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TMI Blog2021 (12) TMI 1407X X X X Extracts X X X X X X X X Extracts X X X X ..... na Mr. Sourav Mehta Order This appeal is filed by the revenue to challenge the judgment of the Income Tax Appellate Tribunal. Though as many as four questions are framed by the revenue in the appeal, the issues are only two which can be gathered from the following questions framed by the department:- "1. Whether on the facts and in the circumstances of the case and in law, the Hon'ble ITAT i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ar as the first question is concerned, learned counsel for the revenue candidly brought to our notice an order dated 27/05/2019 passed by the division bench in Income Tax Appeal No. 281/2018 in the case of the present assessee. The appeal of the revenue was dismissed making the following observations:- "This court notices that ALP determination which led to adjustments on both counts, were the s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the equity shares in one of the subsidiaries of the assessee in USA. According to the assessing officer this loss was not allowable under Section 37 of the Income Tax Act, 1961 since the expenditure could not have been considered as a revenue expenditure. He also held that this was not a case of bad debt which could be allowed under Section 36 of the Act. The assessee carried the matter in app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uch investment being in the nature of revenue expenditure was to be allowed under Section 37 of the Act. Having perused the order passed by the assessing officer and by the tribunal and having heard learned counsel for the revenue, we find no error in the view expressed by the tribunal. As noted, the assessee had made investment in its subsidiary company in order to expand its business with a vie ..... X X X X Extracts X X X X X X X X Extracts X X X X
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