JAYANTHI GANESAN , TRICHY V. ACIT CIRCLE - 1 , TRICHY

ITA 965/CHNY/2022

AI Insights

The case involves an appeal by Jayanthi Ganesan against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, which upheld the disallowance of interest expenditure of Rs. 34.22 Lacs under section 57 of the Income Tax Act. The interest was disallowed on the grounds that it was paid by the assessee's daughter. The Tribunal noted that a similar issue had been previously adjudicated for the Assessment Year 2014-15, where the matter was restored to the Assessing Officer. Following this precedent, the Tribunal decided to restore the current matter to the Assessing Officer for a fresh assessment.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 134002 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-02-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 20-02-2023
• Assessment Year: 2015-2016
• Appeal Filed On: 15-11-2022
• Other Referred Cases: ITA No.2490/Chny/2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Set aside

Judgement Text

आयकर अपीलीय अिधकरण ‘सी/ एस एम सी’ ायपीठ चे ई म । IN THE INCOME TAX APPELLATE TRIBUNAL ‘C/SMC’ BENCH, CHENNAI माननीय .ी मनोज कु मार अ2वाल ,लेखा सद6 के सम7। BEFORE SHRI MANOJ KUMAR AGGARWAL, AM आयकर अपील सं./ ITA No.965/Chny/2022 (िनधा=रण वष= / Assessment Year: 2015-16) Jayanthi Ganesan 4E, Alexandria Road, Trichy – 620 001. बनाम/ V s. ACIT Circle-1, Trichy. थायी लेखा सं./जीआइ आर सं./P AN /GI R No . AAI P J -8 4 8 0 -D (अ पीलाथ /Appellant) : ( थ / Respondent) अपीलाथ की ओरसे/ Appellant by : Shri Girish (Advocate) for Shri S. Sridhar (Advocate) – Ld. ARs थ की ओरसे/Respondent by : Shri Sanat Kumar Raha (Addl. CIT)-Ld. DR सुनवाई की तारीख/Date of Hearing : 21-02-2023 घोषणा की तारीख /Date of Pronouncement : 21-02-2023 आदेश / O R D E R 1. Aforesaid appeal by assessee for Assessment Year (AY) 2015-16 arises out of the order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 15-09-2022 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s.143(3) of the Act on 31-12-2017. The sole grievance of the assessee is interest disallowance u/s 57 of the Act. 2. The Registry has noted delay of 02 days in the appeal, the condonation of which has been sought by Ld. AR. Considering the period of delay, the delay is condoned and the appeal is admitted for adjudication on merits. ITA No.965/Chny/2022 - 2 - 3. The Ld. AR, at the outset, submitted the similar issue arises in AY 2014-15 and the Tribunal has set aside the issue to the file of Ld. AO vide ITA No.2490/Chny/2019 order dated 09-11-2021. The copy of the order has been placed on record. The Ld. AR sought similar directions in this year. These facts remain uncontroverted. 4. Upon perusal of assessment order, it could be seen that the interest expenditure of Rs.34.22 Lacs has been disallowed u/s 57 on the ground that the same was paid by assessees’ daughter. The Ld. CIT(A) upheld the same against which the assessee is in further appeal before me. 5. I find that similar disallowance was made in assessee’s case for AY 2014-15 wherein the matter has been restored back by Tribunal to the file of Ld. AO for fresh adjudication. Facts being pari-materia the same, similar directions are issued in this year. 6. The appeal stand allowed for statistical purposes. Order pronounced on 21 st February, 2023. Sd/- (MANOJ KUMAR AGGARWAL) लेखा सद6 / ACCOUNTANT MEMBER चे*ई / Chennai; िदनांक / Dated : 21-02-2023 EDN/- आदेश की Qितिलिप अ 2ेिषत/Copy of the Order forwarded to : 1. अपीलाथ /Appellant 2. यथ /Respondent 3. आयकर आयु / CIT 4. िवभागीय ितिनिध/DR 5. गाड फाईल/GF