Case Law Details
ITO Vs Media Satellite & Telecom Ltd, (ITAT Delhi)
In this cse AO could not show that the expenditure incurred by the assessee is excessive or unreasonable providing market comparative price with respect to the fair market value of the goods. The ld AO could not show that without offering the discount the goods are saleable and are not in accordance with the legitimate needs of the business of the assessee. In absence of these the ld AO could not have applied the provisions of section 40A(2)(b) of the Act. In view of this we do not find any infirmity in the order of the ld CIT(A) in deleting the above disallowance.
FULL TEXT OF THE ITAT JUDGMENT
1. This is an appeal filed by ITO, Ward-16(3), New Delhi against the order of the ld CIT(A)-IX, New Delhi dated 24.10.2014 for the Assessment Year 2010-11, where, the solitary ground was raised against the deletion of disallowance of Rs. 6056122/- on account of „rebate and discount‟given to related parties.
2. The revenue has raised the following grounds of appeal:-
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