2016 (12) TMI 949

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.... captioned appeal filed by the assessee pertaining to assessment year 2001-02 is directed against an order passed by CIT(A)-54, Mumbai dated 08/01/2016, which in turn, arises out of an order passed by the Assessing Officer under section 154 of the Income Tax Act, 1961 (in short 'the Act') dated 29/03/2011. 2. In this appeal, the solitary grievance of the assessee is against the action of the As....

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.... the assessee that the deduction under section 80HHC of the Act was to be reworked after reducing 90% interest of Rs. 3,20,428/- in terms of Explanation (baa) to section 80HHC of the Act. After considering the replies of the assessee, the Assessing Officer treated the aforesaid as a mistake apparent from record and accordingly scaled down the allowable deduction to the assessee under section 80HHC....

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....ross interest or net interest ( i.e. after reducing the out-flow of interest) has to be reduced is a debatable issue and such a controversy could not have been addressed by the Assessing Officer in the proceedings under section 154 of the Act. In this context, Ld. Representative for the assessee pointed that the notwithstanding the merits of the case, the impugned action of the Assessing Officer w....

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....ssessee, what is excludible is 'net interest' and for that matter he has also referred to the judgment of the Hon'ble Supreme Court in the ACG Associated Capsules Pvt. Ltd v. CIT , 343 ITR 89 (SC). Be that as it may, what is relevant is that the impugned decision could not have been taken by the Assessing Officer in a summary manner so as to suggest that there is a mistake apparent from record. No....