2014 (11) TMI 317

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....RESPONDENT : SRI K V ARAVIND, ADV JUDGEMENT Per: N Kumar: This appeal is preferred by the assessee against the order passed by the tribunal, declining to consider his claim for expenditure incurred in earning the interest, which is taxed. 2. The assessee is an Association of Person operating a club. It filed its return of income for the assessment year 2008-09 on 29.09.2008, declaring ....

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....g income from canteen activity'. However, all other additions made by the assessing officer were sustained by the learned CIT (Appeals). Aggrieved by the said order, the assessee preferred an appeal before the Tribunal. The Tribunal has partly allowed the appeal insofar as the claim of the assessee regarding incurring of expenditure for earning interest and deduction from the income thereof, w....

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....he assessing authority did not accept the return filed by the assessee showing loss and when they have taken out the interest income separately and taxed it, the expenditure incurred in earning the said interest should have been considered for deduction. The said exercise has not been done and therefore, submits that it would be appropriate if the matter is remanded to the assessing authority rega....

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....m canteen activity. The First Appellate Court has granted the relief regarding Outsourcing Income from Canteen Activity. However, these additions are made if any expenditure is incurred as contended by the assessee in respect of the Interest Received from Banks. The authorities ought to have considered whether any expenditure is incurred in this regard. If any expenditure is incurred, then the sam....