parties to
whom commission payments were made, along with the details of
commission payments and tax deducted at source. The commission
was paid to dealers ... disallowances of various expenses are as under:
Ground Nature of Disallowance in Disallowance Amount of
No. expenses Assessment as per disallowance
Order under CIT
disallowance.
On other hand, Ld. DR supported the AO's order. He submitted that the AO
has made disallowance simpliciter but the CIT ... disallowed fully and the CIT(A) upheld disallowance partly to the extent of
Rs. 1,82,66,673/-. Now, the assessee claims that it should
recipient of the commission, the
revenue/assessing officer observed that the
commission expenses paid by this concerned were
disallowed, commission income received by this
concerned ... commission are offered. In the scrutiny
assessment of all these four recipient who received
the commission, the commission income has been
accepted. The learned CIT
preferred an Appeal before the CIT(A). The Ld. CIT(A) vide order dated
19/05/2017, upheld the disallowance made ... restriction of
the disallowance u/s 14A , deletion of disallowance of bad debts written off and
deletion of disallowance of interest on Compulsory Convertible Debentures
application already
filed by the Appellant with DSIR.
GROUND E: DISALLOWANCE OF COMMISSION - Rs.
3,38,53,559/-
(i) Based on the facts ... assessee company, he disallowed the
commission expenditure to the extent of 50% of
the commission paid. The disallowance is of ₹
33,853,559/-. The learned
foreign commission agent
for which commission was paid by the assessee. No copy of Agreement or
documentary evidences in support of commission payment ... agreement with foreign commission agent, identity of commission agent
and evidences pertaining to services rendered by the foreign commission
agent having nexus with the business
others disallowed
(9) Disallowance out of unsecured loans - Rs. 34,33,200/-
(10) Disallowance out of sundry creditors - Rs. 1,02,56,704/-
(11) Expenses ... before the Ld. CIT(A) against all the
additions and disallowances. The Ld. CIT(A) deleted all of them except sales
tax penalty.
5. Aggrieved
nature and thus, not an allowable business
expenditure.
CIT(A):
The CIT(A) deleted the disallowance made by the assessing officer by
relying ... which
represented commission on which TDS under section 194H was liable to be
deducted.
CIT(A):
The CIT(A) deleted the disallowance made
order of the Ld.CIT(A)
deleting the above disallowance wherein the Ld.CIT(A)
relied upon the order of the coordinate bench in assessee ... expressed by other High Courts
in CIT Vs. Suzlon Energy Ltd.5 , CIT Vs. Microlabs Ltd.6
and CIT Vs. Max India
order of the Ld.CIT(A)
deleting the above disallowance wherein the Ld.CIT(A)
relied upon the order of the coordinate bench in assessee ... expressed by other High Courts
in CIT Vs. Suzlon Energy Ltd.5 , CIT Vs. Microlabs Ltd.6
and CIT Vs. Max India
