https://www.taxtmi.com/caselaws?id=30040 The High Court held that the Assessing Officer's attempt to rectify an order allowing deduction of interest and salary to partners of an Association of Persons (AOP) under Section 154 was illegal and lacked jurisdiction. The Tribunal's decision allowing the deduction was deemed binding, preventing the AO from nullifying it through rectification. Additionally, the court emphasized that the issue of deduction of interest and salary was debatable and fell outside the scope of Section 154 due to differing interpretations and prolonged arguments. The appeal challenging the rectification from a firm to an AOP was dismissed as lacking merit, with no substantial legal question identified. en-us Tue, 29 Jan 2008 00:00:00 +0530 Thu, 31 Jul 2008 00:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=30040 The High Court held that the Assessing Officer's attempt to rectify an order allowing deduction of interest and salary to partners of an Association of Persons (AOP) under Section 154 was illegal and lacked jurisdiction. The Tribunal's decision allowing the deduction was deemed binding, preventing the AO from nullifying it through rectification. Additionally, the court emphasized that the issue of deduction of interest and salary was debatable and fell outside the scope of Section 154 due to differing interpretations and prolonged arguments. The appeal challenging the rectification from a firm to an AOP was dismissed as lacking merit, with no substantial legal question identified. Case-Laws Income Tax Tue, 29 Jan 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=30040