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... een deducted. He submitted that disallowance confirmed by authorities below under section 40 (a) (ia) of the Act is totally justified. Ld. Sr. DR, however submitted that based upon certificate issued by chartered accountant now filed by assessee as additional evidence been set aside to Ld. AO for verification. We have perused submissions advanced by both sides in light of records placed before us. 6 Admittedly, assessee has not deducted TDS under section 194 A of the act against interest paid to nonbanking financial companies. It is also an admitted fact that the companies to whom assessee has made payments are repeated companies like M/s. L T Finance Ltd., M/s. Bajaj Finance Ltd., M/s. Reliance Capital Ltd., M/s. India Bulls Ltd., M/s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee is in the contract business and undertakes contract work at various parts of the state particularly in remote areas. He submitted that it was not possible for assessee to keep supporting evidences for daily which payments and other site related expenses where the labour turnover is very high. Further Ld. AR submitted that in this line of business the labour payments, bills/vouchers are generally of self-made nature and is inevitable. In support of his argument he placed reliance upon decision of Hon ble Delhi High Court in case of Pr. CIT vs. M/s. R.G Buildwell Engineers Ltd., reported in (2018) 99 Taxmann.com 283 which has been approved by Hon ble Supreme Court in case of Pr. CIT vs. M/s. R.G Buildwell Engineers Ltd., reported in (201 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... this ground raised by revenue stands dismissed. 11 Ground No. 2 is in respect of deleting disallowance of ₹ 1,32,21,414/- on account of section 14 A read with rule 8D (iii). 12 Ld. Sr. DR submitted that assessee earned exempt income and whenever there is an exempt income earned certain indirect/common expenditure could always be attributable to such receipts. Thus supported the order passed by authorities below. On the contrary Ld. AR placed reliance upon the observations of Ld. CIT (A). 13 We have perused submissions advanced by both sides in light of records placed before us. Admittedly assessee has earned exempt income amounting to ₹ 11, 600/-and no new investment has been made by assessee during the year under con ..... X X X X Extracts X X X X X X X X Extracts X X X X
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