Case Law Details
Shyam Bihari Gandhi Vs ITO (ITAT Delhi)
As regards addition of Rs. 20,38,472/- on account of payment of interest to bank which the assessee has mentioned in the profit and loss account. The revenue authorities have noticed that a loan (liability) of Rs. 1,11,73,554/- against which the assessee has claimed interest of Rs. 20,38,472/- and the Assessee has further given interest free loan to his daughter Ms. Mehak Gandhi to the tune of Rs. 1,57,26,728 meaning thereby that assessee has claimed interest expenses of borrowed capitals and by giving interest free advances to his daughter. In my view this not for business purposes. Assessee has claimed before the revenue authorities by not filing any documentary evidence, therefore, I fully agree with the reasons mentioned by the revenue authorities especially the Ld. First Appellate Authority for confirming the addition of Rs. 20,38,472/- on account of interest on loan of Rs. 1,11,73,554/-. Hence, no interference is called for in the well reasoned order of the Ld. CIT(A) on the issue in dispute, therefore, I uphold the finding of the Ld. CIT(A) on the issue in dispute and reject the ground raised by the assessee.
FULL TEXT OF THE ITAT JUDGEMENT
This appeal filed by the Assessee is directed against the Order dated 24.12.2018 of the Ld. CIT(A)-17, New Delhi pertaining to assessment year 2013-14 on the following grounds:-
1. “That the order of the Ld. CIT(A) is contrary to facts and in law.
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