2013 (11) TMI 579

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....t under Section 260-A of the Income Tax Act, 1961 against the judgment and order dated 03.09.2008 passed by the Income Tax Appellate Tribunal, Lucknow in ITA 533/Luc/2008 for the assessment year 2004-05. On 01.09.2009, a coordinate Bench of this Court has admitted the instant appeal on the following substantial questions of law: 1. Whether on the facts and in the circumstances of the case, the l....

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....med the deduction pertaining to the interest under section 36(1)(iii) of the Act. The A.O. has disallowed the same by observing that the interest has not been actually paid. So, he made the addition. But the first appellate authority as well as the Tribunal have deleted the said addition. Being aggrieved, the department has filed the present appeal. With this background, heard Sri D. D. Chopra, l....

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....discussing number of case laws observed that the assessee is entitled for the deduction under section 36 (1)(iii) of the Act, as the assessee is maintaining the books of accounts on mercantile system of accounting. Learned counsel for the department has agreed that the facts and circumstances of the instant appeal are identical in nature. When it is so, then by following the earlier order dated ....