DIVYA SHYAMAPRAKASH VAIDYA,SURAT V. ITO, WARD 1(3)(1), SURAT

ITA 1186/SRT/2025

AI Insights

The case involves an appeal by Divya Shyamaprakash Vaidya against the order of the Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre, Delhi, which confirmed the addition of Rs. 9,35,634 to the assessee's income for the Assessment Year 2020-21. This amount was initially disallowed by the Assessing Officer on the grounds that it pertained to an overdraft facility used to advance a loan to Dipin D. Vaidyan, from whom the assessee also received interest. The Tribunal's decision reduced the disallowed amount after considering the interest received from Dipin S. Vaidya.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 847401 (ITAT-SURAT)
• Duration Of Justice: 4 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-03-2026
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: Surat
• Assessment Year: 2020-2021
• Appeal Filed On: 12-11-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: AJAY UKE
• Assessee Lawyers: MEHUL K. PATEL

Judgement Text

"THE INCOME TAX APPELLATE TRIBUNAL SURAT “SMC” BENCH, SURAT BEFORE DR. BRR KUMAR, HON’BLE VICE PRESIDENT AND MS. SUCHITRA KAMBLE, JUDICIAL MEMBER Divya Shyamaprakash Vaidya, Flat No. 832, Block-Q, Ashirwad Palace, Nr. Jamnagar Bus Stand, Bhatar Road, Surat-395007 PAN: AEYPV7606P (Appellant) Vs The ITO, Ward: 1(3)(1), Surat (Respondent) Assessee by: Shri Mehul K. Patel, A.R. Revenue by: Shri Ajay Uke, Sr. D.R. Date of hearing : 25-03-2026 Date of pronouncement : 27-03-2026 आदेश/ORDER PER DR. BRR KUMAR, HON’BLE VICE PRESIDENT: This appeal is filed by the assessee against the appellate order dated 13.08.2025 passed by the Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre, Delhi, relating to the Assessment Year 2020- 21. 2. The grounds of appeal are as under:- ITA No. 1186/Srt/2025 Assessment Year 2020-21 Printed from counselvise.com I.T.A No. 1186/Srt/2025 Divya Shyamaprakash Vaidya, A.Y.2020-21 2 “(1) That on facts, in law, and on evidence on record, the learned National Faceless Appeal Centre (NFAC) has grievously erred in confirming the addition of Rs. 9,35,634/- made u/s 57 of the Act in respect of Interest expenditure. (2) That on facts, in law, and on evidence on record, it ought to have been held that the entire interest expenditure claimed is allowable as prayed for. (3) The appellant craves leave to add, alter, amend any ground of appeal.” 3. Delay condoned. 4. The assessee paid interest of Rs. 9,35,634/- on account of overdraft facility. The Assessing Officer disallowed the interest on the ground that the amounts have been advanced as loan to one person i.e. Dipin D. Vaidyan. The assessee has also received interest from Dipin S. Vaidya. In view of above fact, the disallowance is restricted to the remaining interest on account of overdraft which comes to Rs. 9,35,634/- - Rs. 6,67,664/- = 2,67,970/-. 5. The appeal filed by the assessee is partly allowed Order pronounced in the open court on 27-03-2026 Sd/- Sd/- (SUCHITRA KAMBLE) (DR. BRR KUMAR) JUDICIAL MEMBER VICE PRESIDENT a.k. Ahmedabad : Dated 27/03/2026 आदेश क\u0006 \u0007\bत ल प अ\u000fे षत / Copy of Order Forwarded to:- 1. Assessee 2. Revenue 3. Concerned CIT Printed from counselvise.com I.T.A No. 1186/Srt/2025 Divya Shyamaprakash Vaidya, A.Y.2020-21 3 4. CIT (A) 5. DR, ITAT, Surat 6. Guard file. By order, Assistant Registrar, Income Tax Appellate Tribunal, Surat Printed from counselvise.com "