2020 (10) TMI 616

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....ncome-tax Officer, Ward- 4, Jaipur), u/s 154 of Income Tax Act, 1961 making disallowance of Rs. 3,15,3000/- and same being upheld by learned CIT (Appeals)-2, Jaipur, is bad in law as well as on facts and same needs to be cancelled. 2(a) That ld. Assessing Officer has erred in making disallowance of Rs. 3,14,300/- out of interest, on the ground that Appellant Company has purchased an industrial land for Rs. 40 lacs and paid Rs. 2.65 lacs for registration, which is not correct statement of facts. Ld. CIT (A) has also erred in upholding the same. (b) Full facts of the purchase of land was submitted and copy of Lease Deed was also filed before the ld. Assessing Officer, during the assessment proceeding and such Purchase of Lan....

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....the interest expenditure claimed by the assessee of Rs. 79,40,422/- was proportionately to be disallowed. The AO accordingly passed an order under section 154 of the IT Act whereby interest of Rs. 3,15,300/- was disallowed in respect of the cost of acquisition of the land during the year under consideration. She has relied upon the orders of the authorities below. 3. Having considered the submissions of the ld. D/R and careful perusal of the orders passed by the AO as well as impugned order of the ld.CIT (A), it is noted that the assessee company filed its return of income on 25th September, 2012 declaring total income of Rs. 12,10,219/-. The AO completed the scrutiny assessment under section 143(3) on 8th January, 2015 at the total inco....