TMI Blog2022 (12) TMI 1013X X X X Extracts X X X X X X X X Extracts X X X X ..... ollowing in the case of Totagars Co-operative Sales Society Ltd. [ 2015 (4) TMI 829 - KARNATAKA HIGH COURT] wherein it was held that net interest income that is interest income reduced by administrative expenses and other proportionate expenses to said income had to be brought to tax u/s 56. Assessee is entitled for deduction of proportionate expenditure which it has incurred and the same needs to be calculated by the Assessing Authority. We therefore deem it fit to remit the matter back to the file of the AO, who will examine the case of the assessee and quantify the proportionate expenditure and pass appropriate orders by giving due opportunity to the assessee. Therefore we partly allow this ground of appeal. - ITA No. 341/Ahd/2021 - - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s shall have a limitation period of 90 days from 03.10.2021. In the event the actual balance period of limitation remaining, with effect from 03.10.2021, is greater than 90 days, that longer period shall apply. .. 2.1. Thus there is no delay in filing the above appeal by the assessee. 3. The Grounds of Appeal filed by the Assessee are as follows: 1. The Ld. CIT(A) has erred in law and on facts in not allowing the ground of appeal for deducting proportionate amount of interest expense while computing taxable interest from the nationalized banks. 2. On the facts of the assessee, proportionate amount of interest expenses ought to have been allowed as per law. 3.1. At the time of hearing of this appeal, it is fairl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion 8OP(2)(a)(i) in respect of interest, earned on deposits kept with scheduled banks, Indra Vikas Patra, NSC etc. - Assessing Officer rejected assessee's claim and brought said interest income to tax under section 5 'Income from other sources' - Tribunal confirmed Assessing Officer's order - Assessee filed instant appeal seeking direction to pass fresh order by giving permissible deduction under section 57 - Whether on facts, only net interest income, i.e., interest income reduced by administrative expenses and other proportionate expenses to said income had to be brought to tax under section 56 - Held, yes and assessee's appeal was partly allowed by the Hon'ble High Court 7. Respectfully, following the judgm ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
