2023 (7) TMI 803

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....The assessee pleads the following substantive grounds in the instant appeal : "1] ORDER IS AGAINST LAW AND FACTS OF THE CASE [A] That the Order of the Learned Commissioner [Appeals] confirming additions made by A.O. in rectification Order U/S 154 is against Law and facts of the case, because DEBATABLE and ARGUABLE Issues are outside the jurisdiction of Section 154. Hence, Order requires to be quashed. 2] DISALLOWANCE OF INTEREST Rs. 2,36,126/- BY A.O. CONFIRMED BY CIT [APPEALS] :- [A] On the facts brought on record the Learned Commissioner[Appeals] ought to have held that disallowance of Interest of Rs. 2,36,126/- claimed in Assessment Year 2014-2015 is a DEBATABLE and ARGUABLE Issue which is outside the ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ement rival stands and find no merit in Revenue's arguments supporting both the lower authorities action taking recourse to sec. 154 rectification for the purpose of disallowing the assessee's alleged prior period interest expenditure. 4.1. We first of all wish to quote hon'ble apex court's landmark decision in T.S. Balram vs. Volkart Bros. [1971] 82 ITR 50 (SC) that the purpose of sec. 154 rectification is not to make roving enquiries in the given case but to deal with only apparent mistakes emanating from the records. We keep in mind this settled legal proposition and advert to facts of the instant case wherein, the issue of sec. 154 rectification pertaining to the alleged prior period expenditure is highly debatable one only since the....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... Rs.18,000/- paid after due date of filing of return The interest mentioned at Sl. No. 3 & 4, totaling to Rs.2,18,123/- has been paid during FY 2012-13, relevant to AY 2013-14, hence A.O has not allowed the claim for AY 2014-15. In respect of interest payment of Sl. No. 5 an amount of Rs.18,000/- has been paid after due date INC of filling of return, hence A.O has disallowed the same u/s. 43B of the IT. Act. As these mistakes are apparent from records, A.O has made rectification order u/s.154 disallowing the interest of Rs.2,36,123/-. 7. During the appellate proceedings AR of the appellant stated that such issue can not be decided under section 154 of the I. T. Act as it was not a mistake appar....