ITA No. 869/MUM/2020

Parties Involved

Facts Summary

The appellant, M/s. RKW Communication Pvt. Ltd., filed its return of income for the Assessment Year 2014-15 on 29.09.2014, declaring total income of Rs. Nil. The return was processed under section 143(1) of the Income Tax Act, 1961. Subsequently, the case was selected for scrutiny. Statutory notices under sections 143(2) and 142(1) of the Act were issued and served upon the assessee. After considering the assessee’s submissions, the assessing officer assessed the total income of the assessee at Rs. 17,42,330/-. The assessee preferred an appeal before the Commissioner of Income-tax (Appeals), who dismissed the assessee’s first appeal ex-parte. The assessee filed a second appeal against the order of the Commissioner of Income-tax (Appeals), claiming that the addition of interest expenses of Rs. 16,20,000/- was erroneous as the assessee was denied the indexation benefit under section 48 of the Act.…

Legal Issues

• 1. Whether the learned CIT(A) erred in confirming the addition of interest expenses of Rs. 16,20,000/- by rejecting the assessee’s claim of indexation benefit under section 48 of the Act?

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

Similar Judgements

• Belark Communication P. Ltd. vs. ITO

  Mumbai bench

• ITA No. 3599/MUM/2024

  Mumbai bench

• Balhara Traders vs Assessing Officer

  Delhi Bench ‘SMC’, New Delhi benchAY 2020-21Partly Allowed

• Viragkumar Rameshbhai Sojitra vs. The ITO

  Surat bench

• The Bengal Chamber of Commerce And Industry

  Kolkata Bench benchAY 2010-2011Allowed

• DCIT, Central Circle-4(2), Kolkata Vs. Alom Poly Extrusions Ltd.

  Kolkata Bench benchAY 2016-17 & 2017-18Dismissed