TaxTMI 
TaxTMI 
2021 (6) TMI 761
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....nd circumstances of the case to the extent prejudicial to the interests of the appellant and is opposed to the principles of natural justice, equity and fair play. 2. For that the Commissioner of Income Tax (Appeals) failed to appreciate that the order of the Assessing Officer is without jurisdiction. 3. For that the Commissioner of Income Tax (Appeals) erred in upholding the disallowances of architect fees of Rs. 2,00,000/- and brokerage of Rs. 1,96,374/-. 4. For that the Commissioner of Income Tax (Appeals) failed to appreciate that the architect fees and brokerage are allowable expenditure. 5. For that the Commissioner of Income Tax (Appeals) erred in upholding the disallowance of sales tax and service tax paid of Rs. 15,37,1891-....
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....& service tax collected in respect of flats sold to customers is not deductible expenses and hence, disallowed said expenditure and added back to the total income of the assessee. 4. The assessee carried matter in appeal before learned CIT(A) and agitated additions made by the Assessing Officer towards disallowance of expenses and disallowance of sales tax & service tax paid on the ground that expenses incurred towards land development was not claimed as deduction, but added in work-in-progress account, therefore, same cannot be disallowed. The assessee further contended that Architect fee and brokerage expenses are general in nature without specific to any project and hence, same cannot be disallowed,even though, the project was not compl....
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....& loss account is paid on sales made by the assessee for the year and further, the assessee is following composite method of payment of sales tax, as per which sales tax & service tax cannot be collected from customers. Further, when the taxes are not collected from customers and paid by the assessee, then same is an expenditure which is deductible under the Act. However, for the limited purpose of verification of facts with regard to non-collection of taxes from sales, the matter may be set aside to the file of the Assessing Officer to verify records. 6. The learned DR, on the other hand, supporting order of the learned CIT(A) submitted that the assessee has failed to file any evidence to prove that expenditure debited into profit & loss ....