Case Law Details
DCIT Vs Citicorp Maruti Finance Ltd. (ITAT Mumbai)
The learned Commissioner (Appeals) found that the loan sourcing fees was paid to Maruti Udyog Ltd. and is amortized over the period of loan agreement. He found that only the amount which is amortizable for the current year has been debited to the Profit & Loss account. He also found that the assessing officer has not provided any basis why he considers the expenditure as capital in nature. Further, the learned Commissioner (Appeals) found that in assessee’s own case for assessment year 2008–09, similar deduction claimed by the assessee was allowed by the first appellate authority. Accordingly, he deleted the disallowance made by the assessing officer.
FULL TEXT OF THE ITAT JUDGMENT
This is an appeal by the Department is directed against the order dated 8-9-2014, passed by the learned Commissioner (Appeals)–X, Delhi, for the assessment year 2007–08.
2. In total, Department has raised five grounds.
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