KUDALE AGRO FOODS,PUNE vs. INCOME TAX OFFICER, CIRCLE-14, PUNE, PUNE

ITA 1619/PUN/2024Status: DisposedITAT Pune07 February 2025AY 2017-18Bench: SHRI R.K. PANDA (Vice President), MS. ASTHA CHANDRA (Judicial Member)1 pages
AI SummaryPartly Allowed

What did the Tribunal hold?

The Tribunal held that disallowance under Section 40(a)(ia) is not applicable if the recipient NBFCs have included the interest income in their returns and paid taxes. For one NBFC, the matter was remanded for verification.

What were the facts?

The assessee firm, engaged in trading Jaggery Products, paid interest on unsecured loans to four NBFCs without deducting TDS. The Assessing Officer disallowed the interest expenditure under Section 40(a)(ia) of the Income Tax Act, 1961.

What were the issues?

Whether disallowance under Section 40(a)(ia) is warranted when the recipient has accounted for the interest income and paid taxes, despite non-deduction of TDS by the assessee.

Which sections of the Income-tax Act were involved?

Section 40(a)(ia),Section 194A,Section 197A(1A),Section 201(1)

AI-generated summary — verify with the full judgment below

Cases cited in this judgment(2)Show list

Detected automatically from the text. Citations are also linked where they appear in the judgment. The count shows how many other judgments on BharatTax rely on the same authority.

Income Tax Appellate Tribunal, “A” BENCH, PUNE

Before: SHRI R.K. PANDA & MS. ASTHA CHANDRA

For Appellant: Shri Pramod S. Shingte
For Respondent: Shri Ramnath P. Murkunde

PER ASTHA CHANDRA, JM :

The appeal filed by the assessee is directed against the order dated 14.06.2024 of the Ld. Additional/Joint Commissioner of Income Tax (Appeals)-8, Delhi [“Addl./JCIT(A)”] pertaining to Assessment Year (“AY”) 2017-18. 2. Briefly stated, the facts of the case are that the assessee is a firm engaged in the business of trading Jaggery Products. For AY 2017-18, the assessee filed its return of income on 20.09.2017 declaring total income of Rs.46,69,050/-. The case was selected for scrutiny under CASS and accordingly notice(s) u/s 143(2)/142(1) of the Income

The order continues below.

Read the full judgment

A free account opens 10 full judgments a month. Re-reading one you have already opened does not count again.

Create a free accountSign in

See plans and prices

The summary, the parties, the sections and the citations above are open to everyone and always will be. Only the text of the order and the PDF are metered.

More judgments on Section 40(a)(ia)

All 7,300 judgments and leading authorities on Section 40(a)(ia) →

Recent GST High Court judgments

Search GST case law →