2018 (12) TMI 1494

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....e is a company and filed its return of income on 05/12/2012, declaring total income of Rs. 2,82,520/-. The Assessing Officer passed an order u/s 144 of the Act on 28/03/2015, determining the total income of the assessee at Rs. 9,17,960/-. The Assessing Officer had treated the rental income of Rs. 9,70,200/-, earned by the assessee as income assessable under the head "income from house property". The assessee had computed the income in question under the head "income from other sources". Consequent to changing the head of "income from other sources" to "income from house property, the expenditure claimed by the assessee on account of electricity charges, repairs and maintenance etc. was disallowed. The rent in question was earned by the a....

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....itself or though other agencies, such income should be assessed under the head "business income". 4.1. Further in the case of Commissioner of Excess Profit Tax vs. Sree Lakshmi Silk Mills Ltd. in 20 ITR 451, it was held as follows:- "If a commercial asset is not capable of being used as such, then its being let out to others does not result in an income which is the income of the business. But an asset which was acquired and used for the purpose of the business does not cease to be a commercial asset of that business as soon as it was temporarily put out of use or let out to another person for use in his business or trade. The yield of income by a commercial asset is the profit of the business irrespective of the manner in which....