2017 (11) TMI 1855

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.... filed by the Revenue against the order of the CIT(A)-24, Mumbai, dated 27.11.2014, for A.Y. 2010-11 The effective grounds taken by the Revenue read as under: "1. On the facts and in the circumstances of the case and in law, the Ld. CIT (A) erred in allowing relief to the assessee company without appreciating the fact that the rent was received by the assessee from owned property and, therefore....

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....the head "Income from house property" and after allowing deduction u/s. 24(1) amounting to Rs. 2,70,000/- considered the "Income from house property" at Rs. 6,30,000/- and disallowed a total sum of Rs. 44,33,656/- as, in his opinion, the assessee has not carried out any business activity during the impugned assessment year. Therefore, the business income has been assessed at 'Nil'. On appeal, the ....

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....he main object allows the appellant to carry on .the House keeping activity as a business activity apart from other activities. In fact in para 1.2 of the submission made the appellant had claimed that the facilities such as house keeping, security, telephone, electricity, maintenance etc.and rendering such facilities are embedded in the rent receipts..-- Since the source of income emanates from t....

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....s to employees, general, administrative expenses, depreciation, interest etc. While adjudicating the Ground of appeal No: 1, I have held that the rent received is in the nature of business receipts, therefore such expenditure was incurred during the normal course of business activity, hence it needs to be allowed. Therefore, the AO is not justified in disallowing the claim of expenses amounting to....