TaxTMI 
TaxTMI 
2018 (11) TMI 1864
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....ecretary), Shri Amitabh Mishra(Treasurer) and Shri Probir Bose (Member) was increased as compared to last year i.e. Rs. 4.87 lac to Rs. 5.64lac, Rs. 4.26lac to Rs. 4.95lac and Rs. 1.43 lac to Rs. 1.65lac respectively were paid. The Assessing Officer held that the salary paid to these employees was excessive and Rs. 20,000/-, Rs. 20,000/- and Rs. 10,000/- were disallowed out of salary paid to three persons u/s 13 of the Act. Total disallowance worked out to Rs. 50,000/-. 2.1 Salary of Ms Padmja Nair (Member) and Shri J. L Dwivedi (Member) amounting to Rs. 78,652/- and Rs. 17,500/- was disallowed as they were part time employees of the assessee. The total disallowance worked out to be Rs. 96,152/- u/s 13 of the Act. 2.2 The Assessing Officer further disallowed the claim of application of income/deduction of expenses to tune of Rs. 62,40,012/- paid to other partner NGO's who are registered u/s 12A of the Act and further addition of Rs. 6,17,903/- was made on account of Interest Income not shown by the assessee. The Assessing Officer noted that assessee has violated the provisions of section 13 of the Act so the benefit of exemption u/s 11 and 12 of the Act was denied. 2.3....
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....ltural based livelihoods in Eastern U.P. and North Bihar, IRRAS project and Jawaja project. He is responsible for strategic planning, implementation of projects and monitoring their outcomes. He also coordinates the Finance and Accounts functions. Salaries are fixed as per terms and conditions of service under specific scale (Category E-I) consisting of Basic Salary, DA (50% of basic), HRA, transport Allowance which is revised from time to time after performance appraisal. Either side may terminate the salary agreement by giving one month notice or pay in lieu of notice. Particulars of salary paid to these three persons over last 10 years was filed i.e. 2003-04 to 2012-13. The average increase in salary in 2012-13 as compared to 2011-12 is 15% approximately in all the three cases. After looking at their job description, their professional profile, their work experience and the inflationary pressures the increase in annual salary by 15% in the three key members of appellate society cannot be held as excessive or unreasonable. The AO has not outlined any basis on which he has come to a finding that this salary is excessive. Either the services rendered are not comme....
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....omote sanitation in these villages. Total fees paid was Rs. 70,000/- subject to TDS and exclusive of service tax after submission of final report. Total payment made was Rs. 78,652/- inclusive of service tax (12%) and Education cess (3%). Dr. J.L Dwivedi was paid for specific task for "designing and implementation of Agriculture based livelihood strengthening programme within the project in appellant society as well as partners location in Eastern UP and Northern Khar". Total payment made was Rs. 17,500/-. It is pertinent to point out that Mrs. Padmja Nair and Mr. J.L. Dwivedi are acclaimed independent professionals in the development sector specializing in rural development. The AO ignored the entire above stated gamut of facts before him and disallowed payment of Rs. 96,152/-to these two independent professionals based on a general comment that they are only part time employees and not full time employees. The AO ignored the that these two persons are consultants for specific projects and not even t time employees. Any disallowance based on a general comment by the AO is uncalled for. In view of the above mentioned facts the disallowance of Rs. 96,152/-....
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....5/PN/2012 are also in the favour of appellant on this issue itself. In view of the above facts and judgments outlined above the disallowance of Rs. 62,40,6127- made by the AO is hereby deleted. The grounds of appeal No. 4 is allowed." 5.1 We find that learned CIT(A) while deciding the above ground has considered various judicial pronouncements and has exhaustively dealt with the issue which needs no interference from our side. Keeping in view the facts and circumstances of the case, we confirm the view of learned CIT(A) and dismiss the ground No. 3 taken by the Revenue. 6. Vide ground No. 4 of the appeal, the Revenue is aggrieved with the action of learned CIT(A) by which he has deleted the addition of Rs. 6,17,903/- made by the Assessing Officer on account of difference of interest on FDRs and saving bank account. The assessee has shown total interest income at Rs. 13,48,281/- as against interest of Rs. 19,66,184/- as per certificate issued by the bank. We find that learned CIT(A) has deleted the additions made by the Assessing Officer by holding as under: "The Assessing Officer made addition on accrual of interest on FDR etc. to the extent of Rs. 6,17,903/-. ....