2020 (4) TMI 625

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....A of the Income-tax Act, 1961 ( in short, hereinafter the 'Act') read with Rule 8D of the Income-tax Rules, 1962 ( in short, hereinafter the "Rules"). It is noted that the assessee had an exempt income (dividend) of Rs. 2976/-. It was brought to our notice that said exempt income/dividend is from the shares held by the assessee, for which the assessee had incurred cost of Rs. 4,715/-. It was brought to our notice that no expenses were incurred by the assessee for earning the exempt income. The AO was of the opinion since the assessee had taken certain loans, he made disallowance under Rule 8D of the Rules. We note that the loan expenses were for car loan, business etc and not for purchasing the shares or earning of the exempt income. In suc....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... is the industry norm and a system regularly followed by the assessee but the AO has computed the profit on tea purchased on the ratio of the total quantity of Tea Manufactured in place of the tea Manufactured by the Garden using the tea. Assessment orders and Computation of income showing such calculation for AsstYears 2010-11,2011-12 and 2012-1} are enclosed as Annexure-B. It may be pointed out that for the asst. year 2010 - 11 appeal effect of order of CIT(A) has been given for such purpose by the same Assessing Officer. Copy of CIT order in case of assessee for Asst. Year 2010-11 and 2009-10 is enclosed in this respect. 5. As stated in the order by DCIT, the appellant had bought Green Leaf from other growers and manufactured Te....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....1,22,45,330/- but at the time of calculation of Tax, total income has been taken at Rs. 1,23,24,460/-. The Assessing Officer, on completion of the assessment, also charged interest u/s.2348 of the Act The Gross Tax inclusive of Interest, was determined by the Assessing Officer at Rs. 40.48,346/- which should be recalculated." 6. It was brought to our notice that the ld. CIT(A) for the AY 2009-10 had interfered with the order of the AO when he tinkered with the computation regularly followed by assessee and ordered as under:- "6. The fourth ground of appeal is that the AO should have separately computed the respective income of the tea Estates in the state of West Bengal and Assam as was done in the past. The AO has not given any....