TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
When case Id is present, search is done only for this
of 
of 
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of of 
All Case Laws
of of All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of <h1>Tribunal upholds interest claim on house property income, citing valid oral agreement and past practice.</h1> <h3>INCOME TAX OFFICER. Versus MRS. PRABHA SACHDEVA.</h3> The Tribunal upheld the Commissioner(A)'s decision to allow the claim of interest amounting to Rs. 31,734 from the income from the house property. The ... - Issues:- Whether the claim of interest amounting to Rs. 31,734 from the income from the house property should be allowed.Analysis:The case involves an appeal by the Revenue regarding the allowance of interest claimed by the assessee from her husband on a loan taken for constructing a house. The Income Tax Officer (ITO) disallowed the claim stating that the loan was understood to be interest-free based on the assessee's previous declaration. However, the Commissioner(A) allowed the claim, noting changes in circumstances where the husband claimed interest which the assessee had to pay. The Tribunal found that the oral understanding between the parties to pay interest was valid and intended to be acted upon. The husband showing the interest as income in his assessment supported this. The Tribunal also highlighted that in a previous assessment year, similar interest was claimed and paid. The Tribunal concluded that the Commissioner(A) was justified in allowing the claim, especially as there was no objection to the adjustment made by the Commissioner(A) in the calculation of interest. Therefore, the Tribunal confirmed the Commissioner(A)'s order and dismissed the Revenue's appeal.
TaxTMI 
TaxTMI 
