2023 (10) TMI 375

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....he entire disallowance of 15,38,826/- made by the AO being interest expenses without appreciating the factual aspect and ignoring all the evidences submitted before the AO as well as CIT(A). It is therefore prayed that addition/disallowance confirmed by the CIT(A) may please be deleted. 2. The Learned CIT(A) erred in law and on the facts of the case in confirming the entire disallowance of 15,38,826/- made by the AO being interest expenses without appreciating the nexus of the utilization of borrowed funds and also without considering the provisions of section 57 and section 24(b) of the Act. It is therefore prayed that addition/ disallowance confirmed by the CIT(A) may please be deleted. 3. The Learned CIT(A) err....

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....he provisions of section 57 and section 24(b) of the Act. It is therefore prayed that addition/ disallowance confirmed by the CIT(A) may please be deleted. 3. The Learned CIT(A) erred in law and on the facts of the case in confirming the entire disallowance of Rs. 14,40,493/- made by the A0; under the wrong notion that the "facts of the present appeal are identical to those present for AY Yrs 2009-10 & 2010-11. 'Without appreciating facts available on records that the issue under the present appeal was different from the appeal of AY 2009-10. In AY 2009-10 the AO has disallowed only proportionate expenses on account of interest vide in AY under appeal the AO has disallowed the entire expenditure on account of interest. ....

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....dentically reflected for assessment year 2010-11. The income from property was Rs. 42,000/- whereas the assessee has taken a housing loan of Rs. 1,50,00,000/- and repaid towards principal of Rs. 19,02,174/- and interest of Rs. 15,38,826/-. The assessee has claimed of Rs. 15,38,826/- and was not allowed by the Assessing Officer and was added to the total income of the assessee. 4. Being aggrieved by the assessment order, the assessee filed appeal before ld. CIT(A). The ld. CIT(A) dismissed the appeal of the assessee. 5. The ld. Authorized Representative submitted that during year the assessee received income by way of interest totaling to Rs. 20,77,764/- and against such receipt of interest, the assessee incurred expenditure on payment....

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....operty only. Thus, the ld. Authorized Representative submitted that as per section 24(b) of the Income Tax Act, any loan taken for loan/construction self occupied house property is allowable. Further, any new loan taken to repay said earlier loan also falls into criteria of housing loan and the interest expenses incurred on such new loan was also be allowed taken u/s. 24(b) of the Act. The ld. Authorized Representative submitted alternately that the interest expenses towards utilization of sum of Rs. 23,40,373/-for repayment of housing loan u/s. 24(b) of the Act is at all a new claim and the same should have been allowed. 6. The ld. Departmental Representative relied upon the assessment order and the order of the CIT(A). The ld. Departme....