2026 (4) TMI 1031

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....pecific finding, hence rejected. GROUND NO. 2 3. The grievance of the assessee in this ground is that ld.CIT (Appeals) has erred in confirming the addition of Rs. 93 lacs. 4. The brief facts of the case are that assessee has filed his return of income on 26.10.2015 declaring total income at Rs. 8,12,510/-. The case of the assessee was selected for scrutiny assessment and notice u/s 143(2) of the Act was served upon the assessee. On scrutiny of the accounts, it revealed to the AO that assessee has shown a sum of Rs. 93 lacs under the head 'Current Liabilities" in the audited balance sheet for assessment year 2013-14. He enquired this aspect from the assessee. This liability was shown against the name of Shri Virender Deshwal. The AO....

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....e assessee as per Section 54 of the Act. 7. The ld.CIT (Appeals) did not accept the contentions of the assessee and confirmed the addition on the ground that assessee has shown unexplained credit in the accounts which deserves to be added in his income. 8. Before us, ld. counsel for the assessee submitted that assessment in A.Y. 2014-15 was made u/s 143(3). The ld. AO did not disturb the transaction. It was just an accounting mistake by the Tax Consultant, otherwise no taxable income is discernable in the hands of the assessee. 9. The ld. DR, on the other hand relied upon the order of the AO. 10. We have duly considered the rival contentions and gone through the record carefully. The assessee has placed on record all the relevan....

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....cording to him, he has raised personal loans which were used for the purpose of the business and therefore, claimed the interest expenditure. The only reason assigned by the AO for disallowance of interest expenditure is that loan was taken in the personal account. He has nowhere doubted about its user. No finding has been recorded whether it has been used for business purpose or not. Thus, the claim of the assessee on its user has not been doubted by both the Revenue Authorities. Accordingly, we allow this ground of appeal and delete the disallowance. GROUND NO. 6 14. In this ground, the grievance of the assessee is that AO has erred in disallowing the interest expenditure of Rs. 3,76,976/-. 15. The brief facts of the case are tha....

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....firming the addition of Rs. 95,000/- on account of non-deduction of TDS. 19. With the assistance of ld. Representative, we have gone through the record carefully. It emerges out from the record that assessee has paid a sum of Rs. 1,45,000/- as Professional Fees. The ld.CIT (Appeals) was of the view that Rs. 50,000/- was paid to an Advocate upon whom TDS was deducted. Therefore Rs. 50,000/- was allowed to the assessee as an expenditure and rest of the amount has been disallowed. It has been demonstrated before us that other payments were below the prescribed limit i.e. Rs. 30,000/-. These were paid to Tax Consultants and other professionals on which no TDS liability was there. We find that ld. Revenue Authorities have erred in confirming ....