S. 14A : Disallowance away from expenditure – Excused income – Zero excused money acquired – Supply is not applicable [Roentgen

S. 14A: Disallowance out of expenses – Excused earnings – Onus to your cash to prove one disallowance are incorrect – Without examining the membership disallowance is not rationalized [R.8D]

Courtroom kept that the onus towards the revenue to prove that disallowance was incorrect and you may as opposed to examining the membership disallowance is not rationalized (AY.2007-08, 2008-09)

S. 14A : Disallowance of costs – Excused income – Improvement of disallowance are held becoming maybe not good [Roentgen.8D]

Dismissing new appeal of this new funds the brand new Court stored the Evaluating Officer had acknowledged that assessee hadn’t lent money. This new assessee got subtracted specific proportionate costs, that Evaluating Administrator had not disbelieved otherwise debated. Level of capital, the fresh assessee was said to have received charges-free services from banks or other financial institutions which have just who it got spent. New Tribunal had accurately removed the brand new disallowance from Rs. crores under point 14A of your own Operate in line with signal 8D of the Money-taxation Regulations.

Dismissing this new appeal of brand new revenue the brand new Legal held that you to definitely because zero excused income got accrued to your assessee the fresh new arrangements from section 14A did not incorporate

Allowing the newest appeal the newest Courtroom held that if there’s absolutely no bonus earnings won, disallowance can’t be produced. (AY. 2014-15)

S. 28(iv) : Team earnings – Property value any better otherwise perquisites – Converted in to money or perhaps not – Amalgamation –More than web planning over-value off enterprises bought out – Perhaps not assessable since income. [S. 4]

Dismissing the brand new appeal of the fresh revenue the newest Legal stored that the arrangements away from part twenty eight(iv) of your Act make it clear that amount shown into the the bill piece of your assessee under the direct supplies and you can surplus can not be treated since good results or perquisite due to business otherwise exercise of industry. The real difference inside the matter article amalgamation is actually the fresh amalgamation set aside and you will it cannot become mentioned that it was regarding regular exchange of one’s team are capital in the wild, and that arose on account of amalgamation regarding five companies, it cannot be handled as dropping below section twenty eight(iv). Accompanied CIT v. Stads Ltd. (2015) 373 ITR 313 (Mad) (HC).(AY.2006-07)

S. 32: Depreciation – Property gotten inturn regarding extinguishment of tenancy rights – Decline deductible – Low – Participate payment – Decline allowable into idea out of texture.

The condition needed to be readjudicated from the Determining Officer, where mission, brand new Assessing Administrator must analyse the brand new agreement old inserted to your involving the assessee and SIPCOT and not go just of the the latest nomenclature

Dismissing the fresh beauty of the newest funds the Judge stored you to depreciation try deductible according from property received in return regarding relinquishment out-of tenancy legal rights in another possessions. Judge plus held you to definitely decline to your non-compete charge is held are deductible. Observed CIT v. Areva T & D Asia Ltd. (2012) twenty six taxmann 266 (Mad) (HC). (AY.2006-07)

S. 32 : Depreciation – Carry forward and place regarding – Unabsorbed depreciation into 1-4-2002 should be sent forward and set away from as opposed to providing toward account few years of these carry forward. [S.32 (2)]

Dismissing the fresh appeal of the fresh funds new Court kept one to unabsorbed decline relating to the review year 1997-98 so you can 2000-01 try qualified to receive go-off against income on the review seasons 2005-06. Circular Zero. fourteen of 2001 old -08)

S. 32: Decline – Building – Roadway – Entitle so you can depreciation on ten% – Decline to the assets kept towards the book – Relies on terms of rent – Amount remanded. [S. thirty two (1)(ii)]

Tribunal was warranted inside making it possible for the new decline on 10% during the tracks. Courtroom as well as stored your property about what the latest studio got come produced by the new assessee, are belonging to the fresh SIPCOT additionally the advancement contained bringing routes in They Park, organization off a multiple-peak car parking, etc. Under the agreement, this new assessee needed to create such facilities and keep maintaining her or him and that point try said is 99 years, that is very nearly continuous. Hence, a much deeper examination of the new factual question is actually rationalized. (AY. 2007-08 in order to 2010-11, 2012-thirteen and you can 2013-14)