2016 (3) TMI 1397

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....venue : Sh. Sheodan Singh Bhaddoria, Sr. DR. ORDER Per Prashant Maharishi, A. M. 1. This appeal is preferred by the assessee against the order of the CIT(A), Meerut dated 26.09.2014 for the Assessment Year 2008-09 on the following grounds : "1. That on facts and in law disallowing interest accrued & due but not paid amounting to Rs. 363,59,677/- u/s 43B(d) is totally wrong, unjustified....

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....ad with section 4A of Companies Act, 1956. iii) That sub-section 1 & 2 of section 4A of Companies Act clearly mentioned what are the public financial institutions and state financial institutions for the purpose of section 43B of the Act. iv) That the financial institutions of UP. Government like Shakar Visesh Nidhi (SVN), State Government loan does not cover under section 4A(1) & 4A(2) of t....

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....he act as discussed above. Aggrieved by this, assessee filed an appeal before CIT (A) who deleted the addition but confirmed the disallowance of Rs. 15,24,100/- holding that this is the amount of interest which is being charged to the profit and loss account for the year and disallowance is required to be restricted to that extent. Against the order of CIT (A) assessee has preferred this appeal. ....

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....ion 43B (d) are not applicable in the case of interest payable to institutions of government of India and UP government. He, therefore, submitted that this being a covered issue in favor of the assesse, the addition may be deleted. 4. Ld. D. R. Relied on the order of lower authorities. 5. We have carefully considered the rival contentions. Assessee that accumulated amount of interest accrued....