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Income Tax Appellate Tribunal, KOLKATA ‘SMC’ BENCH, KOLKATA
Before: Shri J. Sudhakar Reddy]
order
: February 26th, 2020 ORDER
Per J. Sudhakar Reddy, AM:
This is an appeal filed by the assessee directed against the order of the Commissioner of Income Tax (Appeals)-9, Kolkata [‘CIT(A)’ for short] dated 12.02.2019 u/s 250 of the Income Tax Act, 1961 (‘the Act’ for short) for AY 2015-16.
After hearing rival contentions I hold as follows. 3. Ground no. 1 is general in nature. 4. Ground no. 2 is against the ad-hoc disallowance of various expenditures incurred on motor car expenses, conveyance expenses, postal & stamp, printing & stationery etc. The AO disallowed 50% of the claim. The assessee submitted a comparative chart to demonstrate that the ad-hoc disallowance is bad in law. In my view ends of justice would be met if the disallowance is restricted to 10% of the claim made by the assessee under these heads. Thus, this ground of the assessee is allowed in part. 5. Ground no. 3 is against the disallowance of donations & subscriptions. The assessee submits that the amount of ₹25,000/- was paid to “Alumnorum Societas” and this Society was entitled for exemption u/s 80G(5)(VI) of the Act. The AO is directed to give a deduction u/s 80G accordingly. The balance disallowance is hereby upheld.
Assessment Years: 2015-16 Parikh Patel & Co. 6. Ground no. 4 is against the disallowance made on employees’ contribution to ESI of invoking Section 2(24)(x) r.w.s. 36(1)(va) of the Act. The undisputed fact that this amount has been paid before due date of filing of return of income. The ld. CIT(A) has in fact allowed this ground raised by the assessee. Hence, the assessee should not have any grievance. In the result this ground is dismissed.
7. Ground no. 5 is general in nature.
8. In the result, the appeal of the assessee is allowed in part. Kolkata, the 26th February, 2020.